Maini Precision Products IPO

Maini Precision Products Limited is a full-service solution supplier specialising in the design, engineering, manufacture, testing, and distribution of a wide range of precision products and assemblies. Maini Precision Products IPO will hit the market in April 2021.

About Maini Precision Products

In respect of impact to total revenue, they are among India’s major precision component exporters. They can handle a wide range of important production and required equipment.

It Includes machined castings, die castings, machined forgings, bar route machining, plate machining, surface treatment, heat treatment, critical assembly, and ancillary activities like end-of-line testing, export packing, and warehousing, allowing them to provide end-to-end options for their customers.

In Fiscal 2019, Fiscal 2020, Fiscal 2021, and the three months ended June 30, 2021, 65.26 percent, 71.99 percent, 66.23 percent, and 70.41 percent of overall revenue from operations was attributed to a bunch of international entities for the objective of exporting products.

Products

They possessed a wide portfolio of over 126 individual products and over 50 customers, putting them in a strategic and trusted supplier position.

They have a diverse company, with precision solutions for aerospace and military, as well as automotive and industrial, which includes precision products for clean internal combustion engines, fuel injections and transmissions, hydraulics and industrial, agriculture, and legacy automotive.

Machined and ground shafts, PF pumps, bearing housings, heavy duty engine parts, and the GDI pump body were their top five items in 2021, contributing 11.69 percent, 7.82 percent, 6.14 percent, 5.76 percent, and 4.79 percent to total income from sales of goods and services, respectively.

Production

Using their R&D capabilities, they have designed and manufactured over 126 types of products, demonstrating their potential as an innovative solutions player for a varied variety of products. They have 11 manufacturing sites in India, all of them are in Bangalore.

The quality management systems, environmental management systems, health and safety management systems, and specialised processes at their numerous production locations have all been certified in line with global standards.

As of June 30, 2021, they had a specialized development staff of over 350 people, which focused on system development, automation, layout, and implementation, allowing them to sustain and improve their technological expertise and production technology in-house.

Maini Precision Products IPO

Maini Precision Products Limited, headquartered in Bengaluru has submitted Draft Red Herring Prospectus(DRHP) to Securities and Exchange Board of India(SEBI) for initial public offering (IPO) of INR 150 crores & 25,481,705 equity shares on 08 December 2021.

The offer includes a fresh issue of INR 150 crore and there is offer for sale (OFS) of 25,481,705 equity shares by the promoters mentioned in the DRHP. They are not looking for any pre-IPO placement in this issue.

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.)
	30-Jun-21	31-Mar-21	31-Mar-20	31-Mar-19
Total Assets	687.44	668.09	680.35	670.84
Total Revenue	135.27	444.48	404.88	357.39
Loss After Tax	(2.77)	(46.88)	(22.65)	(18.36)

Basic and Diluted Earnings Per Share

Financial Period	Basic EPS (in INR)	Diluted EPS (in INR)	Weight
Financial Year 2021	(11.35)	(11.35)	3
Financial Year 2020	(5.48)	(5.48)	2
Financial Year 2019	(4.44)	(4.44)	1
Weighted Average	(8.24)	(8.24)
30 Jun. 2021	(0.67)	(0.67)

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 the following are among the fundamental aspects that go into determining the Offer Price:

• Quality assurance, advanced production methods, and engineering expertise
• Strategic supplier offering a broad range of services and products.
• Client base is diverse, with long-term relationships and high customer retention.
• With “end-to-end” capabilities, this is a worldwide delivery model.
• In a sector with significant obstacles to entry, they have robust technology, innovation, and R&D capabilities, allowing us to seamlessly exploit developing trends.
• Strong parental support, as well as a talented, experienced, and qualified personnel as well as senior management.

Peer Comparison

S. No.	Face Value	Company Name	PE
1	10	Sona BLW Precision Forgings Limited	185.93
2	2	Bharat Forge Limited	N/A
3	10	Lakshmi Machine Works Limited	211.29
4	10	MTAR Technologies Limited	99.88
5	2	Sansera Engineering Limited	38.53

Note:

1. The closing price of these equity shares on October 19, 2021 from the BSE portal.
2. All financial data for listed industry peers is consolidated (unless otherwise stated) and derived from the respective firm’s annual results/reports for the fiscal year ended April 31, 2021.

