Preet Remedies IPO – Review, Allotment, Subscription, GMP & DRHP
Last Updated Date: Nov 19, 2022Preet Remedies Limited being engaged in batteries industry which is largely dominated by unorganized sector competing on pricing, supplying qualitative products is of utmost importance in the industry and the company strives to ensure that it adheres to quality standards. Preet Remedies IPO comprises of 24,00,000 Equity shares, face value of Rs.10 each.
Let’s have a detailed review of the company and analytics of the Preet Remedies IPO release date, IPO offer price, subscription, Preet Remedies IPO allotment, grey market price and other details like the company’s background, its financial positions, its promoters and other related things.
Preet Remedies IPO Review & Ratings
| IPO Ratings & Review | |
| Criteria | Ratings |
| Industry Sentiments | 8.5/10 |
| Industry Ranking | 7.8/10 |
| Company Background | 7.9/10 |
| Company Reputation | 7.9/10 |
| Competitive Edge | 7.7/10 |
| Financial Statements | 7.8/10 |
| Popularity Index | 8.4/10 |
| Promoters Reputation | 7.7/10 |
| Retail Appetite | 7.9/10 |
| Top Brokers Review | 7.9/10 |
| Overall Ratings | 8.1/10 |
| Star Ratings | ★★★★☆ |
Summary of Preet Remedies Limited IPO
Preet Remedies Limited is working as a contract manufacturing company in India. They have the capacity to deliver all type of product range such as a Tablets Capsules, Ointment, Cream, Gel, Lotion, Shampoo & Dry syrup. The Issue comprises of a Public Issue of 24,00,000 Equity shares of face value of Rs.10.00 each fully paid up. The issue and the net issue will constitute 28.57% and 27.14% respectively of the post issue paid up equity share capital of the company ₹the face value of the equity share capital.
From FY 2015-14 to FY 2017-2018, as per the Restated Financial Statements,
- For the period ended March 31, 2018, FY 2016-17 and FY 2015-16, its revenue from operations was Rs. 6757.47 Lakhs, Rs. 8107.84 Lakhs and Rs. 7502.48 Lakhs, respectively representing growth of 8.06% from the FY 2015-16 to FY 2016-17.
- The net worth of the Company as on March 31, 2018, March 31, 2017 and March 31, 2016 was Rs. 2055.28 lakhs, Rs.1851 lakhs and Rs. 1771.54 lakhs respectively based on Restated Financial Statements.
- Company’s Net Profit after tax for the year 2017-18 is Rs. 326.32 Lakhs from the year 2016-17 of Rs. 190.99 Lakhs showing an increase of 70.85% from last year, showing remarkable performance.
The Promoter of this company is Mr. Sanjeev Kumar Singnal, Mr. Harpeet Singh, Mr. Sanjay Dhir and Mr. Satish Kumar. The lead manager to the issue is Mark Corporate Advisors Private Limited and the Registrar to this issue is Bigshare Services Private Limited.
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Preet Remedies IPO Date
The opening and the closing date of Preet Remedies Limited IPO is not known yet.
Preet Remedies IPO Subscription
| Day / Date | QIB | NII | RII | Total Subscription |
| Day 1 | ||||
| Day 2 | ||||
| Day 3 | ||||
| Day 4 | ||||
| Day 5 | ||||
| Shares Offered or Net Issue |
The shares subscribed by the public will be updated herein on a daily basis, once the IPO is open for subscription.
Preet Remedies IPO Allotment Status
Here, you can find the Allotment Status of this IPO.
Preet Remedies IPO Price Band
The face value of each share is Rs 10, but the price band of the IPO is not yet disclosed.
Preet Remedies IPO Equity Share Offering
24,00,000 Equity Shares of face value of Rs. 10 each fully paid of the Company for cash at price of Rs.51 per Equity Share. The face value of the Equity Shares is Rs. 10 and the Issue Price is 5.1 times of the face value.
Preet Remedies Limited – Company Overview
Preet Remedies Limited was originally incorporated as ‘Preet Remedies Private Limited’ on February 10, 2005 with the Registrar of Companies, Jalandhar as a Private Limited company and subsequently, the Company was converted into a Public Limited Company and the name of the Company was changed to ‘Preet Remedies Limited’ on February 06, 2018.
