Azad Engineering IPO – Review, Bid, Size, Allotment, Subscription, GMP & RHP
Last Updated Date: Dec 27, 2023Embarking on the global stage, Azad Engineering Limited, a key player in the aerospace, defence, and energy sectors, is set to make waves with its imminent Initial Public Offering (IPO).
With a stellar track record of 27% revenue growth and strategic dominance in critical industries, the IPO becomes a focal point for investors seeking a stake in cutting-edge manufacturing.
Led by visionary Rakesh Chopdar, the company’s commitment to innovation and long-term partnerships positions it as a promising prospect, defining a new era in high-precision manufacturing investments.
| Face Value | Rs 2 |
| Price Band | Rs 499 to Rs 524 |
| Listing At | BSE, NSE |
| Min. Order Quantity | 28 Shares |
| Listing Date | December 28, 2023 |
| Offer for Sale | Rs 500 Crore |
| Fresh Issue | Rs 240 Crore |
| IPO Size | Rs 740 Crore |
| Tick Size | 1 |
Azad Engineering IPO Overview
Azad Engineering Ltd has filed a draft red herring prospectus (DRHP) with SEBI for an IPO aiming to raise Rs 740 crore. The IPO comprises a Rs 240 crore fresh issue and a Rs 500 crore offer-for-sale (OFS).
The OFS includes Rs 170 crore from promoter Rakesh Chopdar, Rs 280 crore from Piramal Structured Credit Opportunities Fund, and Rs 50 crore from DMI Finance.
The fresh issue proceeds will be allocated to the company’s capital expenditure, debt repayment, and general corporate purposes, as outlined in the DRHP. Book-running lead managers for the issue include Axis Capital, ICICI Securities, SBI Capital Markets, and Anand Rathi Advisors.
Azad Engineering IPO Important Dates
| Events | Date |
| IPO Opening Date | December 20, 2023 |
| IPO Closing Date | December 22, 2023 |
| Basis of Allotment Finalization | December 26, 2023 |
| Refunds Initiation | December 27, 2023 |
| Credit of Shares to Demat Account | December 27, 2023 |
| Share Listing Date | December 28, 2023 |
Azad Engineering Limited’s IPO Important Dates, crucial for potential investors, are yet to be released. These dates typically include the opening and closing of the IPO subscription period, the allotment date, and the initiation of trading on the stock exchanges.
As investors eagerly await further details, staying tuned for the official announcement of these key dates is essential for those interested in participating in Azad Engineering Limited’s upcoming initial public offering.
Azad Engineering IPO Price, Size, Share Offerings
| Face Value | Rs.2 |
| Price Band | Rs 499 to Rs 524 |
| Offer for Sale | Rs 500 Crore |
| Fresh Issue | Rs 240 Crore |
| IPO Size | Rs 740 Crore |
Azad Engineering Limited’s IPO is set to offer a fresh issue of Rs 240 crore and an offer-for-sale (OFS) totalling Rs 500 crore, bringing the total IPO size to Rs 740 crore.
The OFS components comprise Rs 170 crore from promoter Rakesh Chopdar, Rs 280 crore from Piramal Structured Credit Opportunities Fund, and Rs 50 crore from DMI Finance.
The offering includes 1,600 PSCoF CCDs, convertible to a maximum of up to 6,476,310 equity shares, subject to Piramal DTD provisions and ROC regulations. The face value of the equity shares is Rs 2 each
While the specific IPO price is yet to be disclosed, these details provide investors with insights into the size and share offerings associated with Azad Engineering Limited’s public offering.
Azad Engineering IPO Grey Market Premium
| Date | GMP (Rs.) | Kostak Rate (Rs.) | Subject to Sauda (Rs.) |
| 27 Dec 2023 | Rs 300 | Rs 400 | Rs 5000 |
| 26 Dec 2023 | Rs 300 | Rs 400 | Rs 5500 |
| 25 Dec 2023 | Rs 400 | Rs 400 | Rs 7500 |
| 22 Dec 2023 | Rs 350 | Rs 400 | Rs 7500 |
| 21 Dec 2023 | Rs 420 | Rs 400 | Rs 9000 |
| 20 Dec 2023 | Rs 440 | Rs 400 | Rs 9000 |
| 19 Dec 2023 | Rs 440 | Rs 400 | Rs 9000 |
| 18 Dec 2023 | Rs 380 | Rs 400 | Rs 8000 |
| 17 Dec 2023 | Rs 400 | NA | Rs 8500 |
As of now, information regarding Azad Engineering Limited IPO GMP will be available shortly. The GMP, a key indicator in the pre-listing market, reflects the premium at which the IPO shares are trading unofficially.
