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Paras Defence IPO is a book build issue of ₹170.78 crores. The issue is a combination of fresh issue of 0.80 crore shares aggregating to ₹140.60 crores and offer for sale of 0.17 crore shares aggregating to ₹30.18 crores.
Paras Defence IPO bidding started from Sep 21, 2021 and ended on Sep 23, 2021. The allotment for Paras Defence IPO was finalized on Sep 28, 2021. The shares got listed on BSE, NSE on Oct 1, 2021.
Paras Defence IPO price band is set at ₹175.00 per share . The lot size for an application is 85. The minimum amount of investment required by an retail is ₹14,025 (85 shares). The lot size investment for sNII is 14 lots (1,190 shares), amounting to ₹2,08,250, and for bNII, it is 68 lots (5,780 shares), amounting to ₹10,11,500.
Anand Rathi Advisors Ltd. is the book running lead manager and MUFG Intime India Pvt.Ltd. is the registrar of the issue.
Refer to Paras Defence IPO RHP for detailed Information.
| IPO Date | September 21, 2021 to September 23, 2021 |
| Listing Date | October 1, 2021 |
| Face Value | ₹10 per share |
| Issue Price Band | ₹165 to ₹175 per share |
| Issue Price Final | ₹175 per share |
| Lot Size | 85 Shares |
| Sale Type | Fresh Capital-cum-Offer for Sale |
| Total Issue Size | 97,58,776 shares (aggregating up to ₹170.78 Cr) |
| Fresh Issue | 80,34,286 shares (aggregating up to ₹140.60 Cr) |
| Offer for Sale | 17,24,490 shares of ₹10 (aggregating up to ₹30.18 Cr) |
| Issue Type | Bookbuilding IPO |
| Listing At | BSE, NSE |
| Share Holding Pre Issue | 3,09,65,775 shares |
| Share Holding Post Issue | 3,90,00,061 shares |
Paras Defence and Space Technologies IPO offers total 97,58,776 shares. Out of which 48,79,387 (50.00%) allocated to QIB, 19,51,902 (20.00%) allocated to QIB, 14,63,817 (15.00%) allocated to NII, 34,15,572 (35.00%) allocated to RII and 29,27,485 (30.00%) allocated to Anchor investors.
| Investor Category | Shares Offered | Maximum Allottees |
|---|---|---|
| QIB Shares Offered | 48,79,387 (50.00%) | NA |
| − Anchor Investor Shares Offered | 29,27,485 (30.00%) | NA |
| − QIB (Ex. Anchor) Shares Offered | 19,51,902 (20.00%) | NA |
| NII (HNI) Shares Offered | 14,63,817 (15.00%) | NA |
| Retail Shares Offered | 34,15,572 (35.00%) | 40,183 |
| Total Shares Offered | 97,58,776 (100.00%) |
Paras Defence IPO opens on September 21, 2021, and closes on September 23, 2021.
| IPO Open Date | Tue, Sep 21, 2021 |
| IPO Close Date | Thu, Sep 23, 2021 |
| Tentative Allotment | Tue, Sep 28, 2021 |
| Initiation of Refunds | Wed, Sep 29, 2021 |
| Credit of Shares to Demat | Thu, Sep 30, 2021 |
| Tentative Listing Date | Fri, Oct 1, 2021 |
| Cut-off time for UPI mandate confirmation | 5 PM on Thu, Sep 23, 2021 |
Investors can bid for a minimum of 85 shares and in multiples thereof. The following table depicts the minimum and maximum investment by Individual Investors (Retail) and HNI in terms of shares and amount.