Preet Remedies Limited is working as a contract manufacturing company in India. They have the capacity to deliver all type of product range such as a Tablets Capsules, Ointment, Cream, Gel, Lotion, Shampoo & Dry syrup.
The registered and corporate office is situated at Chandigarh and manufacturing unit of the Company is located at Baddi, Himachal Pradesh. The customers for this company include:.
- Zydus Healthcare Limited
- Intas Pharmaceuticals Limited
- Alkem Laboratories Private Limited
- Zenlabs Ethica Limited
The Company is promoted by Mr. Sanjeev Kumar Singnal, Mr. Harpeet Singh, Mr. Sanjay Dhir and Mr. Satish Kumar and is the guiding force behind the growth and strategic decisions of the Company.
Competitive Strengths of Preet Remedies Limited:
- Competitive pricing better than or equal that of their rivals.
- Strong marketing strategy that will prove to be effective, helping to raise profiles and profits.
- High quality products and services that help to ensure customers return.
Business strategies of Preet Remedies Limited:
- Leveraging their Market Skills and relationship.
- Customer Satisfaction
- Scalable Business Model
Preet Remedies Limited – Financial Statements
A quick look into the past financial performance of the company to understand its performance of business and evaluate the growth prospectus:
Financial Summary:
On the basis of standalone statement:-
| Amount (in INR & Lakhs) | |||||
| 31-Mar-18 | 31-Mar-17 | 31-Mar-16 | 31-Mar-15 | 31-Mar-14 | |
| Total Assets | 5308.18 | 4861.31 | 3859.37 | 4120.78 | 4116.98 |
| Total Revenue | 5408.24 | 6348.28 | 5382.44 | 6070.84 | 5752.05 |
| Total Expense | 5125.44 | 6212.92 | 5333.71 | 6018.29 | 5681.71 |
| Profit After Tax | 205.65 | 115.66 | 36.73 | 40.35 | 49.22 |
Earnings per Equity Share (in Lakhs)
| 31-Mar-18 | 31-Mar-17 | 31-Mar-16 | |
| Basic & Diluted | 3.04 | 3.16 | 0.90 |
From the above statements, one could find that the Preet Remedies Limited may perform well.
Preet Remedies IPO – Promoters
The Promoter of this company are:
- Mr. Sanjeev Kumar Singnal
- Mr. Harpeet Singh
- Mr. Sanjay Dhir
- Mr. Satish Kumar
List of Related Parties (Key Managerial Personnel)
- Rashmi Chauhan, Company Secretary
Interest in promotion of the Company
Company is currently promoted by the Promoters in order to carry on its present business. Promoters are interested in the Company to the extent of their shareholding and directorship of the Individual Promoter in the Company and the dividend declared, if any, by the Company. The Promoters are interested in the transactions entered into the Company and the Promoter Group.
Property Interest
The promoters along with the promoter group will continue to hold collectively some percentage of the equity share capital of the company. As a result of the same, they will be able to exercise significant influence over the control of the outcome of the matter that requires approval of the majority shareholders vote.
Interest in Intellectual Rights of the Company
Promoters has not shown any interest in acquiring the intellectual rights of the company.
Preet Remedies IPO Offer Details or Issue Details
| Particulars | No. Of Equity Shares |
| Equity Shares Offered | 24,00,000 Equity Shares of face value of Rs. 10 each fully paid of the Company for cash at price of Rs.51 per Equity Share aggregating Rs. 1,224 Lakhs |
| Of which: | |
| Reserved for Market Makers | 1,20,000 Equity Shares of face value of Rs. 10 each fully paid of the Company for cash at price of Rs. 51 per Equity Share aggregating Rs. 61.20 Lakhs. |
| Net Issue to the Public | 22,80,000 Equity Shares of face value of Rs. 10 each at a price of Rs. 51 per Equity Share to the Public. |
| Of which: | |
| Retail Investors Portion | 11,40,000 Equity Shares of face value of Rs. 10 each at a price of Rs. 51 per Equity Share allocated to the Retail Portion. |
| Non-Retail Investors Portion | 11,40,000 Equity Shares of face value of Rs. 10 each at a price of Rs. 51 per Equity Share allocated to the Non-Retail Portion. |
| Equity Shares outstanding prior to the Issue | 60,00,000 Equity Shares of face value of Rs.10 each |
| Equity Shares outstanding after the Issue | 84,00,000 Equity Shares of face value of Rs.10 each |
Preet Remedies IPO Issue Object
These are the IPO Issue Objects of the company
- Funding the Working Capital requirements of the Company:
- Repayment/ pre-payment of certain unsecured loans availed from banks and financial institutions by the company; and
- General Corporate Purposes
Preet Remedies IPO – Basis of the 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:
- Track Record of the Company.
