Bookbuilding IPO | ₹755 Cr | Listed at BSE, NSE | Wed, Sep 14, 2022 - Fri, Sep 16, 2022
Harsha Engineers IPO is a book build issue of ₹755.00 crores. The issue is a combination of fresh issue of 1.38 crore shares aggregating to ₹455.10 crores and offer for sale of 0.91 crore shares aggregating to ₹299.90 crores.
Harsha Engineers IPO bidding started from Sep 14, 2022 and ended on Sep 16, 2022. The allotment for Harsha Engineers IPO was finalized on Sep 21, 2022. The shares got listed on BSE, NSE on Sep 26, 2022.
Harsha Engineers IPO price band is set at ₹330 per share. The lot size for an application is 45. The minimum amount of investment required by an retail is ₹14,850 (45 shares) (based on upper price). The lot size investment for sNII is 14 lots (630 shares), amounting to ₹2,07,900, and for bNII, it is 68 lots (3,060 shares), amounting to ₹10,09,800.
The issue includes a reservation of up to 83,610 shares for employees offered at a discount of ₹31.00 to the issue price.
Axis Capital Ltd. is the book running lead manager and MUFG Intime India Pvt.Ltd. is the registrar of the issue.
Refer to Harsha Engineers IPO RHP for detailed Information.
IPO Open
Wed, Sep 14, 2022
IPO Close
Fri, Sep 16, 2022
Issue Price
₹330 per share
Market Cap (Pre-IPO)
₹3,004.20 Cr
| IPO Date | 14 to 16 Sep, 2022 |
| Listed on | Mon, Sep 26, 2022 |
| Face Value | ₹10 per share |
| Price Band | ₹314 to ₹330 |
| Issue Price | ₹330 per share |
| Lot Size | 45 Shares |
| Sale Type | Fresh capital cum OFS |
| Issue Type | Bookbuilding IPO |
| Listing At | BSE, NSE |
| Employee Discount | ₹31.00 |
| Total Issue Size | 2,28,86,595 shares (agg. up to ₹755 Cr) |
| Fresh Issue | 1,37,95,695 shares (agg. up to ₹455 Cr) |
| Offer for Sale | 90,90,900 shares of ₹10 (agg. up to ₹300 Cr) |
| Share Holding Pre Issue | 7,72,48,410 shares |
| Share Holding Post Issue | 9,10,44,105 shares |
| BSE Script Code / NSE Symbol | 543600 / HARSHA |
| ISIN | INE0JUS01029 |
Harsha Engineers IPO offers total 2,28,86,595 shares. Out of which 1,14,01,470 (49.82%) allocated to QIB, 45,60,615 (19.93%) allocated to QIB (Ex- Anchor), 34,20,450 (14.95%) allocated to NII 79,81,065 (34.87%) allocated to RII and 68,40,855 (29.89%) allocated to Anchor investors.
| Investor Category | Shares Offered | Max Allottees |
|---|---|---|
| QIB Shares Offered | 1,14,01,470 (49.82%) | NA |
| − Anchor Investor Shares Offered | 68,40,855 (29.89%) | NA |
| − QIB (Ex. Anchor) Shares Offered | 45,60,615 (19.93%) | NA |
| NII (HNI) Shares Offered | 34,20,450 (14.95%) | NA |
| − bNII > ₹10L | 22,80,300 (9.96%) | 3,619 |
| − sNII < ₹10L | 11,40,150 (4.98%) | 1,809 |
| Retail Shares Offered | 79,81,065 (34.87%) | 1,77,357 |
| Employee Shares Offered | 83,610 (0.37%) | NA |
| Total Shares Offered | 2,28,86,595 (100.00%) |
Investors can bid for a minimum of 45 shares and in multiples thereof.
| Application | Lots | Shares | Amount |
|---|---|---|---|
| Retail (Min) | 1 | 45 | ₹14,850 |
| Retail (Max) | 13 | 585 | ₹1,93,050 |
| S-HNI (Min) | 14 | 630 | ₹2,07,900 |
| S-HNI (Max) | 67 | 3,015 | ₹9,94,950 |
| B-HNI (Min) | 68 | 3,060 | ₹10,09,800 |
Harsha Engineers IPO raises ₹225.75 crore from anchor investors. Harsha Engineers IPO Anchor bid date is September 13, 2022.