Maini Precision Products IPO Details

IPO Opening Date	April 2021
IPO Closing Date	April 2021
Issue Type	Book Building
Face Value	2 per share
IPO Price	0 to 0 per equity share
Market Lot	–
Min Amount	–
Listing At	BSE, NSE
Issue Size	–
Fresh Issue	150 Crores
Offer for Sale	25,481,705 equity share

Maini Precision Products IPO Date

Maini Precision Products IPO opening date is April 2021, and the closing date is April 2021. The Maini Precision Products issue may list in April 2021.

IPO Opening Date	April 2021
IPO Closing Date	April 2021
Basis of Allotment Date	April 2021
Initiation of Refunds	April 2021
Credit of Shares to Demat Account	April 2021
IPO Listing Date	April 2021

Basis of Allotment

Type	% of Offer	Basis of Allotment
Qualified Institutional Buyer	75	Roughly  equivalent
Non Institutional Investor	15	Roughly  equivalent
Retail	10	Minimum 1 lot based on availability

Maini Precision Products Allotment 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 Maini Precision Products IPO.

Maini Precision Products IPO GMP

Maini Precision Products IPO Grey Market Premium is 0. You can check out GMP of Other IPOs on below Links:

Date	GMP (in Rs)	Subject to Sauda	Kostak (in Rs)
April 2021
April 2021
April 2021
April 2021
April 2021
April 2021
April 2021
April 2021
April 2021
April 2021
April 2021
April 2021

Check Out the GMP of all Other IPOs

IPO Grey Market Premium

Maini Precision Products IPO Review

Maini Precision Products 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 Maini Precision Products IPO is good or bad.

Maini Precision Products IPO Risk

• A pandemic of COVID-19, or a related public health threat, might have a negative impact on their business.
• Exports and the success of the areas where they supply their products are critical to their business.
• Their top ten customers account for the majority of their revenue.
• Customers are not bound by their company’s agreements.
• The development of their products is a time-consuming and costly process with unknown timeframes and consequences.
• It’s possible that they won’t be able to carry out their growth plans.
• Competitors pose a significant threat to their business.
• Certain legal processes and prospective litigation are pending against the company and its promoters. Any negative outcome in these actions could have a negative impact on their business.

Other Threats

• They have previously experienced losses, which could have a negative impact on their business and the worth of the Equity Shares.
• For the supply of raw materials and the delivery of some items, they rely on third parties.
• They rely on their leadership team’s and other key personnel’s training and expertise.
• They are subject to counterparty credit risk, and any postponement or non-receipt of payments could have a negative impact on their financial results.
• Their production plants’ regional concentration may limit their operations and have a negative impact on their business.
• The registered trademark does not belong to their company. The intellectual property rights may not be sufficiently secured from infringement by third parties.

Clients

They have over 40 years of experience comprehend client needs and a solid concentrate on reliability, safety, value proposition, and cost competitiveness of their products, which they believe has assisted them create and sustain long-term partnerships with their clients, which includes multiple Tier I clients and OEMs.

They serve a global clientele in a variety of industries. Safran Aircraft Engines, Marshall Aerospace and Defense Group, Eaton Aero, ITP Externals SLU, Parker Aerospace, and Woodward Inc. are among their aerospace clients.

While Bosch Limited, Eaton Vehicle Group, Danfoss, Marelli Powertrain India Private Limited, Volvo Group India Private Limited, Cummins India Limited, and BorgWarner Cooling Systems India Private Limited are among their automotive and industrial clients.

Journey

They began developing aerospace engines in 2004 and have now merged three verticals into their business: aerospace engines, aircraft systems, and aero structures.

Since of their experience and long-standing ties with a variety of worldwide customers, they think they are well placed to serve the aerospace industry.

Their background in commercial aerospace programmes has allowed them to enter the defence sector for land, airborne, and naval platforms. For a variety of defence initiatives, they work with defence majors based in the United States, Europe, and Israel.

Nearly four-decades of precision engineering competence has also allowed them to enter the Clean Powertrain sector, where they offer worldwide Tier I automotive companies and OEMs.

Maini Precision Products IPO Brokerage views

• 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

Maini Precision Products IPO Subscription Status

Date	Day	QIB	NII	Retail	Employees	Total Subscription
April 2021	1
April 2021	2
April 2021	3

Promoters

• Sandeep Kumar Maini
• Gautam Maini
• Chetan Kumar Maini

Awards

They got a “Preferred Supplier” recognition from Robert Bosch GmbH in 2015, a “Supplier Quality Excellence Award” from General Motors in 2019 and 2020, and a “Quality Excellence” honours from General Electric in 2021.

Promoters’s Holding

Pre Issue Share Holding	75.49%
Post Issue Share Holding

Maini Precision Products Prospectus