GALA PRECISION ENGINEERING LIMITED
CORPORATE IDENTITY NUMBER: U29268MH2009PLC190522
Gala Precision Engineering Limited is a book-built issue of Rs. 163.97 Crores. The issue is the merger of a fresh issue of 0.26 crore shares collected to Rs. 135.34 crores and an offer for sale of 0.06 crore shares aggregating to Rs 32.59 crores.
Gala Precision Engineering IPO is publically open on 2nd September 2024 and closes on 4th September 2024.
Allotment of shares on Thursday, 5th September 2024, and Gala Precision Engineering IPO will list on BSE, NSE with the subject (to) listing date fixed as Monday, September 09, 2024.
Gala Precision Engineering’s IPO price is set at ₹503 to ₹529 per share. The minimum lot amount for retail investors is ₹14,812 and the minimum amount is ₹207,368 for the minimum lot size in sNII is 14 lots (392 shares) and the amount is about ₹1,007,216 for bNII with a minimum lot size is 68 lots (1,904 shares).
For More Information about GALA PRECISION ENGINEERING LIMITED IPO is in RHP of GALA.
Gala Precision Engineering IPO Full Details
| IPO Date | September 2, 2024 to September 4, 2024 |
| Listing Date | [.] |
| Face Value | ₹10 per share |
| Price Band | ₹503 to ₹529 per share |
| Lot Size | 28 Shares |
| Total Issue Size | 3,174,416 shares (aggregating up to ₹167.93 Cr) |
| Fresh Issue | 2,558,416 shares (aggregating up to ₹135.34 Cr) |
| Offer for Sale | 616,000 shares of ₹10 (aggregating up to ₹32.59 Cr) |
| Issue Type | Book Built Issue IPO |
| Listing At | BSE, NSE |
| Shareholding pre-issue | 10,111,584 |
| Shareholding post issue | 12,670,000 |
Gala Precision Engineering IPO Timeline (Subject to Schedule)
| IPO Open Date | Monday, September 2, 2024 |
| IPO Close Date | Wednesday, September 4, 2024 |
| Basis of Allotment | Thursday, September 5, 2024 |
| Initiation of Refunds | Friday, September 6, 2024 |
| The credit of Shares to Demat | Friday, September 6, 2024 |
| Listing Date | Monday, September 9, 2024 |
| Cut-off time for UPI mandate confirmation | 5 PM on September 4, 2024 |
Gala Precision Engineering IPO Reservation
| Investor Category | Shares Offered | Maximum Allottees |
|---|---|---|
| Anchor Investor Shares Offered | 9,50,586 (29.95%) | NA |
| QIB Shares Offered | 6,33,724 (19.96%) | NA |
| NII (HNI) Shares Offered | 4,75,293 (14.97%) | |
| bNII > ₹10L | 3,16,862 (9.98%) | 808 |
| sNII < ₹10L | 1,58,431 (4.99%) | 404 |
| Retail Shares Offered | 11,09,017 (34.94%) | 39,607 |
| Employee Shares Offered | 5,796 (0.18%) | NA |
| Total Shares Offered | 31,74,416 (100%) |
Gala Precision Engineering IPO Lot Size
| Application | Lots | Shares | Amount |
|---|---|---|---|
| Retail (Min) | 1 | 28 | ₹14,812 |
| Retail (Max) | 13 | 364 | ₹192,556 |
| S-HNI (Min) | 14 | 392 | ₹207,368 |
| S-HNI (Max) | 67 | 1,876 | ₹992,404 |
| B-HNI (Min) | 68 | 1,904 | ₹1,007,216 |
Gala Precision Engineering IPO Promoter Holding
| Share Holding Pre-Issue | 74.56% |
| Share Holding Post Issue |
Gala Precision Engineering IPO Anchor Investor’s Details
| Bid Date | August 30, 2024 |
| Shares Offered | 950,586 |
| Anchor Portion Size (In Cr.) | 50.29 |
| Anchor lock-in period end date for 50% shares (30 Days) | October 5, 2024 |
| Anchor lock-in period end date for remaining shares (90 Days) | December 4, 2024 |
About Gala Precision Engineering Limited
Gala Precision Engineering Private Limited is a private limited company under the Companies Act, of 1956, under the certificate of incorporation issued by the RoC on February 23, 2009. Our Company entered into a Business Transfer Agreement dated May 26, 2009, to transfer the business operations from Gala Precision Technology Private Limited.
