With a global market share of 17.5% for all raffia machinery and more than 28.7% for machines used to make PP/HDPE fabric, Lohia Corp are one of the top manufacturers of machinery and equipment used in the production of technical textile, particularly for manufacturing woven polypropylene and high density polyethylene fabric and sacks. Lohia Corp IPO will hit the stock market in January 2023.
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About Lohia Corp
With a market share of more than 80% in terms of value and volume, Lohia Corp limited is the market leader in India offering end-to-end manufacturing solutions for the raffia sector up to the stage of plastic woven fabric in Fiscal 2022. (F&S Report as Source)
They are India’s top manufacturer of spin-drawwind machines for PP multifilament yarn, which is used in upholstery (furniture fabrics, curtains, among others), filter fabrics, liners (used in suitcases, backpacks, among others), fishing nets, sports nets, decorative laces, and sewing yarn in a variety of Raffia industry applications.
In addition to the machines for the Raffia industry. For high performance fibers like carbon fiber, glass fiber, and fake grass, we also produce winders and rewinders.
Business
The packaging of cement, fertilizer, chemicals, polymers, food grains, minerals, shopping bags, leno bags, FIBCs, & container liners are just a few examples of the many sectors that employ the products produced utilizing their machines.
Along with non-packaging uses including fabric wrapping, roof underlayment, lumber wrapping, pond lining, tarpaulin, geotextile, geogrid, ground cover, carpet backing, ropes, & twines, they are also used in these areas.
The Lohia group, through Lohia Engineering Works, & Machinenfabrik Starlinger & Co. GmbH, Austria, formed the company in 1981. They sold their first product, circular looms, in 1983.
Then, they expanded their product line by introducing a tape extrusion line in 1984 while working together technically with Windmöller & Hölscher. Lohia Corp Limited produces a wide range of machines & tools.
Manufacturing Facilities
With three in India and one in the USA, Lohia Crop Limited owns and manages four machine manufacturing facilities. With a total area of over 180,000 square meters and a built-up area of more than 112,000 square meters, their two Indian manufacturing facilities—one in Bengaluru, Karnataka, and one in Kanpur, Uttar Pradesh—are both located in the country.
Located in the Burlington, North Carolina, they have a manufacturing operation there. In order to meet their internal needs for skilled labor, they teach people at their manufacturing technology training center, which supports their operations.
They run the Department of Scientific and Industrial Research’s (DSIR) Department of Scientific and Industrial Research, Ministry of Science and Technology, Government of India-accredited Hargovind Bajaj R&D Centre.
Lohia Corp IPO
Lohia Corp Limited, headquartered in Kanpur has submitted Draft Red Herring Prospectus(DRHP) to Securities and Exchange Board of India(SEBI) for initial public offering (IPO) of 31,695,000 Equity Shares on 29 September 2022.
The offer doesn’t includes a fresh issue and there is offer for sale (OFS) of 31,695,000 Equity Shares by the promoters mentioned in the DRHP. They are not looking for any Pre-IPO placement 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 | 1,467.20 | 1,395.61 | 1,225.80 | ||
| Total Revenue | 2,279.20 | 1,365.99 | 1,100.46 | ||
| Profit After Tax | 159.38 | 120.78 | 38.93 | ||
Basic and Diluted Earnings Per Share
| Financial Period | Basic EPS (in INR) | Diluted EPS (in INR) | Weight |
| Financial Year 2020 | 3.48 | 3.48 | 3 |
| Financial Year 2021 | 10.91 | 10.91 | 2 |
| Financial Year 2022 | 13.97 | 13.97 | 1 |
| Weighted Average | 11.20 | 11.20 | |
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
They feel that these factors will be used to calculate the Offer Price:
- Market leader in India & one of the top producers of machines and tools for technical textiles worldwide.
- Well-placed to benefit from industry headwinds on a global scale.
- Modern manufacturing facilities with thorough backward integration & internal training facilities.
- Technology-driven businesses that place a priority on quality, as well as research & development that is driven by innovation, produce goods that are responsive to the changing needs of the market.
- Operations that are focused on the needs of the customer, with a global sales and distribution network & a cutting-edge industry development training ecosystem.
- Growth history that has been steady, with strong financial results.
- Skilled, seasoned management group with dedicated personnel.
Lohia Corp Peer Comparison
| S. No. | Face Value | Company Name | PE |
| 1 | 10 | Lakshmi Machine Works Limited | 69.72 |
- All financial data for listed industry peers is on a standalone/consolidated basis and comes from the audited consolidated/standalone financial statements of the respective firms for the year ending March 31, 2021, which can be found on the Stock Exchanges’ websites.
- The P/E ratio is calculated by dividing the closing market price of equity shares on the NSE on September 27, 2022 by the diluted EPS derived from the peer group company’s annual report for the year ended March 31, 2021.