📝 Anchor Investors Letter (PDF)
| Bid Date | Tue, Sep 13, 2022 |
| Shares Offered | 68,40,855 |
| Anchor Portion (₹ Cr.) | 225.75 |
| Anchor lock-in period end date for 50% shares (30 Days) | Fri, Oct 21, 2022 |
| Anchor lock-in period end date for remaining shares (90 Days) | Tue, Dec 20, 2022 |
| Application Category | Maximum Bidding Limits | Bidding at Cut-off Price Allowed |
|---|---|---|
| Only RII | Up to Rs 2 Lakhs | Yes |
| Only sNII | Rs 2 Lakhs to Rs 10 Lakhs | No |
| Only bNII | Rs 10 Lakhs to NII Reservation Portion | No |
| Only employee | Yes | |
| Employee + RII/NII |
|
Yes for Employee and RII/NII |
Incorporated in 2010, Harsha Engineers International Limited is the largest manufacturer of precision bearing cages, in terms of revenue in organised sector in India. The company is a part of the Harsha Group.
The company supplies its products to customers in over 25 countries covering five continents i.e., North America, Europe, Asia, South America and Africa.
The business comprises of two segments:
1. Engineering business, under which the company manufactures bearing cages (in brass, steel and polyamide materials), complex and specialised precision stamped components, welded assemblies and brass castings and cages & bronze bushings.
2. Solar EPC business, under which the company provide complete comprehensive turnkey solutions to all solar photovoltaic requirements and provides operations and maintenance services in the solar sector.
As of September 30, 2021, Harsha Engineers International have been able to manufacture more than 7,205 bearing cages and more than 295 other products for customers in the automotive, railways, aviation & aerospace, construction, mining, agriculture, electrical and electronics and renewables sectors. In addition, over the past three years company's product development and innovation centre has developed more than 1,200 products in different bearing types.
The company has five manufacturing facilities for engineering business with two manufacturing facilities at Changodar and one at Moraiya, near Ahmedabad in Gujarat, India and one manufacturing unit each in Changshu, China and Ghimbav Brasov in Romania.
Harsha Engineers International Limited has three wholly owned subsidiaries, one in China -Harsha Precision Bearing Components (China) Co. Ltd, one in the United States of America -HASPL Americas Corporationand one in the Netherlands-Harsha Engineers B.V., and a stepdown subsidiary in Romania -Harsha Engineers Europe SRL.
Compititve Strengths:
| Period Ended | 31 Mar 2022 | 31 Mar 2021 | 31 Mar 2020 | 31 Mar 2019 |
|---|---|---|---|---|
| Assets | 1,158.25 | 981.07 | 973.24 | 195.00 |
| Total Income | 1,339.00 | 876.73 | 899.51 | 117.91 |
| Profit After Tax | 91.94 | 45.44 | 21.91 | -27.41 |
| NET Worth | 527.90 | 433.22 | 378.02 | 1.41 |
| Reserves and Surplus | 0.00 | 0.00 | 0.00 | 0.00 |
| Amount in ₹ Crore | ||||
The Company proposes to utilise the Net Proceeds from the Issue towards the following objects:
| # | Issue Objects | Est Amt (₹ Cr.) |
|---|---|---|
| 1 | Pre-payment or scheduled repaymentof a portion of the existing borrowing availed by our Company | 270.00 |
| 2 | Funding capital expenditure requirements towards purchase of machinery | 77.95 |
| 3 | Infrastructure repairs and renovation of our existing production facilities including office premises in India | 7.12 |
| 4 | General corporate purposes | 74.33 |
| KPI | |
|---|---|
| ROE | 17 |
| ROCE | 23 |
| Debt/Equity | 0.74 |
| RoNW | 17.42 |
| PAT Margin | 6.87% |