The name of our Company was subsequently changed to ‘Gala Precision Engineering Limited’, upon conversion into a public company, according to a board resolution dated September 5, 2023, a shareholder resolution dated October 3, 2023, and a fresh certificate of change of name was issued on October 25, 2023, by the RoC.
Executive Summary
The global & Indian economy is poised for strong growth in the next 5 years
The global economy has rebounded after the economic downturn of COVID-19 and is expected to increase at an average of 4.9% from CY22 to CY28. India is expected to maintain the highest growth rate, with its current Y-o-Y growth rate standing at 3.7% in CY22 and projected to grow at 6% by CY28. This fueled by other government initiatives like Make in India, Production Linked Incentive (PLI) scheme & others will boost the domestic manufacturing industry. High demand for disc & strip springs (DSS) and wedge lock washers (WLW) in Industrials will lead the market growth for DSS & WLW The global DSS & WLW market was valued at ~US$ 891M in CY23 and is projected to grow at a CAGR of 6.1% during CY23 – 26. The Indian DSS & WLW market is showing a similar growth trajectory and is expected to register a CAGR of 6.6% during FY24 -27, with the market value in FY24 being ~US$ 115M.
The industrial sector compromising of heavy machinery like equipment used in manufacturing, infrastructure & others, contributes the maximum revenue share in the DSS & WLW market. The growth is largely accreditable to the increase in steel demand to fulfill the growing urbanization & construction needs. After Industrials, the mobility sector consisting of automobiles (such as four-wheelers and two-wheelers) & railways is the biggest contributor to the revenue of DSS & WLW. In the automobile sector, demand is fueled by the growing consumption of passenger cars in countries like India & Brazil. The renewable sector comprising wind & hydro energy is another key growing market. Here, the focus on government policies to mitigate international climate change will boost growth.
The coil & spiral springs (CSS) market will witness growth due to the surge in demand for EV vehicles in India
Aging of infrastructure & growth in the renewable market will lead to a high demand for Special fastener solutions (SFS)
Gala Precision Engineering Limited Financial Information
| Period Ended | 31 Mar 2024 | 31 Mar 2023 | 31 Mar 2022 | |||||||||||||||||||||||||||
| Assets | 188.69 | 170.39 | 145.62 | |||||||||||||||||||||||||||
| Revenue | 204.38 | 167.08 | 147.96 | |||||||||||||||||||||||||||
| Profit After Tax | 22.33 | 24.21 | 6.63 | |||||||||||||||||||||||||||
| Net Worth | 104.45 | 83.66 | 59.32 | |||||||||||||||||||||||||||
| Reserves and Surplus | 94.67 | 81.13 | 56.79 | |||||||||||||||||||||||||||
| Total Borrowing | 55.03 | 58.6 | 56.89 | |||||||||||||||||||||||||||
| Amount in ₹ Crore | ||||||||||||||||||||||||||||||
Key Performance Indicator
| KPI | Values |
|---|---|
| ROE | 23.59% |
| ROCE | 19.91% |
| Debt/Equity | 0.53 |
| RoNW | 21.38% |
| P/BV | 5.12 |
| PAT Margin (%) | 11.89 |
| Pre IPO | Post IPO | |
|---|---|---|
| EPS (Rs) | 22.09 | 17.63 |
| P/E (x) | 23.95 | 30.01 |
Objects of the Issue (Gala Precision Engineering IPO Objectives)
A Company proposes to utilize the Net Proceeds towards funding the following objects:
- Setting up a new facility at Vallam–Vadagal, SIPCOT, Sriperumbuddur, Tamil Nadu for manufacturing high tensile fasteners and hex bolts;
- Funding capital expenditure requirements towards the purchase of equipment, plant and machinery at Wada, Palghar, Maharashtra;
- Repayment/ prepayment, in full or part, of certain borrowings availed by our Company; and
- General corporate purposes
Company Owner & Its Share Holding Details
Managing Director: KIRIT VISHANJI GALA
THE PROMOTERS OF OUR COMPANY:
- Taramati V Gala
- Kirit Vishanji Gala(HUF)
- Nayna Gala
Company Details
Corporate Identity Number: U29268MH2009PLC190522
Registered and Corporate Office: A – 801, 8th Floor, Thane One DIL Complex, Ghodbunder Road Majiwade, Thane (west), Maharashtra, India–400610.
Contact Person: Pooja Ladha, Company Secretary and Compliance Officer;
Tel: + 91 22 – 6930 9224
E-mail: investor.relations@galagroup.com,
Website: www.galagroup.com