Investors are advised to stay tuned for updates, as the GMP for Azad Engineering Limited’s IPO will be revealed closer to the listing date, providing valuable insights for potential investors.
Azad Engineering IPO Subscription Status
| Day / Date | QIB | NII | RII | Total Subscription |
| 1st Day – 20th Dec | 0.05x | 6.38x | 4.23x | 3.51x |
| 2nd Day – 21st Dec | 1.53x | 24.36x | 11.76x | 11.59x |
| 3rd Day – 22nd Dec | 179.64x | 90.24x | 24.51x | 83.04x |
| Shares Offered or Net Issue | 2,809,155 | 2,106,866 | 4,916,021 | 14,045,773 |
The Azad Engineering Limited IPO Subscription status is currently available, as the official data has been released. The subscription status is a key metric, reflecting investor enthusiasm and demand for the IPO.
Investors are advised to keep a close watch for updates on the subscription figures, providing valuable insights into the market’s reception of Azad Engineering Limited’s public offering.
Azad Engineering IPO Allotment Status
The Azad Engineering Limited IPO Allotment Status is eagerly anticipated by investors seeking updates on share allocations. However, as of now, the allotment data is not yet available.
This status signifies the allocation of shares to subscribers. As investors await official announcements, monitoring relevant platforms is advised for the most up-to-date information on Azad Engineering Limited’s IPO Allotment Status and subsequent details.
Azad Engineering IPO Live Performance
The Azad Engineering Limited IPO Live Performance is a topic of interest for investors curious about the stock’s early market dynamics. As of now, the live performance data is not available.
Monitoring the IPO’s live performance provides insights into its initial reception and market trends. Investors are advised to stay tuned for updates and official announcements regarding Azad Engineering Limited’s IPO Live Performance once the data becomes available.
Subscribe to Azad Engineering IPO – Open Free Demat Account Now!
Latest Azad Engineering IPO News
Azad Engineering Limited’s IPO has generated significant interest among investors. However, as of now, no latest news is available.
Investors are advised to stay informed by regularly checking reputable news sources and official announcements for updates related to Azad Engineering Limited’s IPO. Stay tuned for the latest news and insights once information becomes available.
Azad Engineering – Company Review
Azad Engineering Limited holds a pivotal role as a leading manufacturer in the aerospace and defence, energy, and oil and gas industries.
Specializing in the production of highly engineered components crucial for mission and life-critical applications, the company has been a key player since initiating core manufacturing operations in 2008.
With over 15 years of experience as a tier-I supplier of high-precision forged and machined components, Azad Engineering Limited collaborates globally with major original equipment manufacturers (OEMs) in these industries, extending its sales reach to more than 16 countries.
Products or Services
Azad Engineering Limited specializes in manufacturing critical components for defence and civil aircraft, spaceships, defence missiles, nuclear power, hydrogen, gas power, oil, and thermal power.
Notably, the company produces 3D rotating airfoil portions of turbine engines. The demand for these products is closely tie to orders for military and commercial aircraft, spaceships, turbine engines, and oil and gas components, reflecting the broader market’s energy consumption and growth.
With expertise in engineering, design, tooling, material development, finishing, and assembly operations, Azad Engineering Limited commits to continuous improvement in manufacturing and quality processes.
Promoters and Holding
Rakesh Chopdar promotes Azad Engineering, who currently heads 42,241,800 Equity Shares, representing 75.39% of the issued, subscribed, and paid-up Equity Share capital of the Company on a fully diluted basis as per the Draft Red Herring Prospectus.
The Offer for Sale (OFS) includes the sale of equity shares up to Rs 170 crore by promoter Rakesh Chopdar, up to Rs 280 crore by Piramal Structured Credit Opportunities Fund, and up to Rs 50 crore by DMI Finance.
