H.M. Electro Mech IPO
- IPO Date24 Jan, 2025 to 28 Jan, 2025
- Listing Date31 Jan, 2025
- Face Value₹10 per share
- Issue Price₹71 to ₹75 per share
- Lot Size1600 Shares
- Minimum Investment₹1,20,000
- Listing AtBSE SME
- Total Issue Size36,99,200 Shares
(aggregating up to ₹27.74 Cr) - Fresh Issue36,99,200 Shares
(aggregating up to ₹27.74 Cr)
- Offer for Sale-
- Issue TypeBook Built Issue IPO
- Share holding pre issue1,00,00,000
- Shareholding post issue1,36,99,200
IPO Dates
Closing Date
28 Jan, 2025
Initiation of Refunds
30 Jan, 2025
Listing Date
31 Jan, 2025
24 Jan, 2025
Opening Date
29 Jan, 2025
Basis of Allotment
30 Jan, 2025
Credit of Shares
H.M. Electro Mech Lot Size
Investors can bid for a minimum of 1600 shares and in multiples thereof. The below table depicts the minimum and maximum investment by retail investors and HNI in terms of shares and amount.
| Application | Lots | Shares | Amount |
|---|---|---|---|
| Retail (Min) | 1 | 1600 | ₹1,20,000 |
| B-HNI (Min) | - | - | - |
| S-HNI (Min) | 2 | 3200 | ₹2,40,000 |
| Retail (Max) | 1 | 1600 | ₹1,20,000 |
| S-HNI (Max) | - | - | - |
H.M. Electro Mech Promoter Holding
The promoters of the company are Dipak Padmakant Pandya, Mahendra Ramabhai Patel, Varsha Mahendra Patel and Mita Dipak Pandya.
| Pre Issue Share Holding | Post Issue Share Holding |
|---|---|
| 97.47% | 71.15% |
H.M. Electro Mech COMPANY INFORMATION
H.M. Electro Mech IPO is a book built issue of Rs 27.74 crores. The issue is entirely a fresh issue of 36.99 lakh shares. H.M. Electro Mech IPO opens for subscription on January 24, 2025 and closes on January 28, 2025. The allotment for the H.M. Electro Mech IPO is expected to be finalized on Wednesday, January 29, 2025. H.M. Electro Mech IPO will list on BSE SME with tentative listing date fixed as Friday, January 31, 2025. H.M. Electro Mech IPO price band is set at ₹71 to ₹75 per share. The minimum lot size for an application is 1600. The minimum amount of investment required by retail investors is ₹1,20,000. The minimum lot size investment for HNI is 2 lots (3,200 shares) amounting to ₹2,40,000. Beeline Capital Advisors Pvt Ltd is the book running lead manager of the H.M. Electro Mech IPO, while Cameo Corporate Services Limited is the registrar for the issue.The market maker for H.M. Electro Mech IPO is Spread X Securities Private Limited.
Incorporated in 2003, H.M. Electro Mech Limited is an infrastructure firm specialising in turnkey projects, including supply, installation, testing, and commissioning of pumping machinery and providing comprehensive operation and maintenance services.
The company's core business includes electrification projects with Indian Railways, banks, and municipal corporations. It has also started EPC projects, which include laying cross-country pipelines and civil work for water supply projects such as water treatment plants, pump houses, diesel generators, panel rooms, instrumentation, and PLC-SCADA.
H.M. Electro-Mech has collaborated with other companies for the civil work portion of these EPC projects. Additionally, the company sell products such as pumps, pipes, transformers, and motors.
The company's clients include State Governments, Central Governments, Municipal corporations, the banking sector and educational institutes.
The company operates nationwide, handling projects in Rajasthan, Maharashtra, Madhya Pradesh, Karnataka, Punjab, and Chandigarh.
As of May 31, 2024, the Company had 26 permanent employees and 28 on contracts.
Competitive Strength
- Provides end-to-end solutions for projects, starting from conceptualization to maintenance
- Robust relationships with leading manufacturers and OEMs, facilitating competitive pricing and expedited delivery
- Prompt decision-making process ensures swift project progression and responsiveness to client needs.
- Experienced Management Team
- The team swiftly mobilizes resources for emergencies.
H.M. Electro Mech IPO
IPO Overview and Key Highlights
H.M. Electro Mech, a Gujarat-based company specializing in turnkey projects for supply, installation, testing, and commissioning of pumping machinery and electrification projects, is launching its Initial Public Offering (IPO). The IPO comprises a fresh issue of 36,99,200 equity shares at a face value of ₹10 each. Proceeds will be used for working capital, expansion of business operations, and other general corporate purposes. The shares are set to be listed on the SME Platform of BSE.
Key IPO Details
- Type of Issue: Book Built Issue
- Total Issue Size: 36,99,200 equity shares
- Face Value: ₹10 per share
- Offer Price: To be determined
- Offer Opens: January 24, 2025
- Offer Closes: January 28, 2025
- Listing Exchange: SME Platform of BSE
Company Overview
Founded in 2003, H.M. Electro Mech operates in infrastructure and electrification, with expertise in water supply schemes and engineering, procurement, and construction (EPC) projects. The company holds certifications such as ISO 9001:2015 and Class ‘AA’ with the Gujarat Irrigation Division, offering high credibility for government projects. Promoters include Dipak Pandya, Mahendra Patel, and others.
Financial Overview
The company has demonstrated significant growth, completing projects worth ₹13,209.82 lakhs and engaging in ongoing projects worth ₹41,034.41 lakhs. The IPO funds are expected to bolster its financial capabilities and expand its market presence.
Key Strengths of H.M. Electro Mech
- Expertise in Turnkey Projects: Strong capabilities in pumping machinery and electrification.
- Government Certifications: Class ‘AA’ contractor status and ISO accreditation.
- Expanding Portfolio: Diversification into EPC projects and ongoing projects worth over ₹40,000 lakhs.
IPO Pros and Cons
Pros
- Sectoral Growth: Infrastructure and water management projects are on the rise.
- Proceeds Utilization: Funds aimed at expansion and operational enhancements.
- Established Market Presence: Recognized for timely and efficient project delivery.
Cons
- Market Dependency: Revenue linked to government and infrastructure projects.
- Competitive Landscape: Faces competition from established players in the sector.
- Project Risks: Delays or cost overruns in large-scale projects.
Risk Factors
Investors should consider the following risks:
- Economic Sensitivity: Revenue tied to infrastructure spending by the government.
- Operational Challenges: Managing multiple large-scale projects simultaneously.
- Regulatory Compliance: Adherence to industry and environmental regulations.
Conclusion
The H.M. Electro Mech IPO offers a chance to invest in a growing company with expertise in infrastructure and electrification projects. With certifications and a proven track record in project execution, the company is well-positioned to benefit from increasing government and private sector investments. However, potential investors must evaluate risks related to competition, market dependency, and project execution before making an investment decision.
FAQs About H.M. Electro Mech Ipo
H.M. Electro Mech IPO will open on 24 Jan, 2025 and close on 28 Jan, 2025. Investors must apply within this period to participate.
The H.M. Electro Mech IPO price band is set between ₹71.00 and ₹75.00 per share. The minimum lot size is 1600, requiring an investment of at least ₹120000.00.
The H.M. Electro Mech IPO shares are expected to be listed on 31 Jan, 2025, subject to regulatory approvals and final allotment.
You can track your H.M. Electro Mech IPO application status on the registrar’s website: Link Intime or KFintech using your PAN, application number, or DP ID
The H.M. Electro Mech IPO will be listed on major stock exchanges such as BSE, where you can trade shares once they are listed.