Balaji Solutions Limited built a channel network after beginning their operation with sub-distribution. Their company developed its own brand under the name “Foxin,” which is dedicated to producing items and meeting consumer demand, in order to address the expanding and varied need for IT hardware & peripherals and mobile accessories. Balaji Solutions IPO will hit the stock market in January 2023.
Table of Contents
About Balaji Solutions
Balaji Solutions Limited is an IT hardware & peripherals and mobile accessories company. They currently classify their business under the following three verticals Manufacturing, Branding, and Distribution.
Balaji Solutions Limited is engaged in the business of manufacturing and branding of products under their flagship brand i.e. “Foxin” (“Foxin Products”), original equipment manufacturers ranging from sourcing of components, designing, manufacturing, quality testing as per the specifications provided by certain brand owners and distribution of various IT hardware & peripherals, mobile accessories, consumables and surveillance products of certain brand owners.
Through their strong dealer connections in the electronics industry and a large selection of high-quality consumer goods offered at competitive rates, they have been able to establish their presence over the years in India.
Manufacturing Plant
Currently, Balaji Solution Limited only has one manufacturing plant, which is extended across an area of 9,495.74 square metres and is situated in Anmol South City Infra Park, Plot Nos. B4 and B5, Mouza Jagdishpur, JL No. 2, Dist. P.S. Liluah, Howrah, West Bengal, 711115, India.
They benefit from strategic and operational advantages due to their manufacturing facility’s location on the Kolkata-Mumbai expressway. This enables on-time deliveries and increased productivity.
With a total installed capacity of 216.00 lakh units in the financial year 2022 and a total actual production of 32.58 lakh units in the financial year 2022, their manufacturing facility has a total of four production lines, which are made up of five assembly lines and six packaging lines.
Distribution Network
For Balaji Solution Limited’s branded product company as well as distribution operations in India, they have built up a sizable distribution network over the years.
Through their dealers, merchants, independent e-commerce sites, and their own website, www.foxin.in, they promote, advertise, and distribute their own items throughout India.
By June 30, 2022, they had a network of 3,726 dealers selling their company goods in 28 states and 5 union territories, with 1,873 of them merchants specialising in their Foxin Products.
They had 27 branch offices (some of which even become warehouses and service centres) in India as of June 30, 2022. A sales team of 248 personnel supported them and was in charge of overseeing their dealer channels and their sales.
Balaji Solutions IPO
Balaji Solutions Limited, headquartered in Ahmedabad has submitted Draft Red Herring Prospectus(DRHP) to Securities and Exchange Board of India(SEBI) for initial public offering (IPO) of 120 Crore and 75,00,000 Equity Shares on 14 August 2022.
The offer includes a fresh issue of INR 120 crore and there is offer for sale (OFS) of 75,00,000 Equity Shares by the promoters mentioned in the DRHP. They are looking for a Pre-IPO placement of INR 24 Crore in this issue.
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- Initial Public Offering
They are now waiting for approval from Securities and Exchange Board of India(SEBI) to float the initial public offering (IPO) in the market.
Financials Trends
| Particulars | For the year/period ended ( in Cr.) | ||||
|---|---|---|---|---|---|
| 31-Mar-22 | 31-Mar-21 | 31-Mar-20 | |||
| Total Assets | 159.72 | 159.93 | 146.16 | ||
| Total Revenue | 485.58 | 488.24 | 453.63 | ||
| Loss After Tax | 15.39 | 16.25 | 3.33 | ||
Basic and Diluted Earnings Per Share
| Financial Period | Basic EPS (in INR) | Diluted EPS (in INR) | Weight |
| Financial Year 2020 | 2.11 | 2.11 | 3 |
| Financial Year 2021 | 10.29 | 10.29 | 2 |
| Financial Year 2022 | 2.56 | 2.56 | 1 |
| Weighted Average | 5.06 | 5.06 | |
Objects of the Issue
- Prepayment / repayment of all or a portion of the outstanding borrowings of the company to be availed on consolidated basis.
- To meet common corporate objectives.
