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Royal Arc Electrodes IPO is a book build issue of ₹36.00 crores. The issue is a combination of fresh issue of 0.18 crore shares aggregating to ₹21.60 crores and offer for sale of 0.12 crore shares aggregating to ₹14.40 crores.
Royal Arc Electrodes IPO bidding started from Feb 14, 2025 and ended on Feb 18, 2025. The allotment for Royal Arc Electrodes IPO was finalized on Feb 19, 2025. The shares got listed on NSE SME on Feb 24, 2025.
Royal Arc Electrodes IPO price band is set at ₹120.00 per share . The lot size for an application is 1,200. The minimum amount of investment required by an retail is ₹1,44,000 (1200 shares) (based on upper price). The minimum lot size investment for HNI is 2 lots (2,400 shares), amounting to ₹2,88,000.
Fedex Securities Pvt.Ltd. is the book running lead manager and Kfin Technologies Ltd. is the registrar of the issue. The market maker of the company is Shreni Shares Ltd..
Refer to Royal Arc Electrodes IPO RHP for detailed Information.
| IPO Date | February 14, 2025 to February 18, 2025 |
| Listing Date | February 24, 2025 |
| Face Value | ₹10 per share |
| Issue Price Band | ₹114 to ₹120 per share |
| Issue Price Final | ₹120 per share |
| Lot Size | 1,200 Shares |
| Sale Type | Fresh Capital-cum-Offer for Sale |
| Total Issue Size | 30,00,000 shares (aggregating up to ₹36.00 Cr) |
| Reserved for Market Maker | 1,53,600 shares Shreni Shares Ltd. (aggregating up to ₹1.84 Cr) |
| Fresh Issue (Ex Market Maker) | 16,46,400 shares (aggregating up to ₹19.76 Cr) |
| Offer for Sale | 12,00,000 shares of ₹10 (aggregating up to ₹14.40 Cr) |
| Net Offered to Public | 28,46,400 shares (aggregating up to ₹34.16 Cr) |
| Issue Type | Bookbuilding IPO |
| Listing At | NSE SME |
| Share Holding Pre Issue | 93,00,200 shares |
| Share Holding Post Issue | 1,11,00,200 shares |
Royal Arc Electrodes IPO offers total 30,00,000 shares. Out of which 14,22,000 (47.40%) allocated to QIB, 5,82,000 (19.40%) allocated to QIB (Ex- Anchor), 4,06,800 (13.56%) allocated to NII, 10,17,600 (33.92%) allocated to RII and 8,40,000 (28.00%) allocated to Anchor investors.
| Investor Category | Shares Offered |
|---|---|
| Market Maker Shares Offered | 1,53,600 (5.12%) |
| QIB Shares Offered | 14,22,000 (47.40%) |
| − Anchor Investor Shares Offered | 8,40,000 (28.00%) |
| − QIB (Ex. Anchor) Shares Offered | 5,82,000 (19.40%) |
| NII (HNI) Shares Offered | 4,06,800 (13.56%) |
| Retail Shares Offered | 10,17,600 (33.92%) |
| Total Shares Offered | 30,00,000 (100.00%) |
Royal Arc Electrodes IPO raises ₹10.08 crore from anchor investors. Royal Arc Electrodes IPO Anchor bid date is February 13, 2025. Royal Arc Electrodes IPO Anchor Investors list
| Bid Date | February 13, 2025 |
| Shares Offered | 8,40,000 |
| Anchor Portion Size (In Cr.) | 10.08 |
| Anchor lock-in period end date for 50% shares (30 Days) | March 21, 2025 |
| Anchor lock-in period end date for remaining shares (90 Days) | May 20, 2025 |
Royal Arc Electrodes IPO opens on February 14, 2025, and closes on February 18, 2025.
| IPO Open Date | Fri, Feb 14, 2025 |
| IPO Close Date | Tue, Feb 18, 2025 |
| Tentative Allotment | Wed, Feb 19, 2025 |
| Initiation of Refunds | Thu, Feb 20, 2025 |
| Credit of Shares to Demat | Thu, Feb 20, 2025 |
| Tentative Listing Date | Mon, Feb 24, 2025 |
| Cut-off time for UPI mandate confirmation | 5 PM on Tue, Feb 18, 2025 |
Investors can bid for a minimum of 1,200 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 | 1,200 | ₹1,44,000 |
| Retail (Max) | 1 | 1,200 | ₹1,44,000 |
| HNI (Min) | 2 | 2,400 | ₹2,88,000 |
Note : The value will be calculated using Equity Dilution = Share Holding Pre Issue - Share Holding Post Issue
Incorporated in 1996, Royalarc Electrodes Limited is engaged in the business of manufacturing of welding consumables such as, welding electrodes, flux cored wire, MIG/TIG wires.
The company is used welding consumables for welding tanks, boilers, heavy structures, beams, pipes, cylinders, pressure vessels, and more, across industries such as railways, roadways, airports, refineries, shipyards, mining, sugar, telecom, thermal power stations, and PEB sectors.