Is Azad Engineering Good for Investment?
Azad Engineering Limited is a key global player in the aerospace, defence, energy, and oil and gas industries, specializing in high-precision components. With a remarkable 27% revenue growth from FY2020 to FY2023, the company recognizes for its excellence.
It serves major OEMs, including General Electric and Mitsubishi Heavy Industries, contributing critical components to sectors such as commercial aircraft, land-based turbines, and oilfield drilling.
The company’s strategic partnerships and long-term relationships contribute to a stable customer base, and its commitment to innovation reflects in upcoming manufacturing facilities.
Led by Promoter Rakesh Chopdar, the diversified Board and professional management team drive Azad Engineering Limited’s success. With a broad product portfolio and a focus on quality, the company is well-position for sustain growth in industries.
Azad Engineering Financial Statements
| Amount (in INR & Million) | ||||
| 30-Jun-23 | 31-Mar-23 | Mar-22 | 31-Mar-21 | |
| Assets | 6,133.45 | 5,892.08 | 4,043.21 | 2,560.45 |
| Revenue | 760.57 | 2,615.21 | 1,992.63 | 1,250.30 |
| Expense | 645.90 | 2,483.62 | 1,591.29 | 1,087.94 |
| Profit After Tax | 74.04 | 84.73 | 294.57 | 115.00 |
Azad Engineering Limited’s financial performance has demonstrated robust growth, evident in its escalating revenues.
The company witnessed a substantial increase from Rs 124 crore in the financial year 2020 to Rs 251.7 crore in the financial year 2023, marking an impressive Compound Annual Growth Rate (CAGR) of 27% between 2022 and 2023.
This upward trajectory signifies the company’s ability to capitalize on market opportunities and effectively expand its top-line figures.
Moreover, EBITDA margin underscores the company’s commendable financial health, which stands at a noteworthy 31.61% in the financial year 2023.
This reflects the efficiency with which Azad Engineering Limited manages its operational costs relative to its earnings. The robust EBITDA margin suggests a sound operational strategy, contributing to sustained profitability and overall financial well-being.
As the company continues to exhibit strong revenue growth and solid profitability, it positions itself favourably in the competitive landscape.
| Earnings per Equity Share (in Million) | ||||
| 30-Jun-23 | 31-Mar-23 | Mar-22 | 31-Mar-21 | |
| Basic & Diluted | 1.49 | 1.79 | 6.49 | 2.53 |
Azad Engineering IPO Review
Azad Engineering Limited’s IPO beckons investors with a stellar track record, showcasing a 27% revenue growth from FY2020 to FY2023.
A key global player in aerospace and defence, energy, and oil and gas, the company’s strategic partnerships, commitment to innovation, and visionary leadership under Rakesh Chopdar position it as a compelling prospect for those seeking a stake in cutting-edge manufacturing.
Azad Engineering IPO Details
Here are a few more details you need to know before investing in Azad Engineering IPO –
Azad Engineering IPO Issue Object
Thus, Azad Engineering has proposed diverse objectives for making the IPO offer and some of the objectives are:
-
Funding capital expenditure of our Company;
-
Repayment/prepayment, in part or full, of certain of our borrowings availed by our Company
-
General corporate purposes.
Azad Engineering IPO – Basis of Offer Price
The issue price is determined by the company in consultation with the Lead manager on the basis of the following qualitative and quantitative factors.
