Rhetan TMT IPO Details & Guidance

    Rhetan TMT IPO Listing
    The scrip on 5 September 2022 listed at Rs. 70 (issue price Rs. 70) and showed intraday high of Rs. 72.

    Grey Market News forrhetan TMT IPO Rhetan TMT IPO #
    On 5 September 2022
    Subject to Rates:  Rs. 0
    Grey Market Premium:  Rs. 0

    Subscription Trend
    On 25 August 2022 @ 5.00 pm
    NII (50%) 37,92,000 Shares: 2.18 T
    RII (50%) 37,92,000 Shares: 0.76 T
    Tot 7584,000 Shares: 1.47 T

    Rhetan TMT IPO Details
    IPO Date August 22, 2022, to August 25, 2022
    IPO Face Value Rs 10 per share
    IPO Price Rs 70 per share
    IPO Lot Size 2000 Shares
    Issue Size 80,00,000 shares of Rs 10
    (Aggregating up to Rs 56 Cr)
    Fresh Issue 80,00,8000 shares of Rs 10
    (Aggregating up to Rs 56 Cr)
    Issue Type Fixed Price Issue IPO
    Listing At BSE SME
    Retail Shares Offered 50% of the net offer
    NII (HNI) Shares Offered 50% of the net offer

    Retail Quota: 50 % / 3792,000 Shares
    Minimum 2000 Rs 140,000
    Maximum 2000 Rs 140,000
    Retail: 1896 Applications required for one-time subscriptions.

    Rhetan TMT IPO Timetable 
    IPO Opening Date August 22, 2022
    IPO Closing Date August 25, 2022
    Basis of Allotment August 30, 2022
    Initiation of Refunds Sept 1, 2022
    Credit of Shares to Demat Sept 2, 2022
    IPO Listing Date Sept 5, 2022

    Rhetan TMT Business 

    The Company owns and operates a Steel Rolling Mill with an aggregate installed capacity of 30,000 MTPA. It is an IS 1786: 2008 certified company and it manufacture TMT Bars and Round Bars which are primarily used in construction industry. Its products have been used in construction of dams, bridges, residential and commercial towers and major infrastructure projects in Gujarat.
    Its plant is located at Survey No. 325, Karannagar, Kadi-Kalol Road, Taluka Kadi, Dist. Mehsana, Gujarat – 382715and is spread over 15,000 sq. yards. The plant is fully geared with latest technologies to provide good quality steel productsand the plant is operating smoothly since 2019.It has a vision to become one the trusted brands in TMT Bars manufacturing in its geography.

    The sales have increased at a CAGR of 83.18 % from Rs. 2,000.84 lakhs in FY 2020 to Rs. 6,702.87 lakhs in FY 2022. Further its EBIDTA has increased at a CAGR of 167.07 % from Rs. 64.62 Lakhs in FY 2020 to Rs. 459.67 Lakhs in FY 2022.Due to this strong historical growth, the company has decided to further expand its manufacturing capacities and hence it has decided to raise funds to increase its plant capacities and also its working capital capabilities. For more information about the company,Click http://www.rhetan.com/

    Promoters of Rhetan TMT

    Ashoka Metcast Limited and Shalin Shah

    Rhetan TMT: Objects of the IPO
    1)Funding capital expenditure for expansion and modernization at 325, Karannagar, Kadi-Kalol Road, Taluka Kadi, Dist. Mehsana, Gujarat – 382715
    2) Funding Working capital requirements

    Registered office of Rhetan TMT
    7th Floor, Ashoka Chambers, Rasala Marg, Mithakhali,
    Ahmedabad- 380006
    Company Secretary and Compliance Officer: Payal Pandya

    Lead Manager of Rhetan TMT IPO
    Aryaman Financial Services limited

    SME IPO Financial & Analytical Ratios#
    Earnings per Share 2019-20 Rs (1.45)
    Earnings per Share 2020-21 Rs 0.18
    Earnings per Share 2021-22 Rs 2.00

    Return on Net Worth: 19-20: (192.14) %
    Return on Net Worth: 20-21: 1.71 %
    Return on Net Worth: 21-22: 10.14 %
    Book Value of the Share as on 31.3.22 Rs 17.46
    NAV after the IPO Rs.37.24
    Offer Price Rs. 70

    IPO Peer Comparison:
    Incredible @ PE Multiple of 30.91
    Hariom Pipe @ PE Multiple of 11.89
    Supershakti Metaliks @ PE Ratio of 32.01
    Kamdhenu @ PE Ratio of 19.91

    Observation by Paresh Gordhandas (Research Analyst)

    Guidance: Will be updated soon

    # This is only coverage of News related to Grey Market. We do not deal in grey market premium or Subject to rates, nor we recommend dealing in Grey Market. Investment decision based on Grey Market trends can be faulty.

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