IPO Details
Bidding Dates
25 Sep '24 - 27 Sep '24
Minimum Investment
To be announced
Price Range
To be announced
Maximum Investment
To be announced
Retail Discount
To be announced
Issue Size
To be announced
Investor category and sub category
Retail Individual Investors (RII) | Non-institutional Investors (NII) | Qualified Institutional Buyers (QIB) | Eligible employees |IPO Dates
Important dates with respect to IPO allotment and listing
Opening Date
Sep 25, 2024
Closing Date
Sep 27, 2024
Basis of Allotment
Sep 30, 2024
Initiation of Refunds
Oct 1, 2024
Listing Date
Oct 3, 2024
About KRN Heat Exchanger IPO
The KRN Heat Exchanger and Refrigeration IPO is set to open for subscription from September 25, 2024, to September 27, 2024. The company is offering a total of 1.55 crore fresh equity shares, with no offer-for-sale (OFS) component.
The funds raised will be used to establish a new manufacturing facility for KRN HVAC Products, a subsidiary of the company, in Neemrana, Rajasthan. Bidding for anchor investors is scheduled for September 24, 2024. Holani Consultants Private Limited is the lead manager for the IPO, while Bigshare Services Pvt Ltd is serving as the registrar.
The allotment is expected to be finalised on September 30, 2024, with a tentative listing date of October 3, 2024, on both BSE and NSE. The price band for the IPO is yet to be announced. Additionally, the company recently raised ₹9.54 crore through a pre-IPO placement of 4.77 lakh shares at ₹200 each, leading to a reduction of the fresh issue size by 4.77 lakh shares.
Industry Outlook:
- The Indian HVAC market is poised for robust growth, with projections to expand from USD 7.8 billion in 2021 to USD 27.4 billion by 2030, driven by a 15% CAGR.
- India's heat exchanger market is recovering post-COVID-19, with revenues rising to USD 625 million in 2022 and expected growth of 11% annually, reflecting a resilient demand rebound.
KRN Heat Exchanger and Refrigeration IPO Objectives
The company plans to allocate the net proceeds from the issuance to the following purposes:
- Funding will be directed to KRN HVAC Products Private Limited to establish a new manufacturing facility in Neemrana, Alwar, Rajasthan for the Proposed Project.
- Additional funds will be allocated for general corporate purposes.
About KRN Heat Exchanger and Refrigeration Limited
KRN Heat Exchanger and Refrigeration Limited is a prominent manufacturer of fin and tube-type heat exchangers for the HVAC&R industry. The company's product lineup includes condenser coils, evaporator units, and various other components made primarily from copper and aluminium, tailored to client specifications with tube diameters ranging from 5MM to 15.88 MM.
KRN's products are utilised in a wide range of applications including residential and commercial air conditioning, refrigeration for food and beverages, and specialised cooling systems for data centres and medical equipment. To ensure longevity and efficiency, the company applies advanced protective coatings like nano and powder coatings to critical parts.
Manufacturing is conducted at KRN's extensive facilities located in the RIICO Industrial Area, Neemrana, Rajasthan. These plants are equipped with state-of-the-art technology to maintain high standards of quality and productivity. KRN holds several key certifications such as ISO 9001:2015, ISO 14001:2015, ISO 45001:2018, and others, reflecting its commitment to quality and environmental management.
Peer Details
KRN Heat Exchanger and Refrigeration Limited operates in a unique business segment with no directly comparable listed companies in India.
How to Check the Allotment Status of the KRN Heat Exchanger and Refrigeration IPO?
Steps to check IPO allotment status on Angel One’s app:
- Log in to the Angel One app
- Go to the IPO Section and then to IPO Orders.
- Select the individual IPO that you had applied for and check the allotment status.
- Angel One will notify you of your IPO allotment status via push notification and email.
How to apply for KRN Heat Exchanger IPO online?
- Login to Your Angel One Account: Open the Angel One app or website and log in with your credentials.
- Locate the IPO Section: Navigate to the 'IPO' section on the platform.
- Select IPO: Find and select the KRN Heat Exchanger and Refrigeration IPO from the list of open IPOs.
- Enter the Lot Size: Specify the number of lots you want to bid for.
- Submit Your UPI ID: Enter your UPI ID to link your payment method and submit your application.
- Approve Funds: Once you receive the bid request on your UPI app, approve it by entering your UPI PIN.
Contact Details of KRN Heat Exchanger and Refrigeration IPO
- Registered office: Plot No. F - 46, 47, 48, 49 EPIP, RIICO Industrial Area, Neemrana, Alwar Rajasthan 301705, India
- Phone: +91 – 9257025440
- E-mail: cs@krnheatexchanger.com
IPO Financials
| Particulars | Year ending on March 31, 2024 | Year ending on March 31, 2023 | Year ending on March 31, 2022 |
|---|---|---|---|
| Revenue from Operation (in ₹ lakh) | 30,828.31 | 24,748.08 | 15,611.46 |
| Profit After Tax (PAT) (in ₹ lakh) | 3,906.86 | 3,231.35 | 1,059.04 |
| Debt to Equity Ratio (x) | 0.45 | 0.62 | 0.87 |
| Net Worth (in ₹ lakh) | 13,164.71 | 5,957.01 | 2,553.15 |
| Total Borrowings (in ₹ lakh) | 5,969.19 | 3,664.43 | 2,212.21 |
| Return on Equity (%) | 40.86 | 75.94 | 54.88 |
| Return on Capital Employed (RoCE) (%) | 31.21 | 50.46 | 34.65 |
| Earnings Per Share (in ₹) | 8.69 | 7.34 | 2.41 |
Know before investing
Strengths
6-
Promoters demonstrate strong leadership supported by highly experienced senior management.
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Long-term business relationships with leading clientele drive sustained growth.
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Advanced automated production ensures cost-effective, on-time product delivery.
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Stringent quality control tests ensure consistent product reliability and performance.
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Expanding customer base across India and exports to 9 countries.
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Strategic initiatives focus on improving cost efficiency and operational returns.
Risks
6-
Heavy reliance on Daikin and its top 10 customers poses revenue risk.
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Lack of long-term customer contracts leads to operational uncertainty.
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High dependence on top suppliers may disrupt raw material availability.
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Import reliance from specific countries exposes the company to geopolitical risks.
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Growth sustainability challenges may impact business operations and profitability.
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Failure to renew statutory permits could affect business continuity and results.
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KRN Heat Exchanger and Refrigeration IPO FAQs
KRN Heat Exchanger and Refrigeration IPO is a book built IPO. The IPO will be open from September 25, 2024, to September 27, 2024.
The Basis of Allotment will happen on Monday, September 30, 2024.
The IPO subscription window will open on September 25, 2024.
The minimum lot size retail investors can subscribe to is 1 lot, and the lot size is yet to be announced.
The listing date for KRN Heat Exchanger and Refrigeration is Thursday, October 3, 2024.
Listing gains cannot be ascertained before the listing of the IPO on the stock exchange.
- Multiple Submissions: Use different Demat accounts to make multiple applications.
- Higher Price Band Bidding: Opt for bidding at the cut-off price or higher price band.
- Timely Subscription: Ensure you subscribe to the IPO within the specified time frame.
You must complete the payment process by logging in to your UPI handle and approving the payment mandate.
You can submit only one application using your PAN card.
To read KRN Heat Exchanger and Refrigeration’ financial statements, download the IPO’s RHP document.
