Royalarc Electrodes IPO Upcoming
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Schedule of Royalarc Electrodes
| Issue open date | 14 Feb 2025 |
| Issue close date | 18 Feb 2025 |
| UPI mandate deadline | 18 Feb 2025 (5 PM) |
| Allotment finalization | 19 Feb 2025 |
| Refund initiation | 20 Feb 2025 |
| Share credit | 20 Feb 2025 |
| Listing date | 21 Feb 2025 |
| Mandate end date | 05 Mar 2025 |
| Lock-in end date for anchor investors (50%) | 21 Mar 2025 |
| Lock-in end date for anchor investors (remaining) | 20 May 2025 |
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 Royalarc Electrodes
Established in 1996, Royalarc Electrodes specializes in manufacturing welding consumables, including welding electrodes, flux-cored wire, and MIG/TIG wires. These products are essential for welding tanks, boilers, heavy structures, beams, pipes, cylinders, and pressure vessels used across industries such as railways, roadways, airport infrastructure, refineries, shipyards, mining, sugar production, telecom, thermal power, and pre-engineered buildings (PEB). In addition to manufacturing, Royalarc Electrodes trades in ancillary products like wheels, electro slag, welding flux-cored wire, electro slag strip cladding, SAW flux, and TIG/MIG wires. Products are supplied to a strong domestic market and exported to over 20 countries.
Financials of Royalarc Electrodes
Issue size
| Funds Raised in the IPO | Amount |
| Overall | ₹36 crores |
| Fresh Issue | ₹21.6 crores |
| Offer for Sale | ₹14.4 crores |
Utilisation of proceeds
| Purpose | INR crores (%) |
| Capital Expenditure | 4.89 (22.64%) |
| Working capital requirements | 14 (64.81%) |
| General corporate purposes | 2.71 (12.55%) |
Strengths
- Wide geographical presence across India and 20+ export countries.
- Diverse customer base spanning multiple industries and applications.
- Strong distribution network with dealers, distributors, and direct sales.
- Focus on product quality through stringent testing and standards.
- Integrated and cost-effective offerings ensuring competitive pricing.
- Commitment to innovation and continuous process improvements.
- Strategic investment in technology for automation and efficiency gains.
- Energy-efficient manufacturing with solar power and gas-fired furnaces.
Risks
- Heavy reliance on domestic market, affects revenue and growth.
- Single manufacturing facility, vulnerable to disruptions and operational risks.
- Dependency on key customers, loss may impact revenue stability.
- Raw material price fluctuations, affect profitability and cost management.
- Regulatory and compliance risks, potential legal or financial consequences.
- Industry competition pressure, impacts pricing, margins, and market share.
- Macroeconomic conditions impact, including inflation and supply chain disruptions.
Allotment Status for Royalarc Electrodes
To check your allotment status – click here.