Qualitative factors are:
- Engineered for success and a name in the manufacturing of highly engineered, complex, and mission and life-critical high precision components for global OEMs growing competition from China and Eastern Europe;
- Supplying to OEMs with high global market penetration;
- Long-standing and deep customer relationships;
- Advanced manufacturing facilities with a diverse range of products and solutions with a focus on innovation cost competitiveness; and
- Consistent track record of financial performance
Quantitative factors are:
| Basic & Diluted EPS | RONW (%) | NAV (Rs.) | |
| 31-Mar-23 |
1.79
|
4.23
|
2.30
|
| 31-Mar-22 |
6.49
|
25.37
|
– |
| Mar-21 |
2.53
|
12.65
|
– |
Azad Engineering IPO Lead Managers
Here is the list of Lead managers –
-
Axis Capital Limited
-
ICICI Securities Limited
-
SBI Capital Markets Limited
-
Anand Rathi Advisors Limited
Azad Engineering IPO Registrar to offer
Check out the details of the registrar here –
KFin Technologies Limited
Selenium Tower B, Plot No. 31 and 32
Financial District, Nanakramguda
Serilingampally Hyderabad Rangareddi 500 032,
Telangana, India
Tel: +91 40 6716 2222
E-mail: azad.ipo@kfintech.com
Website: www.kfintech.com
Investor grievance ID:einward.ris@kfintech.com
Contact person: M. Murali Krishna
SEBI registration number: INR000000221
Azad Engineering IPO – Other Details
- Statutory Auditor – M S K A & Associates, Chartered Accountants
- Legal Counsel to the Company – Cyril Amarchand Mangaldas
- Bankers to the Company – ICICI Bank Limited, IndusInd Bank Limited and Union Bank of India
Azad Engineering IPO Verdict by Stock Brokers
With an impressive 27% revenue surge from FY2020 to FY2023 and strategic dominance in the aerospace, defence, and energy sectors, Azad Engineering Limited’s IPO emerges as a lucrative investment opportunity.
Led by visionary Rakesh Chopdar, the company’s global footprint, long-term partnerships, and commitment. This is to innovation present a compelling case for investors.
The IPO reflects a gateway to a thriving enterprise with a track record of excellence in high-precision manufacturing and sustainable growth.
Azad Engineering IPO – Conclusion
In conclusion, Azad Engineering Limited’s upcoming IPO presents a lucrative opportunity for investors. It is backed by a robust 27% revenue growth and strategic dominance in the aerospace, defence, and energy sectors.
Led by visionary Rakesh Chopdar, the company’s global footprint and commitment to innovation position it as a compelling prospect.
The IPO is a gateway to a thriving enterprise, showcasing excellence in high-precision manufacturing and sustained growth. Thus making it an attractive investment in the cutting-edge manufacturing landscape.
To Subscribe to Azad Engineering IPO – Open Demat Account Now!
Azad Engineering IPO Review FAQs
Check out the FAQs on Azad Engineering IPO –
What is the Issue Size of Azad Engineering IPO?
The Company is making an initial public offer of 14,122,138 equity shares. They vividly portray the aspects of the issue in this article. You can check the stats on the fresh issue, Offer for sale, and net issue.
What is the Price band of Azad Engineering IPO?
The price band for this particular IPO ranges between Rs 499 to Rs 524. As far as the face value of the share is concerned, it is Rs.2 per share.
What is the Azad Engineering IPO Open Date?
The opening and closing dates for this IPO have been updated. The IPO is set to open on December 20, 2023, while the closing date is set at December 22, 2023.
What is the Azad Engineering IPO Allotment Date?
They also have the news regarding the respective allotment dates of this IPO. The basis of Allotment finalization is on December 26, 2023, refund initiation is on December 27, 2023, credit of shares is on December 27, 2023, and share listing date is on December 28, 2023.
What is the Azad Engineering IPO Listing Date?
Shares of this company shall be listed in the exchanges on December 28, 2023. The date, when the listing would be done, is stagnant on December 28, 2023.
Who is the Registrar of Azad Engineering IPO?
One of the reputed registrars is managing the issue of this IPO, i.e. KFin Technologies Limited. Their website will help you regarding the further information you are on the lookout for.
Who is the Promoter of Azad Engineering IPO?
Here are the promoters of this IPO – AKESH CHOPDAR. You can refer to the RHP for further information on the promoter. You will find the link to RHP in the article.
What is the GMP of Azad Engineering IPO?
They have obtained the GMP of this IPO and it is Rs. 300. Further insights into the Kostak rate and subject to sauda or SS are also included in this report.
Is Azad Engineering IPO Good for Investment?
They have further provided the financial status of the company in this article, from the past few years. You can refer to the same, and also check the line of operations they are into and then decide to invest in the IPO.
What is the PAT of Azad Engineering Company?
They have the information on company financials, and according to that, they have the figures from the last few years to provide. PAT for the financial year 2023 in Million is 84.73, 2022 is 294.57, and 2021 is 115.00. PAT from Jun 2023 is 74.04.
Featured Topics