Royalarc Electrodes IPO
GMP, Subscription, Price, Dates & Financial Details
Royalarc Electrodes Limited is a company incorporated in Mumbai, Maharashtra, on January 15, 1996, as “Royalarc Electrodes Private Limited” under the Companies Act, 1956. It was later converted to a public limited company on March 9, 2005, and the name was changed to “Royalarc Electrodes Limited.”…
Open Date
Fri, 14 Feb 2025
Close Date
Tue, 18 Feb 2025
Price Band
₹ 114 – 120
Lot Size
1200
Issue Size
₹ 36.00 Cr
Minimum Investment
₹ 288,000 (2400 Shares)
Grey Market Premium Analysis
Day Wise GMP→Unofficial premium quoted in the grey market, tracked daily against the price band cap.
Grey market trading is unregulated. GMP figures are indicative only and should not be the sole basis for investment decisions - treat as a sentiment indicator, not a guarantee.
IPO Details
Royalarc Electrodes IPO has successfully completed its IPO process and is now listed on NSE SME Platform. According to the Red Herring Prospectus (RHP), the IPO was a book-built issue with a total issue size of ₹36.00 Crore, comprising a fresh issue of 18.00 Lakh equity shares aggregating to ₹21.60 Crore and an offer for sale (OFS) of 12.00 Lakh equity shares aggregating to ₹14.40 Crore by the existing shareholders.
The Royalarc Electrodes IPO remained open for subscription from February 14, 2025, to February 18, 2025. The basis of allotment was finalized on February 19, 2025, and the company's shares were listed on NSE SME Platform on February 24, 2025.
The company had fixed the price band at ₹114 to ₹120 per share, with a lot size of 1200 shares. Retail investors were required to make a minimum investment of ₹288,000 (based on the upper price band) to apply for one lot.
KFin Technologies Limited served as the registrar to the issue. Fedex Securities Private Limited acted as the Book Running Lead Managers (BRLMs) to the issue.
With the successful completion of the IPO process, Royalarc Electrodes Limited is now a publicly listed company on NSE SME Platform. Investors can track the company's share price, trading performance, financial results, and corporate announcements through the stock exchanges.
Royalarc Electrodes IPO Timeline (Tentative)
- IPO Open Date
- Fri, 14 Feb 25
- IPO Close Date
- Tue, 18 Feb 25
- Basis of Allotment
- Wed, 19 Feb 25
- Initiation of Refunds
- Thu, 20 Feb 25
- Credit of Shares to Demat
- Thu, 20 Feb 25
- Listing Date
- Mon, 24 Feb 25 — NSE & BSE
Open Date
14 February 2025
Close Date
18 February 2025
Basis Of Allotment
19 February 2025
Listing Date
24 February 2025
IPO Subscription
Check Live Subscription →The Royalarc Electrodes IPO has received bids for 33,55,200 shares against 20,06,400 shares offered, resulting in an overall subscription of 1.67x. the NII category is subscribed 1.27x, Retail Investors 2.2x, and QIBs 1.04x.
QIB
1.04x
NII
1.27x
RII
2.2x
Total
1.67x
IPO Reservations
The Retail Individual Investor (RII) category has the highest allocation with 10,00,800 shares, representing 33.36% of the total issue. Qualified Institutional Buyers (QIBs) are allocated 5,60,400 shares (18.68%), while Non-Institutional Investors (NIIs) receive 4,45,200 shares (14.84%).
| Category | Shares Offered | Shares Offered % |
|---|---|---|
| Anchor Investors | 840,000 | 28% |
| Market Maker | 153,600 | 5.12% |
| Qualified Institutions | 560,400 | 18.68% |
| Non-Institutional | 445,200 | 14.84% |
| Retail Investors | 1,000,800 | 33.36% |
| Total | 3,000,000 | 100% |
Financials Details(₹ in Crores)
| Particular | 30 Sep 2024 | 31 Mar 2024 | 31 Mar 2023 | 31 Mar 2022 |
|---|---|---|---|---|
| Assets | 55.69 | 52.25 | 43.85 | 42.48 |
| Revenue | 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 |
| Reserve & Surplus | 36.15 | 32.97 | 28.53 | 18.96 |
| Total Borrowings | 2.02 | 0.2 | 1.42 | 7.81 |
Financials Performance
Performance Indicators
EPS Pre
Earnings per share before the IPO.
P/E Pre
IPO Offer Price ÷ EPS Pre.
EPS Post
Expected earnings per share after the IPO..
P/E (Post Issue)
IPO Offer Price ÷ EPS Post.
Royalarc Electrodes Limited KPI Information
| Particular | KPI as of Mar 31, 2024. |
|---|---|
| ROE % | 32.85 |
| ROCE % | 37.73 |
| RoNW % | 28.21 |
| Pat Margin % | 11.95 |
Peers Comparison
No Peer Comparision Available
About Royalarc Electrodes Limited
Royalarc Electrodes Limited is a company incorporated in Mumbai, Maharashtra, on January 15, 1996, as “Royalarc Electrodes Private Limited” under the Companies Act, 1956. It was later converted to a public limited company on March 9, 2005, and the name was changed to “Royalarc Electrodes Limited.” In June 2023, the company further changed its name to “Royal Arc Electrodes Limited.”
The company specializes in the manufacturing of welding consumables, including welding electrodes, flux-cored wire, MIG/TIG wires, and various ancillary products. These products are primarily used across industries such as railways, roadways, airport infrastructure, refineries, shipyards, mines, sugar industries, telecom, and thermal power stations.
