Schedule of Resourceful Automobile
| Issue open date | 22 Aug 2024 |
| Issue close date | 26 Aug 2024 |
| UPI mandate deadline | 26 Aug 2024 (5 PM) |
| Allotment finalization | 27 Aug 2024 |
| Refund initiation | 28 Aug 2024 |
| Share credit | 28 Aug 2024 |
| Listing date | 29 Aug 2024 |
| Mandate end date | 10 Sep 2024 |
| Lock-in end date for anchor investors (50%) | 26 Sep 2024 |
| Lock-in end date for anchor investors (remaining) | 25 Nov 2024 |
Note: The schedule is tentative. The anchor lock-in period ends 30 days after the actual allotment date for 50% of the shares and 90 days after for the remaining portion. The allotment status can be checked on the registrar's website and the exchange website.
About Resourceful Automobile
Resourceful Automobile Limited primarily deals in Yamaha two-wheelers under the dealership name “Sawhney Automobile,” offering a wide range of models, including commuter bikes, sport bikes, cruisers, and scooters. As an authorized Yamaha dealership, the company provides access to the latest models, genuine spare parts, and customer support services.
The company has two showrooms in New Delhi: one in Dwarka, which is a Yamaha Blue Square outlet featuring the entire Yamaha product line, and another on Palam Road. Both locations offer after-sales services, such as repairs and maintenance, through their attached workshops.
Financials of Resourceful Automobile
Issue size
| Funds Raised in the IPO | Amount |
| Overall | ₹11.99 crores |
| Fresh Issue | ₹11.99 crores |
| Offer for sale | – |
Utilisation of proceeds
| Purpose | INR crores (%) |
| Expansion of new showrooms in Delhi/NCR | 2.16 (19.07%) |
| Debt reduction | 4.56 (40.20%) |
| Incremental Working Capital Requirements | 3.36 (29.63%) |
| General corporate purposes | 1.26 (11.00%) |
Strengths
- Experienced Management Team: The promoters bring over a decade of experience in the motorbike industry, which contributes to the company’s operational stability and growth potential.
- Diverse Product Range: A broad range of premium bikes and scooters caters to different customer needs, backed by a focus on providing quality service.
- Strategic Location: Operations in well-connected locations in the Delhi/NCR region, which benefit from affluent customers.
- Brand Partnerships: Long-standing relationships with brands like Yamaha provide a competitive edge through access to the latest models and parts.
Risks
- Revenue Dependency: A significant portion of the business revenue comes from dealership agreements. Any adverse changes in these agreements could impact operations.
- Dependence on Original Equipment Manufacturers (OEMs): A large portion of the company’s revenue relies on its dealership with Yamaha Motors, an Original Equipment Manufacturer (OEM). Any downturn in demand or sales of Yamaha vehicles could adversely affect the company’s financial performance.
- Industry Volatility: The automotive sector is subject to rapid changes, including the rise of electric vehicles, shifts in economic conditions, interest rates, and consumer preferences. These factors could reduce demand for traditional vehicles and negatively impact the company’s financial health.
- Short-Term Loans: The company has significant outstanding unsecured loans that can be recalled at any time.