Basis of the offer
Balaji Solutions limited feel that the following qualitative factors & business strengths enable them to compete successfully in the industry, and that these factors will be used to calculate the offer price:
- Long-standing presence in the electronic industry with over 20 years of operations.
- A diverse business sector with a broad product variety and a persistent emphasis on quality.
- A well-established distribution network and a solid rapport with their clients.
- Integrated manufacturing facility to produce high-quality products.
- Seasoned promoters and a solid senior management team with in-depth industry experience.
Balaji Solutions Peer Comparison
In India, there are no publicly traded businesses that are involved in every facet of the industry they operate in. As a result, it is impossible to compare their company to others in its field.
Balaji Solutions IPO Details
| IPO Opening Date | January 2023 |
| IPO Closing Date | January 2023 |
| Issue Type | Book Building |
| Face Value | 10 per share |
| IPO Price | 0 to 0 per equity share |
| Market Lot | – |
| Min Amount | – |
| Listing At | BSE, NSE |
| Issue Size | 0 |
| Fresh Issue | 1,200 Crore |
| Offer for Sale | 75,00,000 Equity Shares |
Balaji Solutions IPO Date
Balaji Solutions Limited IPO opening date is January 2023, and the closing date is January 2023. The Balaji Solutions issue may list in January 2023.
| IPO Opening Date | January 2023 |
| IPO Closing Date | January 2023 |
| Basis of Allotment Date | January 2023 |
| Initiation of Refunds | January 2023 |
| Credit of Shares to Demat Account | January 2023 |
| IPO Listing Date | January 2023 |
Basis of Allotment
| Type | % of Offer | Basis of Allotment |
|---|---|---|
| Qualified Institutional Buyer | 50 |
Roughly equivalent
|
| Non Institutional Investor | 15 |
Roughly equivalent
|
| Retail | 35 | Minimum 1 lot based on availability |
Balaji Solutions India Limited IPO Status
Allotment of equity stocks subject to the Fresh Issue and transfer of the Promoter Selling Shareholders’ OFS Stocks to the winning Bidders subject to the Offer for Sale. Nevertheless, the status of the allotment has yet to be revealed.
Here, you can find the Allotment Status of Balaji Solutions IPO.
Balaji Solutions IPO GMP
Balaji Solutions Limited IPO Grey Market Premium is 0. You can check out GMP of Other IPOs on below Links:
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Check Out the GMP of all Other IPOs
Balaji Solutions Limited IPO Review
Balaji Solutions Limited IPO review will depend on the price band which will be announced after SEBI approval. Whenever it will be announced we will update you regarding review of Balaji Solutions IPO is good or bad.
Balaji Solutions Limited IPO Risk
- Customers’ pricing pressure may have an adverse effect on their gross margins and ability to raise prices, which may then have a negative impact on their Business, operating revenue, profitability, and cash flows.
- Their inability to collect receivables, dealers’ payment defaults, and their inability to meet working capital requirements could all negatively impact their operational results.
- They could lose their competitive advantage if they are unable to adequately secure their technical expertise.
- Their business, operational outcomes, and financial situation may suffer if they are unable to grow or manage their distribution network effectively.
- Any hiccup in logistics and transportation, or a major increase in freight costs, could have a negative impact on their operations, Cash flow, financial situation, and business.
Other Threats
- Their business depends on the distribution of the brand owners’ products, thus the loss of one or more of these brand owners or a decline in the market for their products could have a negative impact on it.
- They do not own the goods they distribute for brand owners, who sell them in accordance with distribution contracts with them.
- For the selling and distribution of their Foxin Products and those of other brand owners, they rely on their dealers.
- Failure to recognise and comprehend changing client needs, industry trends, and preferences could seriously harm a company’s operations.
- They are vulnerable to the risk of foreign exchange volatility, which could negatively impact their operations, cash flow, results, and over financial situation.
ERP System
They have connected their processes with their ERP System, Microsoft Dynamics NAV 2016 (“ERP System”), to improve process synergy & transparency.
The Unified Threat Management System (UTM), which consists of physical hardware firewalls & antivirus software, is deployed on servers in the company’s registered and corporate offices where the ERP System is hosted.