The company operates from a highly advanced manufacturing facility in Zaroli, Umbergaon, Gujarat, which spans 25,082.61 square meters. The facility is equipped with advanced machinery and quality assurance equipment to ensure products meet international standards. The company’s products undergo stringent testing and certification, including certifications from organizations like the American Bureau of Shipping (ABS), Indian Boilers Regulation (IBR), and Bureau of Indian Standards (BIS).
Royalarc Electrodes Limited manufactures and supplies welding products made from materials like MS strips, MS wire, SS strips, SS wire, nickel wire, and ferro alloy powder. The company's manufacturing processes include wire drawing, cutting, powder mixing, and baking. It has ISO 9001:2015 certification and caters to both domestic and international markets, exporting to over 20 countries.
The company’s raw materials are procured from domestic suppliers, and the cost of raw materials consumed accounted for a significant portion of its revenue over the past years.
In terms of products, the company offers various types of welding electrodes, flux-cored wires, and MIG/TIG wires, with each product serving different industries and applications. While MIG/TIG wires were historically manufactured in-house, the company has temporarily switched to trading these products based on market demand, with an installed manufacturing capacity of 60 MT per month for MIG/TIG wires.
The company is led by experienced promoters with deep knowledge of the welding consumable industry and has a workforce of 144 employees, including skilled labor and management. The business is characterized by strong client relationships, with a majority of its business coming from repeat clients.
Royalarc Electrodes IPO Promoters
- Bipin Sanghvi
- Tarulata Sanghvi
- Hardik Sanghvi
- Swagat Sanghvi
Promoters Holding
Holding Pre Issue
99.99%
Holding Post Issue
72.96%
Royalarc Electrodes IPO Objective
The Company proposes to utilize the net proceeds from the Fresh Issue towards funding the following objects:
- Funding towards the expansion of the manufacturing facility situated at Village Zaroli, Umbergaon Valsad, Gujarat, Bharat
- Funding the working capital requirements of the Company
- General corporate purposes
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.
Royalarc Electrodes Limited Address / Contact Details
Royalarc Electrodes Limited
72 B, Bombay Talkies Compound,
S.V. Road Malad West, Mumbai,
Maharashtra, India, 400064
Phone: +91 78880 00553
Email: cs@royalarc.in
Website: https://royalarc.in/
IPO Snapshot
Royalarc Electrodes IPO Lot Size
The Royalarc Electrodes IPO has a lot size of 1,200 shares. Retail investors require a minimum investment of ₹1,44,000 by applying for 1 lot (1,200 shares). The maximum application allowed for the retail category is 1 lots (1,200 shares), requiring an investment of ₹1,44,000.
| Application | Lots | Shares | Amount (₹) |
|---|---|---|---|
| Retail (Min) | 1 | 1,200 | 144,000.00 |
| Retail (Max) | 1 | 1,200 | 144,000.00 |
| S-HNI (Min) | 2 | 2,400 | 288,000.00 |
Issue Reservation
- Anchor Investors — 28%
- Market Maker — 5.12%
- QIB — 18.68%
- NII — 14.84%
- RII — 33.36%
Book Running Lead Managers
- Fedex Securities Private Limited
IPO Documents & Links
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Disclaimer: This data is for informational purposes only and does not constitute investment advice.
Frequently Asked Questions
Everything you need to know before applying to an IPO.
What is the Royalarc Electrodes IPO?
Royalarc Electrodes IPO is a Book-building IPO with a total issue size of ₹36 crore. The Royalarc Electrodes IPO price band is ₹114 to 120 per share. The Royalarc Electrodes IPO subscription opens on Fri, Feb 14, 2025, and closes on Tue, Feb 18, 2025. The Royalarc Electrodes IPO will be listed on the NSE. KFin Technologies Limited is the registrar for the Royalarc Electrodes IPO.
When will the Royalarc Electrodes IPO open for subscription?
The Royalarc Electrodes IPO opens on Fri, Feb 14, 2025 and closes on Tue, Feb 18, 2025
What is Royalarc Electrodes IPO Price Band?
Royalarc Electrodes IPO Price Band is ₹114 to 120 per share.
What is Royalarc Electrodes IPO Lot Size?
Royalarc Electrodes IPO lot size is 1200 shares, Retail investors need a minimum investment of ₹288000 based on the upper price band
What is the minimum investment for Royalarc Electrodes IPO?
The minimum investment for Royalarc Electrodes IPO is ₹288000, based on one lot of 1200 shares at the upper price band of ₹120 per share.
How to apply for Royalarc Electrodes IPO?
Investors can apply for the Royalarc Electrodes IPO through the ASBA (Application Supported by Blocked Amount) facility offered by their bank or through UPI using a SEBI-registered broker or trading app. Select the desired lot size, enter your bid within the price band, and submit the application before Tue, Feb 18, 2025. The application amount remains blocked until the Royalarc Electrodes IPO allotment is finalized.
What is Royalarc Electrodes IPO Issue Size?
Royalarc Electrodes IPO issue size is ₹36 crores.
What is the Royalarc Electrodes IPO Allotment Date?
Royalarc Electrodes IPO allotment date is Wed, Feb 19, 2025.
Who is the Royalarc Electrodes IPO Registrar?
The registrar for Royalarc Electrodes IPO is KFin Technologies Limited. Investors can go to KFin Technologies Limited website to check Royalarc Electrodes IPO allotment status, refund processing, and other IPO-related information.
Who is the Royalarc Electrodes IPO Lead Manager?
The book-running lead managers (BRLMs) for the Royalarc Electrodes IPO are Fedex Securities Private Limited. The lead managers are responsible for managing the IPO process, including issue structuring, regulatory compliance, marketing the public issue, coordinating with investors, and ensuring a smooth listing process. For complete details, investors should refer to the Royalarc Electrodes IPO Red Herring Prospectus (RHP).