Lohia Corp IPO Details
| IPO Opening Date | January 2023 |
| IPO Closing Date | January 2023 |
| Issue Type | Book Building |
| Face Value | 1 per share |
| IPO Price | 0 to 0 per equity share |
| Market Lot | – |
| Min Amount | – |
| Listing At | BSE, NSE |
| Issue Size | 31,695,000 Equity Shares |
| Fresh Issue | 0 |
| Offer for Sale | 31,695,000 Equity Shares |
Lohia Corp IPO Date
Lohia Corp Limited IPO opening date is January 2023, and the closing date is January 2023. The Lohia Corp 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 |
Lohia Corp 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 Lohia Corp IPO.
Lohia Corp IPO GMP
Lohia Corp 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
Lohia Corp Limited IPO Review
Lohia Corp 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 Lohia Corp IPO is good or bad.
Lohia Corp Limited IPO Risk
- Their predicted costs & timetables could be affected by significant price rises, variations in availability, shortages, delays, or interruptions in delivery of primary raw materials, which could have a materially negative impact on their business.
- They are extremely reliant on the success of the market for plastic woven fabric machines. The rise of end-use sectors including agro-textiles, building-textiles, geo-textiles, & packing-textiles is essential to the market for plastic woven fabric machines.
- They are under intense pressure from the competition in their sector. Their failure to successfully compete would be harmful to their firm & their chances of future expansion.
- They face the danger of having their results negatively impacted by currency fluctuations, especially when it comes to importing raw materials & exporting finished goods.
Other Threats
- The ongoing COVID-19 pandemic has had a severe negative impact on their business.
- Their inability to manage the risks involved in their export sales could have a detrimental impact on both their operations and assets in foreign nations & their sales to clients there.
- Their firm could suffer if its production capacity isn’t used to its full potential & if their infrastructure for manufacturing, research and development, & support services isn’t used well.
- Their business & future prospects could suffer if they don’t maintain or enhance their technology infrastructure.
- They risk losing their competitive advantage if they fail to keep their technological information private.
- Activities involving their manufacture & assembly process can be hazardous and, under some conditions, result in damage to people or property.
Patents
They continue to spend in R&D and have built up internal capacity to supply developing technology. They had 58 patent applications that were pending & over 26 patents that had been awarded as of that date.
They have also submitted more than 58 international applications under the Patent Cooperation Treaty in opposition to these Indian patents that have been granted or made.
Each of these applications is further extended to particular foreign countries depending on the pertinent level of business interest in the respective countries.
Through this procedure, they have applied for patents in more than 30 nations or have already received them. On the basis of PCT filings during the last three years, they are among top 50 Indian brands.
Lohia Corp 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 Lohia Corp 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
Lohia Corp Limited IPO Subscription Status
| Date | Day | QIB | NII | Retail | Employees | Total Subscription |
| January 2023 | 1 | |||||
| January 2023 | 2 | |||||
| January 2023 | 3 |
Lohia Corp Limited Management
Raj Kumar Lohia, who serves as the company’s chairman & managing director, has more than 40 years of expertise in the technical, textile, and raffia industries. Gaurav Lohia, their COO, has more than 15 years of expertise in the industrial and IT industries.
Additionally, some of their full-time directors have specific execution roles and are in charge of crucial tasks like production, sales, and marketing, among others.
Their Key Managerial Personnel have extensive knowledge in the fields of manufacturing, sales, and finance, which puts them in a good position to take advantage of any future growth prospects.
With their specialized and in-depth industry knowledge, the leaders of functional areas including operations, finance, manufacturing, and sales improve the quality of their management.
Lohia Corp Limited‘ Promoters
- Raj Kumar Lohia
- Neela Lohia
- Gaurav Lohia
- Amit Kumar Lohia
- Ritu Lohia
Principal Shareholder’s Holding
| Pre Issue Share Holding | 79.77 % |
| Post Issue Share Holding |
Lohia Corp Limited Prospectus
Contact Details
Lohia Corp Limited
D-3/A, Panki Industrial Estate, Kanpur
208 022 Uttar Pradesh, India
E-mail: [email protected]
Telephone: +91 512-259 3115
Website: www.lohiagroup.com
Registrar
LINK INTIME INDIA PRIVATE LIMITED
C-101, 1st Floor, 247 Park
L.B.S. Marg, Vikhroli West
Mumbai 400 083, Maharashtra, India
Tel: + 91 22 4918 6200
E-mail: [email protected]
Website: www.linkintime.co.in
Lead Manager(s)
- ICICI Securities Limited
- HSBC Securities and Capital Markets (India) Private Limited
- IIFL Securities Limited
- Motilal Oswal Investment Advisors Limited
We hope we are able to answer all your questions about Lohia Corp 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
Lohia Corp Limited IPO Opening Date?
Lohia Corp Limited IPO will open in January 2023.
Lohia Corp Limited IPO Listing Date?
Lohia Corp Limited IPO will list in January 2023.
Lohia Corp IPO GMP Today?
Lohia Corp IPO Grey Market Premium is INR 0 .
Lohia Corp Limited IPO Allotment Date?
Lohia Corp Limited IPO basis of allotment will be in January 2023.
Lot size for Lohia Corp Limited IPO?
Lot size for Lohia Corp Limited IPO is 0.