| Application | Lots | Shares | Amount |
|---|---|---|---|
| Retail (Min) | 1 | 85 | ₹14,875 |
| Retail (Max) | 13 | 1,105 | ₹1,93,375 |
| S-HNI (Min) | 14 | 1,190 | ₹2,08,250 |
| S-HNI (Max) | 67 | 5,695 | ₹9,96,625 |
| B-HNI (Min) | 68 | 5,780 | ₹10,11,500 |
Note : The value will be calculated using Equity Dilution = Share Holding Pre Issue - Share Holding Post Issue
Paras Defence and Space Technologies are primarily engaged in the designing, developing, manufacturing, and testing of a variety of defence and space engineering products and solutions. The company has five major product category offerings - Defence & Space Optics, Defence Electronics, Heavy Engineering, Electromagnetic Pulse Protection Solutions, and Niche Technologies. Paras Defence and Space Technologies is the only Indian company with the design capability for space-optics and opto-mechanical assemblies and is one of the leading providers of optics for various Indian defence and space programs. The company also delivers customized turnkey projects in the defence segment. The company has partnered with some of the leading technology companies around the world to indigenize advanced technologies in the defence and space sectors for the Indian market.
The company has 2 manufacturing plants in Maharashtra and is in the process of expanding its current manufacturing facility at Nerul in Navi Mumbai.
Competitive Strengths
| Particulars | For the year/period ended (₹ in millions) | ||||
|---|---|---|---|---|---|
| 31-Mar-21 | 31-Mar-20 | 31-Mar-19 | |||
| Total Assets | 3,627.58 | 3,423.86 | 3,297.48 | ||
| Total Revenue | 1,446.07 | 1,490.51 | 1,571.69 | ||
| Profit After Tax | 157.86 | 196.57 | 189.70 | ||
The Company Paras Defence IPO proposes to utilise the Net Proceeds from the Issue towards the following objects:
| S.No. | Objects of the Issue | Expected Amount (₹ in crores) |
|---|---|---|
| 1 | Purchase of machinery and equipment | 34.66 |
| 2 | Funding incremental working capital requirements of our Company | 60.00 |
| 3 | Repayment or prepayment of all or a portion of certain borrowings/outstanding loan facilities availedby our Company | 12.00 |
| 4 | General corporate purposes | 17.79 |
[Dilip Davda] No doubt, spending on the defence and aerospace segment by the government has been on the rise and this augurs well for this company. However, based on its financial data the issue is fully priced discounting near term prospects. As the overall IPO size is below Rs. 250 cr. its initial listing will take place in T 2 T group limiting speculative movements. Hence cash surplus investors may consider investing in this issue for the long term. Read detail review...
| Listing Date | October 1, 2021 |
| BSE Script Code | 543367 |
| NSE Symbol | PARAS |
| ISIN | INE045601015 |
| Final Issue Price | ₹175 per share |
| BSE Listing Group | T |
Paras Defence & Space Technologies Ltd.
D-112, TTC Industrial Area,
MIDC, Nerul,
Navi Mumbai 400 706,
Navi Mumbai, Maharashtra
Phone: +91 9820 974 974
Email: ir@parasdefence.com
Website: https://www.parasdefence.com/
MUFG Intime India Pvt.Ltd.
Phone: +91-22-4918 6270
Email: Parasdefence.ipo@linkintime.co.in
Website: https://linkintime.co.in/Initial_Offer/public-issues.html
Paras Defence IPO is a main-board IPO of 97,58,776 equity shares of the face value of ₹10 aggregating up to ₹170.78 Crores. The issue is priced at ₹175 per share. The minimum order quantity is 85.
The IPO opens on September 21, 2021, and closes on September 23, 2021.
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 Paras Defence IPO using UPI as a payment gateway. Zerodha customers can apply in Paras Defence IPO by login into Zerodha Console (back office) and submitting an IPO application form.
Steps to apply in Paras Defence IPO through Zerodha
Visit Zerodha IPO Application Process Review for more detail.
The Paras Defence IPO opens on September 21, 2021 and closes on September 23, 2021.
Paras Defence IPO lot size is 85, and the minimum amount required for application is ₹14,875.
You can apply in Paras Defence 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 Paras Defence IPO will be done on Tuesday, September 28, 2021, and the allotted shares will be credited to your demat account by Thursday, September 30, 2021. Check the Paras Defence IPO allotment status.
The Paras Defence IPO listing date is on Friday, October 1, 2021.
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