SME IPO of Krishna Defence & Allied Industries ltd

Grey Market Trend News :
On 6 April 2022
Allotted Application Rates :
Buyers @ Rs 20000
Sellers @ Rs. 30000 
GMP Rates :  No trades
Past Trend details at the bottom

Subscription Trend on 29 March 2022 @ 5.00 pm
QIB (50%) 1446,000 Sh : 8.84 T
NII (15%) 433,800 Sh : 159.90 T
RII (35%) 10122,00 Sh : 132.28 T
Tot 30,48,000 Sh : 74.84 T

IPO Opens on 25 March 2022
IPO Closes on 29 March 2022
Allotment tentatively on  1 April 2022
Listing tentatively on : 6  April 2022
Listing on NSE SME
Net Issue to the Public : 2892,000 Shares
( net of Market Maker portion)
IPO size  Rs. 11.27 Crore
Retail Quota : 35 %  eg 1012200 Shares
Retail one time  : 337 Applications
Price Band ( FV Rs. 10) of Rs. 37 to 39
Min Order Quantity : 3000 Shares
Retail Min Application : 3000 Shares/ Rs. 117,000 

Business :

Since its inception in 1996,Krishna Defence & Allied Industries Limited has pioneered not only in providing dairy solutions but also in Defence solutions. we provide wide range of defence products and Dairy equipment products like Solar BMC, Data logger, Milking Machine, Milk cans, Robotic Milk Collection Unit (RMCU), Automatic CIP, Milking Parlour, Containerized Milk Collection unit and Smart water Heater.
Krishna Defence & Allied Industries Limited is among India’s very few manufacturing houses with comprehensive in-house capabilities of designing, developing, and manufacturing a wide range of equipment for Defence, Security, Dairy, and Mega Kitchen verticals.
The company’s manufacturing capability includes a wide range of critical assemblies and precision components with close tolerances made possible through in-depth know-how on metallurgy, precision machining, assembly, specialized fabrication facilities with a series of multi-level inspections during the production process.

Its core competencies include product prototype, design, and development, functional testing, validation, field testing, followed by verification, as well as Annual Maintenance Contracts, Service tele-support, and physical support to maintain the uptime of equipment. To extend longevity for its clients, it maintains an inventory of genuine spares that can support its equipment.

It offers a wide range of products under ‘Make in India’ to serve a wide array of Verticals from defence to dairy. Its defence & security verticals have aided the Indian Government to procure equipment within the nation, whereas earlier, they were dependent 100% on imports.

Promoters:

Mr. Ankur Ashwin Shah

Objects of the Issue:

To meet the Working Capital Requirements

Registered office :

344, Floor-3, Plot-267, A To Z
Industrial Estate, Ganapatrao Kadam
Marg, Lower Parel, Delisle Road,
Mumbai, Maharashtra, 400013 India

Lead Manager:

Hem Securities

Observations & Guidance by Paresh Gordhandas ( Research Analyst) : 

Krishna Defence SME IPO Financial & Analytical Ratios
Earnings per Share 2019-20 Rs 0.89
Earnings per Share 2020-21,Rs 2.31
Earnings per Share 2021-22 6 M Rs 1.55
Return on Net Worth: 19-20 4.64 %
Return on Net Worth: 20-21: 10.74 %
Return on Net Worth: 21-22 6 M : 6.34 %
Book Value of the Share as on 31.3.21 Rs 21.46
Book Value of the Share after the IPO Rs ?
Equity shares prior to the IPO : 84,00,000
IPO Peer Comparison:
There are no comparable peer which is listed in India and which are engaged in the
same line and comparable to the scale of operation of the Company

Observation by Paresh Gordhandas ( Research Analyst )
The IPO size is reasonably small and with just 337 applications, retail portion will get one time subscribed. NII portion  is expected to fetch multitimes oversubscription since the NII portion is of just Rs. 1.69 crore . With Defence tag in the name and now  HNI investors shifted to SME IPOs, this IPO is expected to fetch solid oversubscription. Strong run in Subject to rates cannot be ruled out. The IPO is reasonably priced with book value of Rs. 21.46 and EPS of Rs. 2.31 during 2020-21. One may Apply

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News of Grey Market Past Trend
On 30 March 2022 @ 12.30pm SbT :  Rs 22000
On 25 March 2022 @ 12.30pm SbT :  Rs 13000
On 22 March 2022 @ 12.30pm SbT :  Rs 25000
On 21 March 2022 @ 12 noon SbT:  Rs 28000
On 21 March 2022 SbT :  Rs 17000