HP Telecom India
Listing performance
Scheduled dates
Tentative timetable — a past date is not confirmation the step completed
Issue details
- IPO date
- 20 Feb 2025 – 24 Feb 2025
- Listing date
- 28 Feb 2025
- Face value
- ₹10 per share
- Issue price
- ₹108 per share
- Lot size
- 1,200 shares
- Issue type
- Fixed Price issue
- Listing at
- NSE
- Total issue size
- ₹34.23 Cr
- Market cap at offer price
- ₹129 Cr
- Promoter holding
- 99.99% → 73.40% pre-issue → post-issue
- ISIN
- INE0VA601019
- Registrar
- Bigshare Services Pvt.Ltd.
- Lead managers
- Interactive Financial Services Ltd.
- Registered office
- Plot No 97, 01st Floor, Om Square, Near Ishwar Farm, BRTS, Canal Road, Bhatar, Althan, Gujarat
Reservation and application size
How the issue is split between investor categories, and what each may bid
| Investor category | Shares | % of net | % of total |
|---|---|---|---|
| Anchor investor · within QIB | 0 | — | — |
| Market maker | 1,59,600 | — | — |
Application size
Minimum 1,200 shares per lot, in multiples, at ₹108
| Application | Lots | Shares | Amount |
|---|---|---|---|
| Retail (min) | 1 | 1,200 | ₹1,29,600 |
| S-HNI (min) | 2 | 2,400 | ₹2,59,200 |
| S-HNI (max) | 7 | 8,400 | ₹9,07,200 |
| B-HNI (min) | 8 | 9,600 | ₹10,36,800 |
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.
Anchor investors
Institutional allocation placed a day before the issue opens, carved out of the QIB portion and locked in after listing.
Valuation and performance
Valuation at offer price
| Metric | Pre-issue | Post-issue |
|---|---|---|
| EPS (₹) | 9.84 | 8.79 |
| P/E (×) | 10.98 | 12.29 |
| Price to book (×) | 3.24 | — |
| Market cap | — | ₹129 Cr |
Key performance indicators
- Return on net worth
- 29.56%
- ROCE
- 66.62%
- PAT margin
- 0.81%
- NAV per share
- ₹33.29
- Price to book
- 3.24
Single period as reported. Year-on-year movement is in the financials table below, where every period is published.
About HP Telecom India
HP Telecom India Limited, incorporated on March 26, 2011, operates as a distributor of consumer electronics, primarily functioning as the exclusive distributor of Apple's range of devices (iPhone, iPad, Mac, Apple Watch, and accessories) across significant territories including Madhya Pradesh & Chhattisgarh, select cities in Uttar Pradesh, and major urban centers in Gujarat. The company derives over 80% of its revenue from Apple product distribution, with remaining revenue generated through distribution of other brands including JIO Recharge, JIO Phones, INFINIX Mobiles, and recently acquired distribution rights for 'Nothing' in Gujarat. The company operates through a network of Channel Partners and customers on a B2B basis, extending credit to customers for a significant portion of sales. As of September 30, 2024, the company had 7 permanent employees and 84 contractual employees.
Company Analysis
from RHPHP Telecom India Limited is an exclusive regional distributor of Apple products and select other consumer electronics brands across Madhya Pradesh, Chhattisgarh, select Uttar Pradesh cities, and Gujarat.
HP Telecom India Limited, incorporated on March 26, 2011, operates as a distributor of consumer electronics, primarily functioning as the exclusive distributor of Apple's range of devices (iPhone, iPad, Mac, Apple Watch, and accessories) across significant territories including Madhya Pradesh & Chhattisgarh, select cities in Uttar Pradesh, and major urban centers in Gujarat. The company derives over 80% of its revenue from Apple product distribution, with remaining revenue generated through distribution of other brands including JIO Recharge, JIO Phones, INFINIX Mobiles, and recently acquired distribution rights for 'Nothing' in Gujarat. The company operates through a network of Channel Partners and customers on a B2B basis, extending credit to customers for a significant portion of sales. As of September 30, 2024, the company had 7 permanent employees and 84 contractual employees.
Objects of the Issue
- Funding the working capital requirements of our Company ₹3000.00 lakhs p.19
- General Corporate Purpose ₹350.00 lakhs p.19
- Funding the working capital requirements of our Company ₹3,000.00 lakhs p.67
- General Corporate Purpose ₹350.00 lakhs p.67
Issue Structure
- Total Issue
- ₹3422.74 lakhs (31,69,200 Equity Shares at ₹108 per share)
- Fresh Issue
- 31,69,200 Equity Shares aggregating up to ₹3,422.74 lakhs
- Price Band
- Fixed Price of ₹108 per Equity Share (including securities premium of ₹98 per Equity Share)
- Lot Size
- 1200 Equity Shares as market lot and in multiples of 1200 thereafter; minimum allotment of 1200 Equity Shares to successful applicants
- Face Value
- ₹10 per Equity Share
Business Model
Distribution of consumer electronics, primarily Apple products sold on credit to B2B channel partners and customers. Revenue is generated through sales of Apple products (87.42% of FY 2024 revenue) and other electronics brands. The company stores inventory at warehouses in Bhiwandi, Maharashtra and Noida, Uttar Pradesh, from which products are distributed based on customer orders.
