IPO Details
Bidding Dates
22 Oct '24 - 24 Oct '24
Minimum Investment
₹1,20,000/ 1 Lot (1200 Shares)
Price Range
₹95 - ₹100
Maximum Investment
₹1,20,000/ 1 Lot (1200 Shares)
Retail Discount
To be announced
Issue Size
₹66.02 Cr
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
Oct 22, 2024
Closing Date
Oct 24, 2024
Basis of Allotment
Oct 25, 2024
Initiation of Refunds
Oct 28, 2024
Listing Date
Oct 29, 2024
About OBSC Perfection IPO
The OBSC Perfection IPO is a book-built issue with a total size of ₹66.02 crore, consisting entirely of 66.02 lakh fresh shares. The IPO will open for subscription from October 22, 2024, to October 24, 2024. Investors can expect the allotment to be finalised on October 25, 2024, with the tentative listing date set for October 29, 2024, on NSE SME.
The price band for the OBSC Perfection IPO is between ₹95 to ₹100 per share. Retail investors can apply for a minimum lot size of 1,200 shares, requiring a minimum investment of ₹1,20,000. For High Net Worth Individuals (HNI), the minimum investment is two lots (2,400 shares), amounting to ₹2,40,000.
Unistone Capital Pvt Ltd is acting as the book-running lead manager for the issue, and Bigshare Services Pvt Ltd is the registrar. The market maker for the IPO is R.K. Stock Holding, ensuring liquidity for the shares post-listing.
Industry Outlook:
- India’s auto components industry is projected to grow to US$ 200 billion by FY26, driven by strong export demand and rising vehicle sales. This robust growth will benefit OBSC Perfection Limited, as the increasing demand for auto components opens up new business opportunities for suppliers.
- Automobile sales in India reached 23.85 million units in FY24, primarily led by the two-wheeler segment. With the continued expansion in vehicle manufacturing, OBSC Perfection Limited is likely to see higher demand for its components, strengthening its market position.
- The Indian engineering sector, accounting for 27% of the industrial sector, is witnessing high growth due to expansion in industries like infrastructure and automobiles. This growth is set to provide OBSC Perfection Limited with opportunities for greater involvement in engineering-related components, contributing to revenue growth.
OBSC Perfection IPO Objectives
The company plans to allocate the net proceeds from the issuance to the following purposes:
- Allocate proceeds to purchase machinery for its Unit III in Tamil Nadu and Unit IV in Maharashtra, enhancing production capacity and supporting future growth.
- The funds will be used to meet growing working capital needs, supporting day-to-day operations efficiently.
- The remaining funds will be allocated towards general corporate purposes.
About OBSC Perfection Limited
OBSC Perfection Limited is a leading precision metal component manufacturer, offering a diverse range of high-quality engineered parts for various industries. The company primarily serves top original equipment manufacturers (OEMs) that supply components to India's automotive sector. Additionally, OBSC is expanding its footprint in the non-automotive sectors, including defence, marine, and telecommunication infrastructure.
The company operates four strategically located manufacturing facilities in Pune, Maharashtra, and Chennai, Tamil Nadu, ensuring proximity to key automotive OEM clients. This strategic placement facilitates streamlined logistics, faster response times, and enhanced collaboration with customers.
OBSC's product portfolio comprises 24 precision metal components, such as shafts, rods, fasteners, and housing. The company's order fulfilment approach includes confirmed orders and nomination letters, allowing for proactive planning and manufacturing capability development.
In the financial year 2024, OBSC Perfection Limited reported a remarkable 103.47% increase in revenue from ₹5,653.41 lakh to ₹11,503.03 lakh, attributed to growing demand and entry into new markets. Profit after tax surged by 239.12%, reaching ₹1,221.21 lakh, supported by improved operational efficiency through new machinery.
With a focus on advanced manufacturing techniques like CNC machining, investment casting, and forging, OBSC is well-equipped to meet the evolving demands of its customers and ensure high-quality production. As part of the Anglian Omega Group, the company benefits from extensive experience and a strong leadership team committed to continuous growth and excellence.
Peer Details
According to RHP, The following are the listed peers of OBSC Perfection Limited:
- RACL Geartech Limited
- Talbros Automotive Component Limited
How to Check the Allotment Status of the OBSC Perfection 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 OBSC Perfection 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 OBSC Perfection 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 OBSC Perfection IPO
- Registered office: 6F, 6th Floor, M-6, Uppal Plaza, Jasola District Centre, South Delhi- 110025, India
- Phone: 011-2697 2586
- E-mail: abhishek@obscperfection.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) | 11503.03 | 9635.85 | 5653.41 |
| Profit/(Loss) after tax (in ₹ lakh) | 1,221.21 | 457.39 | 360.11 |
| Earnings per Share (EPS) (₹) | 6.84 | 2.56 | 2.02 |
| Cash and Cash equivalents (in ₹ lakh) | 58.41 | 60.51 | 39.49 |
| EBITDA (in ₹ lakh) | 2,076.10 | 973.81 | 708.39 |
| Return on Equity (ROE) (%) | 40.61 | 25.61 | 27.11 |
| Debt-Equity Ratio (x) | 1.38 | 1.87 | 1.43 |
| Return on Capital employed (ROCE) (%) | 31.49 | 20.07 | 18.45 |
Know before investing
Strengths
6-
Manufacturing in Pune and Chennai enhances client collaboration and communication.
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Close proximity to suppliers ensures timely access to high-quality materials.
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Consistent revenue growth showcases operational efficiency and market trust.
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An experienced management team drives innovation and operational excellence.
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Expansion into Sanand solidifies presence in India's automotive landscape.
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New precision clamping solutions meet rising demand in the machining industry.
Risks
6-
Heavy reliance on top customers contributes to revenue vulnerability risks.
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Economic downturns could adversely impact performance in the automotive sector.
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Dependence on the domestic market limits exposure to international sales opportunities.
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Unstable raw material supply can disrupt production and increase costs.
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Local events may impact operations in Pune and Thiruvallur facilities.
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Manufacturing expansion carries risks that could affect financial stability.
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OBSC Perfection IPO FAQs
OBSC Perfection IPO is a book built issue IPO. The IPO will be open from October 22, 2024, to October 24, 2024.
The Basis of Allotment will happen on Friday, October 25, 2024.
The IPO subscription window will open on October 22, 2024.
The minimum lot size retail investors can subscribe to is 1 lot, and the lot size is 1200 shares.
The listing date for OBSC Perfection Limited is Tuesday, October 29, 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 OBSC Perfection’s financial statements, download the IPO’s RHP document.