| EBITDA Margin | 14.12% |
| Pre IPO | Post IPO | |
|---|---|---|
| EPS (₹) | 16.06 | |
| P/E (x) | 32.67 | |
| Promoter Holding | 99.70% | 74.6% |
| Market Cap | ₹3,004.20 Cr. |
The Harsha Engineers IPO is subscribed 74.7 times on September 16, 2022 7:00:00 PM (Day 3). The public issue subscribed 17.63 times in the retail category, 178.26 times in the QIB category, and 71.32 times in the NII category. Check Day by Day Subscription Details (Live Status)
| Category | Subscription (times) | Shares Offered | Shares bid for |
|---|---|---|---|
| QIB | 178.26 | 47,92,950 | 85,43,74,410 |
| NII | 71.32 | 35,94,780 | 25,63,87,230 |
| bNII (bids above ₹10L) | 74.78 | 23,96,520 | 17,92,04,265 |
| sNII (bids below ₹10L) | 64.41 | 11,98,260 | 7,71,82,965 |
| Retail | 17.63 | 83,87,730 | 14,78,85,660 |
| Employee | 12.07 | 88,335 | 10,65,915 |
| Total | 74.7 | 1,68,63,795 | 1,25,97,13,215 |
| # | Issue Expenses | Est Amt (₹ Cr.) |
|---|---|---|
| 1 | BRLMs’ fees and commissions (including underwriting commission, brokerage and selling commission) | 23.25 |
| 2 | Sellingcommission/processing fee for SCSBs, Banker(s) to the Offer, Sponsor Banksand fee payable tothe Sponsor Banksfor Bids made by UPI Bidders | 1.28 |
| 3 | Brokerageand selling commissionand bidding charges for members of the Syndicate (including their sub-Syndicate Members), Registered Brokers, RTAs and CDPs | 1.55 |
| 4 | Fees payable to the Registrar to the Offer | 1.66 |
| 5 | Listing fees, SEBI filing fees, upload fees, BSE and NSE processing fees, book building software fees and other regulatory expenses | 2.36 |
| 6 | Printing and stationery | 1.97 |
| 7 | Advertising and marketing expenses | 2.19 |
| 8 | Fee payable to legal counsels | 3.88 |
| 9 | Miscellaneous | 4.30 |
| Price Details | BSE | NSE |
|---|---|---|
| Final Issue Price | ₹330.00 | ₹330.00 |
| Open | ₹444.00 | ₹450.00 |
| Low | ₹431.00 | ₹430.00 |
| High | ₹527.60 | ₹527.65 |
| Last Trade | ₹485.90 | ₹486.50 |
Lead Manager Reports
Harsha Engineers IPO is a main-board IPO of 2,28,86,595 equity shares of the face value of ₹10 aggregating up to ₹755 Crores. The issue is priced at ₹330 per share. The minimum order quantity is 45.
The IPO opens on Wed, Sep 14, 2022, and closes on Fri, Sep 16, 2022.
MUFG Intime India Pvt.Ltd. is the registrar for the IPO. The shares are proposed to be listed on BSE, NSE.
Zerodha customers can apply online in Harsha Engineers IPO using UPI as a payment gateway. Zerodha customers can apply in Harsha Engineers IPO by login into Zerodha Console (back office) and submitting an IPO application form.
Steps to apply in Harsha Engineers IPO through Zerodha
Visit Zerodha IPO Application Process Review for more detail.
The Harsha Engineers IPO opens on Wed, Sep 14, 2022 and closes on Fri, Sep 16, 2022.
Harsha Engineers IPO lot size is 45, and the minimum amount required for application is ₹14,850.
You can apply in Harsha Engineers IPO online using either UPI or ASBA as a payment method. ASBA IPO application is available in the net banking of your bank account. UPI IPO Application is offered by brokers who don't offer banking services. Read more detail about applying IPO online through Zerodha, Upstox, 5Paisa, Nuvama, HDFC Bank, and SBI Bank.
The finalization of Basis of Allotment for Harsha Engineers IPO will be done on Wednesday, September 21, 2022, and the allotted shares will be credited to your demat account by Fri, Sep 23, 2022. Check the Harsha Engineers IPO allotment status.
The Harsha Engineers IPO listing date is on Mon, Sep 26, 2022.
