Happy Forgings IPO Overview
Happy Forgings IPO is a significant book-built issue with a total size of Rs 1,008.59 crores. The issue comprises a fresh issue of 0.47 crore shares amounting to Rs 400.00 crores and an offer for sale of 0.72 crore shares worth Rs 608.59 crores.
IPO Timeline:
- Opening Date: December 19, 2023
- Closing Date: December 21, 2023
- Allotment Date: December 22, 2023
- Listing Date: December 27, 2023
Price Band:
The IPO is priced in the range of ₹808 to ₹850 per share, with a minimum lot size of 17 shares.
Minimum Investment:
For retail investors, the minimum investment required is ₹14,450.
Listing Exchange:
Happy Forgings IPO is set to list on both BSE and NSE.
1. IPO Reservation Details
Happy Forgings IPO offers 11,865,801 shares, with the following reservation:
- QIB: 20.00%
- NII: 15.00%
- Retail: 35.00%
- Anchor Investors: 30.00%
Investor Categories and Lot Sizes:
| Investor Category | Shares Offered | Maximum Allottees |
|---|---|---|
| Anchor Investors | 3,559,740 (30.00%) | Not Applicable |
| QIB | 2,373,160 (20.00%) | Not Applicable |
| NII (HNI) | 1,779,870 (15.00%) | bNII > ₹10L: 4,985, sNII < ₹10L: 2,492 |
| Retail | 4,153,031 (35.00%) | 244,295 |
2. IPO GMP (Grey Market Premium)
The Grey Market Premium for the Happy Forgings IPO indicates strong investor interest:
- GMP Yesterday (20 Dec 2023): ₹444
- GMP Today (21 Dec 2023): ₹415
- Expected Share Price: ₹1265
- Expected Profit per Lot: ₹7055
- Buy Decision: Yes
3. Anchor Investors Details
Happy Forgings IPO raised Rs 302.58 crores from anchor investors on December 18, 2023. The anchor lock-in period is 30 days for 50% shares and 90 days for the remaining shares.
- Bid Date: December 18, 2023
- Shares Offered: 3,559,740
- Anchor Portion Size (In Cr.): ₹302.58
- Lock-in Period End Date (50%): February 5, 2024
- Lock-in Period End Date (Remaining): April 29, 2024
4. IPO Lot Size
Investors can bid for a minimum of 17 shares and in multiples thereof.
Lot Size Calculator:
| Application | Lots | Shares | Amount |
|---|---|---|---|
| Retail (Min) | 1 | 17 | ₹14,450 |
| Retail (Max) | 13 | 221 | ₹187,850 |
| S-HNI (Min) | 14 | 238 | ₹202,300 |
| S-HNI (Max) | 69 | 1,173 | ₹997,050 |
| B-HNI (Min) | 70 | 1,190 | ₹1,011,500 |
5. IPO Promoter Holding
The promoters of Happy Forgings are Paritosh Kumar, Ashish Garg, Megha Garg, Ayush Capital & Financial Services Private Limited, Garg Family Trust, Paritosh Kumar Garg (HUF), and Ashish Garg & Sons (HUF).
- Share Holding Pre Issue: 88.24%
- Share Holding Post Issue: 78.60%
6. Financial Information (Restated Consolidated)
Happy Forgings Limited has shown robust financials:
Profit and Loss:
| Particulars (in Rs. Crores) | FY23 | FY22 | FY21 |
|---|---|---|---|
| Revenue | 1196.53 | 860.04 | 584.95 |
| EBITDA | 340.94 | 230.88 | 158.74 |
| PAT | 208.70 | 142.28 | 86.44 |
Balance Sheet:
| Particulars (in Rs. Crores) | FY23 | FY22 | FY21 |
|---|---|---|---|
| Total Assets | 1326.16 | 1129.86 | 876.38 |
| Share Capital | 17.90 | 17.90 | 8.95 |
| Total Liabilities | – | – | – |
7. Key Performance Indicator (KPI)
Happy Forgings IPO Market Cap is Rs 8007.42 Cr with a P/E of 36.45.
KPI Values:
- P/E (x): 36.45
- Post P/E (x): 33.56
- Market Cap (₹ Cr.): 8007.42
- ROE: 21.12%
- ROCE: 24.24%
- EPS (Rs): 23.32
- RoNW: 21.12%
8. IPO Subscription Status (Bidding Details)
The Happy Forgings IPO is highly oversubscribed, with a subscription of 82.63 times on December 21, 2023.
Subscription Details (times):
| Category | Subscription (times) |
|---|---|
| QIB | 214.65 |
| NII | 63.45 |
| bNII (bids above ₹10L) | 69.87 |
| sNII (bids below ₹10L) | 50.61 |
| Retail | 15.40 |
| Total | 82.63 |
This comprehensive article covers various aspects of the Happy Forgings IPO, providing insights into IPO details, reservation, GMP, anchor investors, lot size, promoter holding, financial information, key performance indicators, and subscription status. Investors are advised to consider these factors carefully before making investment decisions.