- Stringent quality control.
- Leveraging the experience of the Promoters.
- Experienced management team and a motivated and efficient work force.
- Scalable Business Model
The relevant quantitative factors are:
On the basis of consolidated statement:-
| Basic & Diluted EPS | RONW (%) | NAV (Rs.) | |
| 31-Mar-16 | 0.90 | 1.53 | – |
| 31-Mar-17 | 3.16 | 5.17 | – |
| 31-Mar-18 | 3.04 | 8.87 | 34.25 |
- Industry P/E Ratio:
| Particulars | P/E ratio |
| Average | 47.40 |
| Highest | 206.3 |
| Lowest | 8.40 |
- Competitive Peers:
| Particulars | Face Value (in Rs.) | EPS (In Rs.) | P/E Ratio | RONW (%) |
| BDH Inds | 10.00 | 5.5 | 12.91 | 12.40 |
| Jenburkt Pharma |
10.00 | 37.5 | 19.97 | 28.7 |
| Makers Labs. | 10.00 | 6.2 | 12.95 | 10.6 |
| Preet Remedies Limited |
10.00 | 3.04 | 16.77 | 8.87 |
Preet Remedies IPO Lead Managers
| Lead Managers |
| Mark Corporate Advisors Private Limited CIN: U67190MH2008PTC181996 404/1, The Summit Business Bay, Sant Janabai Road (Service Lane), Off W. E. Highway, Vile Parle (East), Mumbai-400 057. Contact Person: Mr. Manish Gaur Tel. No.: +91 22 2612 3207/08 E-Mail ID: smeipo@markcorporateadvisors.com SEBI Regn No.: INM000012128 Investor Grievance Email: compliance@markcorporateadvisors.com |
Preet Remedies IPO Registrar to offer
| Registrar to the Offer |
| Bigshare Services Private Limited CIN: U99999MH1994PTC076534 1st Floor, Bharat Tin Works Building, Opp. Vasant Oasis, Makhwana Road, Marol, Andheri (E), Mumbai – 400 059. Contact Person: Mr. Ashok S Shetty Tel No.: +91 22 2847 0652/4043 0200 E-Mail ID: ipo@bigshareonline.com SEBI Regn No.: INR000001385 |
Other Details:
- Statutory Auditor – M/s. Vijay Darji and Associates
- Peer Review Auditor – M/s. Vijay Darji and Associates
- Bankers to the Company – HDFC Bank
Preet Remedies IPO Review by Top 10 Stock Brokers
| Top Stock Brokers Review | Company Reputation | Competitive Edge | Financial Statement | Popularity Index | Promoters Reputation |
| Angel Broking | 7.5/10 | 7.4/10 | 8.5/10 | 8.1/10 | 7.1/10 |
| Sharekhan | 7.2/10 | 7.1/10 | 8.6/10 | 8.1/10 | 7.2/10 |
| Kotak Securities | 7.3/10 | 7.5/10 | 8.4/10 | 8.1/10 | 7.3/10 |
| ICICI Direct | 7.3/10 | 7.3/10 | 8.7/10 | 8.1/10 | 7.1/10 |
| IIFL | 7.5/10 | 7.2/10 | 8.8/10 | 8.0/10 | 7.1/10 |
| Edelweiss | 7.5/10 | 7.4/10 | 8.4/10 | 8.3/10 | 7.2/10 |
| Zerodha | 7.4/10 | 7.1/10 | 8.5/10 | 8.1/10 | 7.0/10 |
| 5Paisa | 7.1/10 | 7.1/10 | 8.4/10 | 8.1/10 | 7.1/10 |
| Karvy | 7.4/10 | 7.3/10 | 8.2/10 | 8.1/10 | 7.1/10 |
| Motilal Oswal | 7.1/10 | 7.1/10 | 8.6/10 | 8.3/10 | 7.2/10 |
Preet Remedies IPO Grey Market Premium
The Preet Remedies IPO Grey Market Premium price is Rs X, the Kostak rate is Rs X and the Subject to Sauda is X.
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