Adeshwar Meditex SME
Listing performance
Scheduled dates
Tentative timetable — a past date is not confirmation the step completed
Issue details
- IPO date
- 15 Jun 2021 – 18 Jun 2021
- Listing date
- 28 Jun 2021
- Face value
- ₹10 per share
- Issue price
- ₹25 per share
- Lot size
- 6,000 shares
- Total issue size
- ₹9.75 Cr
- Market cap at offer price
- ₹36.08 Cr
- Promoter holding
- 58.45% → 42.65% pre-issue → post-issue
- ISIN
- INE0H8J01015
- Registrar
- Bigshare Services Pvt.Ltd.
- Lead managers
- Aryaman Financial Services Ltd.
- Registered office
- 605, 6th floor, Plot-99, Niranjan Building, Bhagwan Todi Bal Udyan Marg, Marine Lines Railway Station, Maharashtra
Reservation and application size
How the issue is split between investor categories, and what each may bid
| Investor category | Shares | % of net | % of total |
|---|---|---|---|
| Market maker | 2,04,000 | — | — |
Application size
Minimum 6,000 shares per lot, in multiples, at ₹25
| Application | Lots | Shares | Amount |
|---|---|---|---|
| Retail (min) | 1 | 6,000 | ₹1,50,000 |
| S-HNI (min) | 2 | 12,000 | ₹3,00,000 |
| S-HNI (max) | 6 | 36,000 | ₹9,00,000 |
| B-HNI (min) | 7 | 42,000 | ₹10,50,000 |
Category limits
| Category | Bid size | Cut-off |
|---|---|---|
| Retail (RII) | Up to ₹2 lakh | Yes |
| Small HNI (sNII) | ₹2 lakh – ₹10 lakh | No |
| Big HNI (bNII) | Above ₹10 lakh | No |
| Employee | Up to ₹5 lakh | Yes |
Bidding at cut-off means accepting the final issue price without naming one. Only retail and employee applicants may do so.
Valuation and performance
Valuation at offer price
| Metric | Pre-issue | Post-issue |
|---|---|---|
| Market cap | — | ₹36.08 Cr |
About Adeshwar Meditex SME
Adeshwar Meditex Limited is an Indian company incorporated on April 2, 2007, engaged in the manufacturing of surgical dressings and external preparations products including sterile surgical wound dressing, tulle dressing, medical disposables, adhesive bandages, absorbent gauze, plaster, disinfectants, and medical kits. The company traces its business back to 1997 when the founder Siddharth Talati started the family business as a proprietary concern before incorporating the company in 2007. The company is ISO 13485:2016 certified and operates a state-of-the-art manufacturing plant at Deewan Industrial Estate, Palghar District, which follows WHO-GMP, CE, and ISO guidelines. With in-house R&D facilities and quality control labs, the company manufactures products for both domestic markets (served through government health departments, corporate hospitals, nursing homes, and retail chemists) and exports to several countries. The company generates revenue through manufacturing and selling of surgical dressings, wound care products, first-aid kits, and related medical disposables.
Company Analysis
from DRHPAdeshwar Meditex Limited manufactures surgical dressings and external preparations for wound care and wound management, serving domestic and international markets.
Adeshwar Meditex Limited is an Indian company incorporated on April 2, 2007, engaged in the manufacturing of surgical dressings and external preparations products including sterile surgical wound dressing, tulle dressing, medical disposables, adhesive bandages, absorbent gauze, plaster, disinfectants, and medical kits. The company traces its business back to 1997 when the founder Siddharth Talati started the family business as a proprietary concern before incorporating the company in 2007. The company is ISO 13485:2016 certified and operates a state-of-the-art manufacturing plant at Deewan Industrial Estate, Palghar District, which follows WHO-GMP, CE, and ISO guidelines. With in-house R&D facilities and quality control labs, the company manufactures products for both domestic markets (served through government health departments, corporate hospitals, nursing homes, and retail chemists) and exports to several countries. The company generates revenue through manufacturing and selling of surgical dressings, wound care products, first-aid kits, and related medical disposables.