Business Segments
SWOT Analysis
- • Exclusive regional distributor of premium Apple products in key territories(p.18)
- • Strong revenue concentration from Apple distribution providing market dominance(p.18)
- • Growing net worth demonstrating financial stability and reinvestment(p.20)
- • Exclusive Apple distribution rights across multiple states(p.95)
- • Apple products represent over 80% of revenue(p.68)
- • Strong brand reputation through association with Apple(p.95)
- • Experienced leadership with 21 years in smartphone distribution(p.95)
- • Strong supplier relationships with national distributors(p.95)
- • Substantial financial resources and liquidity(p.96)
- • Robust dealer network across designated territories(p.94)
- • Strong growth trajectory in recent years(p.69)
- • Rapid revenue growth and market expansion(p.114)
- • Strong profitability trajectory(p.165)
- • Dominant position as regional Apple distributor(p.165)
- • High inventory turnover efficiency(p.161)
- • Established management with industry experience(p.117)
- • Heavy dependence on a single brand (Apple) creates revenue concentration risk(p.26)
- • Distribution agreements with OEMs are terminable without cause, creating contract vulnerability(p.26)
- • No trademark registration exposes brand to unauthorized use(p.29)
- • Leased business premises create operational disruption risk(p.29)
- • High working capital intensity with significant credit exposure to customers(p.29)
- • Significant debt burden with secured lending creating asset forfeit risk(p.32)
- • Directors lack experience managing publicly listed companies(p.37)
- • Pending legal proceedings involving promoters create reputational and financial risk(p.27)
- • Extreme dependence on single customer - Apple represents 87.42% of revenue(p.92)
- • Limited geographic presence - regional distributor status(p.68)
- • High debt burden with debt-to-equity concerns(p.76)
- • Significant inventory concentration risk(p.69)
- • Top 10 suppliers represent 96.14% of purchases(p.93)
- • Low net profit margins averaging less than 1%(p.76)
- • Heavy dependence on single supplier(p.165)
- • Significant debt burden relative to equity(p.151)
- • High short-term borrowings concentration(p.151)
- • Thin net profit margins(p.161)
- • Majority workforce on outsourced contracts(p.154)
- • No strategic partnerships or subsidiaries(p.115)
- • Expansion into new product distribution channels beyond Apple(p.18)
- • Rapidly growing Indian electronics industry with government support(p.18)
- • Rising demand for premium consumer electronics in India(p.18)
- • Geographic expansion potential across multiple states(p.18)
- • Expansion to Direct Partner status with Apple(p.96)
- • Market penetration through increased dealer network(p.96)
- • Geographic expansion into new states(p.96)
- • India's rapidly growing consumer electronics market(p.82)
- • Apple's ambitious expansion in India production(p.88)
- • Growing wearables market with India becoming largest in 2023(p.88)
- • Diversification into complementary brands like Nothing(p.90)
- • Expansion into new product categories(p.113)
- • Geographic expansion potential(p.164)
- • Increased Apple India market demand(p.167)
- • Growing smartphone penetration in regional markets(p.165)
- • Potential for value-added services in distribution(p.113)
- • Risk of brand partner reducing distribution through exclusive channels(p.26)
- • OEM may authorize additional distributors in service territories creating competition(p.26)
- • Intense competition with lower entry barriers in distribution sector(p.38)
- • Rapid technological obsolescence and changing consumer preferences(p.27)
- • Macroeconomic downturn and reduced consumer purchasing power affecting demand(p.43)
- • Supply chain disruptions from third-party logistics providers(p.32)
- • Exchange rate fluctuations impacting foreign currency transactions(p.40)
- • Regulatory and licensing approval risks for ongoing business operations(p.31)
- • Extreme dependence on Apple's business strategy and policies(p.94)
- • Intense competition in smartphone and electronics distribution(p.82)
- • Regulatory changes in consumer protection and e-commerce(p.106)
- • Working capital cycle management risks(p.96)
- • Price volatility and foreign exchange fluctuations(p.67)
- • Rapid technological obsolescence in consumer electronics(p.86)
- • Economic slowdown impacting consumer discretionary spending(p.82)
- • Dependence on Apple's continued distributorship(p.164)
- • Regulatory compliance risks in multiple jurisdictions(p.164)
- • Competition from new entrants and existing distributors(p.164)
- • Inventory management vulnerability(p.164)
- • Economic and fiscal policy changes affecting operations(p.164)
- • Exposure to foreign exchange fluctuations(p.111)
Promoters
| Name | Role | Pre-Issue | Post-Issue |
|---|---|---|---|
| Vijay Lalsingh Yadav | Promoter | 50.34% | 36.95% |
| Seemabahen Vijay Yadav | Promoter | 42.63% | 31.29% |
| Bharatlal Lalsingh Singh | Promoter | 2.91% | 2.14% |
| Vijay Lalsingh Yadav | Promoter | 50.34% | 36.95% |
| Seemabahen Vijay Yadav | Promoter | 42.63% | 31.29% |
| Bharatlal Lalsingh Singh | Promoter | 2.91% | 2.14% |
| Krishna Lalsingh Yadav | Promoter Group | 2.40% | 1.76% |
| Sangita Yadav | Promoter Group | 1.71% | 1.26% |
| Vijay Lalsingh Yadav | Promoter | 50.34% | — |
| Seemabahen Vijay Yadav | Promoter | 42.62% | — |
| Bharatlal Lalsingh Singh | Promoter | 2.91% | — |
| Vijay Lalsingh Yadav | Promoter/Director of HV Connecting Infra (India) Private Limited | — | — |
Leadership
Auto-extracted from the company's RHP 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 RHP before relying on it.