The company is also involved in trading ancillary and incidental products such as wheels, electro slag, welding flux-cored wire, electro slag strip cladding, saw flux, and TIG/MIG wires.
The company manufactures products using copper-coated wire, MS strips, MS wire, SS strips, SS wire, nickel wire, and ferro alloy powder at a state-of-the-art facility spread over 269,198 sq. ft. in Zaroli, Umbergaon, Gujarat.
The company manufactures standardized and customized products, supplying domestically and exporting to 20+ countries. Products are certified by American Bureau of Shipping (ABS), Indian Boilers Regulation (IBR), Bureau of Indian Standard (BIS), with inspections outsourced to NABL-accredited laboratories.
Products:
As of December 31, 2024, the company has a total workforce of 144 permanent employees.
Competitive Strength:
| Period Ended | 30 Sep 2024 | 31 Mar 2024 | 31 Mar 2023 | 31 Mar 2022 |
| Assets | 55.69 | 52.25 | 43.85 | 42.48 |
| Total Income | 46.06 | 100.99 | 98.03 | 64.82 |
| Profit After Tax | 3.18 | 11.93 | 9.57 | 2.12 |
| Net Worth | 45.45 | 42.27 | 30.35 | 20.78 |
| Reserves and Surplus | 36.15 | 32.97 | 28.53 | 18.96 |
| Total Borrowing | 2.02 | 0.2 | 1.42 | 7.81 |
| Amount in ₹ Crore | ||||
The market capitalization of Royal Arc Electrodes IPO is ₹133.20 Cr.
KPI as of Sun, Mar 31, 2024.
| KPI | Values |
|---|---|
| ROE | 32.85% |
| ROCE | 37.73% |
| RoNW | 28.21% |
| PAT Margin | 11.95% |
| Price to Book Value | 2.64 |
| Pre IPO | Post IPO | |
|---|---|---|
| EPS Rs | 12.82 | 5.72 |
| P/E (x) | 9.36 | 20.98 |
The Company proposes to utilize the net proceeds from the Fresh Issue towards funding the following objects:
The Company will not receive any proceeds from the Offer for Sale and the proceeds from the Offer for Sale will not form part of the Net Proceeds.
[Dilip Davda] RAEL is engaged in the business of manufacturing and marketing of welding consumables and related products. It is also trading in ancillary/incidental products in line with its business model. The lion share of its revenue comes from B2B segment. The company posted growth in its top lines, but sudden spurt in its bottom lines from FY24 onwards raises eyebrows and concern over its sustainability. Based on its recent financial performance, the issue appears fully priced. Well-informed investors may park moderate funds for medium to long term. Read detail review...
| Listing Date | February 24, 2025 |
| BSE Script Code | |
| NSE Symbol | ROYALARC |
| ISIN | INE0EO401019 |
| Final Issue Price | ₹120 per share |
| NSE Listing Group | ST (Trade to Trade) |
| Price Details | NSE SME |
|---|---|
| Final Issue Price | ₹120.00 |
| Open | ₹120.00 |
| Low | ₹120.00 |
| High | ₹122.50 |
| Last Trade | ₹121.30 |
Royal Arc Electrodes Ltd.
72 B, Bombay Talkies Compound,
S.V. Road
Malad West,
Mumbai, Maharashtra, 400064
Phone: +91 78880 00553
Email: cs@royalarc.in
Website: https://royalarc.in/
Kfin Technologies Ltd.
Phone: 04067162222, 04079611000
Email: rael.ipo@kfintech.com
Website: https://ipostatus.kfintech.com/
Royal Arc Electrodes IPO is a SME IPO of 30,00,000 equity shares of the face value of ₹10 aggregating up to ₹36.00 Crores. The issue is priced at ₹120 per share. The minimum order quantity is 1200.
The IPO opens on February 14, 2025, and closes on February 18, 2025.
Kfin Technologies Ltd. is the registrar for the IPO. The shares are proposed to be listed on NSE SME.
Zerodha customers can apply online in Royal Arc Electrodes IPO using UPI as a payment gateway. Zerodha customers can apply in Royal Arc Electrodes IPO by login into Zerodha Console (back office) and submitting an IPO application form.
Steps to apply in Royal Arc Electrodes IPO through Zerodha
Visit Zerodha IPO Application Process Review for more detail.
The Royal Arc Electrodes IPO opens on February 14, 2025 and closes on February 18, 2025.
Royal Arc Electrodes IPO lot size is 1200, and the minimum amount required for application is ₹1,44,000.
You can apply in Royal Arc Electrodes 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 Royal Arc Electrodes IPO will be done on Wednesday, February 19, 2025, and the allotted shares will be credited to your demat account by Thursday, February 20, 2025. Check the Royal Arc Electrodes IPO allotment status.
The Royal Arc Electrodes IPO listing date is on Monday, February 24, 2025.
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