Their ERP system, which is customised for their operational requirements, comprises a number of modules, including financial accounting, raw material management, sale and distribution, production planning knowledge management, people management, and sales.
In order to increase transaction transparency, the ERP system is coupled with APIs that produce IRN QR codes for invoices & e-way bills. Through VPN tunnelling, their sales & marketing team in India may securely access the ERP System.
Balaji Solutions Limited IPO Brokerage views
Once the dates will be announced we will update the views of different brokerage firms regarding this IPO. Here is the views of different stock brokers regarding this Balaji Solutions IPO:
- Yes Securities : Not Updated
- Choice Brokering: Not Updated
- Axis Securities: Not Updated
- IIFL Securities: Not Updated
- Trade swift: Not Updated
- Anand Rathi : Not Updated
- ICICI Securities: Not Updated
Balaji Solutions Limited IPO Subscription Status
| Date | Day | QIB | NII | Retail | Employees | Total Subscription |
| January 2023 | 1 | |||||
| January 2023 | 2 | |||||
| January 2023 | 3 |
Balaji Solutions Limited Management
Rajendra Seksaria, the promoter, is in charge of them and has been deeply involved in the company for more than 20 years. He has a wealth of knowledge in the Indian electronics industry.
Over the years, under his direction, the business developed from a distribution hub to a manufacturer with its own brand. He has been in charge of the company’s growth & is actively involved in its crucial facets, including channel knowledge, competitive analysis, team management, & corporate strategic planning.
Their Promoters’ connections with their suppliers, clients, & other business stakeholders have been crucial to putting their growth ideas into action.
Their Promoter is still actively involved in their business operations & is still providing their company with his leadership, business acumen, & vision.
Balaji Solutions Limited‘ Promoters
- Rajendra Seksaria
Principal Shareholder’s Holding
| Pre Issue Share Holding | 80.00% |
| Post Issue Share Holding |
Balaji Solutions Limited Prospectus
Contact Details
Balaji Solutions Limited
Anmol South City Infra Park,
Plot No. B4 and B5, Mouza Jagdishpur,
JL No. 2, Dist. P.S. Liluah,
Howrah, West Bengal – 711 115, India
Tel: +91 336 111 1818
E-mail: [email protected]
Website: www.balajisolutions.in
Registrar
KFintech Technologies Limited
Selenium, Tower – B, Plot 31 and 32, Financial District,
Nanakramguda, Serilingampally, Hyderabad, Rangareddi – 500
032, Telangana, India
Tel: +91 40 6716 2222
E-mail: [email protected]
Website: www.kfintech.com
Lead Manager(s)
- IDBI Capital Markets and Securities Limited
- Affinity Global Capital Market Private Limited
We hope we are able to answer all your questions about Balaji Solutions IPO. If you don’t have a Demat account, open it now with Zerodha best trading app of India.
Disclaimer
The reference of IPO Grey Market Premium (IPO GMP) is only valid for the date specified in the header.
On the IPO Grey Market, we do not purchase or sell IPO forms.
The Kostak Rate is the profit earned by selling an IPO application (in an off-market transaction) to somebody else before the issue is allotted or listed.
Do not subscribe to an IPO based solely on the premium price, as it may alter at any time before to the listing. Only consider the fundamentals of the companies when subscribing.
The GMP rates for IPOs are based on market intelligence. Please keep in mind that these IPO GMP rates may vary by geography and market.
Note:
Profit must do not engage in grey market trading or facilitate the purchase or sale of IPO forms. We don’t endorse such activities at all. We are sticky against such activities & never advise anyone to trade in grey market at all.
FAQ
Balaji Solutions Limited IPO Opening Date?
Balaji Solutions Limited IPO will open in January 2023.
Balaji Solutions Limited IPO Listing Date?
Balaji Solutions Limited IPO will list in January 2023.
Balaji Solutions IPO GMP Today?
Balaji Solutions IPO Grey Market Premium is INR 0 .
Balaji Solutions Limited IPO Allotment Date?
Balaji Solutions Limited IPO basis of allotment will be in January 2023.
Lot size for Balaji Solutions Limited IPO?
Lot size for Balaji Solutions Limited IPO is 0.