Objects of the Issue
- Part Repayment of Loans ₹ 200.00 lakhs p.64
- Funding Working capital requirements ₹ 525.00 lakhs p.64
- General Corporate Purpose [●] p.65
Issue Structure
- Total Issue
- Up to 39,00,000 Equity Shares of ₹ 10 each, aggregating to ₹ [●] lakhs
- Fresh Issue
- Up to 39,00,000 Equity Shares of face value of ₹ 10 each for cash at a price of ₹ [●] per Equity Share
- Price Band
- ₹ [●]
- Lot Size
- [●]
- Face Value
- ₹ 10
Business Model
The company earns revenue through manufacturing and sale of surgical dressings and external preparations for wound care management, which includes sterile surgical wound dressings, tulle dressings, medical disposables, adhesive bandages, absorbent gauze, plasters, disinfectants, medical kits, first-aid kits, and other hospital protective wears. Revenue is derived from both domestic sales (89.02% for nine months ended December 31, 2020) and exports (10.98%). The company supplies to central and state government health departments, corporate hospitals, institutions, nursing homes, and retail chemists domestically, and exports to several countries through marketing agents and distributors.
Business Segments
SWOT Analysis
- • Experienced promoter with 51 years in wound care industry(p.109)
- • ISO 13485:2016 certified manufacturing facility with WHO-GMP compliance(p.82)
- • Established brand with 18 registered trademarks(p.82)
- • Diversified product portfolio spanning surgical dressings and medical disposables(p.82)
- • In-house R&D and quality control laboratory(p.82)
- • Strong domestic customer relationships with repeat business(p.83)
- • Export presence across multiple countries(p.82)
- • Improved capacity utilization trajectory(p.24)
- • Substantial debt burden with ₹2,367.75 lakhs outstanding as of December 31, 2020(p.19)
- • High dependence on limited customer base with top 10 customers accounting for 79.58% of revenue(p.21)
- • Dependence on few suppliers with top 10 suppliers contributing 72.62% of purchases(p.30)
- • Manufacturing concentrated in single location with exposure to regional risks(p.24)
- • Negative cash flows from operations in prior years (FY2019 and FY2018)(p.22)
- • Unsecured loans from directors repayable on demand creating liquidity risk(p.19)
- • Registered office held on leave-and-license basis creating operational uncertainty(p.30)
- • Operating at below capacity with only 45-60% utilization across product lines(p.91)
- • India's wound care market projected to grow at 5.5% CAGR through 2027(p.72)
- • Global advanced wound dressing market expanding at 5.5% CAGR to USD 24.8 billion by 2024(p.72)
- • Growing diabetic population driving demand for wound care products in India(p.78)
- • Medical tapes and bandages market growing at 5% CAGR in India(p.72)
- • Expanding availability of working capital to increase order-taking capacity(p.85)
- • Strategy to increase domestic market penetration in non-penetrated geographies(p.85)
- • International market expansion opportunity leveraging R&D capabilities(p.85)
- • Wound care products market growing at 20.3% CAGR during FY2017-FY2022(p.72)
- • COVID-19 pandemic creating operational disruptions and uncertainty(p.20)
- • Intense competition from larger players with greater resources(p.92)
- • Industry fragmentation with no entry barriers enabling increased competition(p.92)
- • Volatile raw material costs affecting profitability(p.19)
- • Risk of regulatory changes impacting operations and costs(p.23)
- • Power supply disruptions affecting manufacturing processes(p.26)
- • Dependence on contract labor with potential for disputes and disruptions(p.26)
- • Foreign exchange volatility impacting export margins(p.31)
Promoters
| Name | Role | Pre-Issue | Post-Issue |
|---|---|---|---|
| Siddharth Talati | Promoter | 54.19% | 39.54% |
| Sucheta Talati | Promoter Group | 4.26% | 3.11% |
Leadership
Auto-extracted from the company's DRHP using AI, with each fact linked to its source passage (hover any row to see the quote & page). Provided for research only, not investment advice — verify against the official DRHP before relying on it.