Schedule of Aditya Ultra Steel
| Issue open date | 09 Sep 2024 |
| Issue close date | 11 Sep 2024 |
| UPI mandate deadline | 11 Sep 2024 (5 PM) |
| Allotment finalization | 12 Sep 2024 |
| Refund initiation | 13 Sep 2024 |
| Share credit | 13 Sep 2024 |
| Listing date | 16 Sep 2024 |
| Mandate end date | 26 Sep 2024 |
| Lock-in end date for anchor investors (50%) | 12 Oct 2024 |
| Lock-in end date for anchor investors (remaining) | 11 Dec 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 Aditya Ultra Steel
Incorporated in 2011, Aditya Ultra Steel is engaged in the business of manufacturing rolled steel products i.e. TMT bars under the Kamdhenu brand catering mainly to the construction industry and for infrastructure development. The company manufactures TMT bars from billets through a reheating furnace and rolling mill. It designs and manufactures TMT bars and sells them on B2B Basis. The company’s manufacturing facility is in Wankaner, Gujarat, and has a production capacity of 1,08,000 MT for TMT bars.
Financials of Aditya Ultra Steel
Issue size
| Funds Raised in the IPO | Amount |
| Overall | ₹45.88 crores |
| Fresh Issue | ₹45.88 crores |
| Offer for sale | – |
Utilisation of proceeds
| Purpose | INR crores (%) |
| Capital expenditure | 15.35 (33.45%) |
| General corporate purposes | 30.53 (62.45%) |
Strengths
- The company’s strategically located manufacturing plant has infrastructure facilities such as power supply, roads, water supply, etc. The manufacturing plant enjoys good connectivity through roads which makes the movements of the raw-material as well as finished goods easy and hassle-free.
- The Company-owned vehicles’ fleet helps them accommodate urgent orders, adapt to fluctuating production schedules, navigate unforeseen logistical challenges, exert greater control over delivery timelines, and ensure timely fulfilment of customer requirements.
Risks
- The company has a retail license agreement for the Kamdhenu Brand in the Kutch and Saurashtra region of Gujarat and faces several risks like negative publicity, quality issues, or controversies due to its dependency on the Kamdhenu brand.
- Almost the entire company’s operations are limited in the state of Gujarat. Any adverse development affecting the operations in this region could adversely impact the business.
- The company generates nearly 94% of its revenue from its top 10 clients. The loss of any of these large customers may affect revenues and profitability.
- The steel industry is highly cyclical and any adverse variation in steel prices may negatively impact the Company’s results of operations and financial condition.