Kundan Edifice
Listing performance
Scheduled dates
Tentative timetable — a past date is not confirmation the step completed
Issue details
- IPO date
- 12 Sep 2023 – 15 Sep 2023
- Listing date
- 26 Sep 2023
- Face value
- ₹10 per share
- Issue price
- ₹91 per share
- Lot size
- 1,200 shares
- Issue type
- Fixed Price issue
- Total issue size
- ₹25.23 Cr
- Market cap at offer price
- ₹93.48 Cr
- Promoter holding
- 99.00% → 72.28% pre-issue → post-issue
- ISIN
- INE0OWX01025
- Registrar
- Cameo Corporate Services Ltd.
- Lead managers
- Fedex Securities Pvt.Ltd.
- Registered office
- Gala A/ B, Ganesh Industrial Estate, behind Burma Shell Petrol Pump, Vasai East, Palghar, 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 | 1,41,600 | — | — |
Application size
Minimum 1,200 shares per lot, in multiples, at ₹91
| Application | Lots | Shares | Amount |
|---|---|---|---|
| Retail (min) | 1 | 1,200 | ₹1,09,200 |
| S-HNI (min) | 2 | 2,400 | ₹2,18,400 |
| S-HNI (max) | 9 | 10,800 | ₹9,82,800 |
| B-HNI (min) | 10 | 12,000 | ₹10,92,000 |
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 |
|---|---|---|
| EPS (₹) | 6.84 | — |
| P/E (×) | 13.30 | — |
| Market cap | — | ₹93.48 Cr |
Key performance indicators
- Return on net worth
- 63.28%
- ROCE
- 43.69%
- Debt / equity
- 1.79
- PAT margin
- 8.52%
- NAV per share
- ₹10.81
Single period as reported. Year-on-year movement is in the financials table below, where every period is published.
About Kundan Edifice
Kundan Edifice Limited (formerly Kundan Edifice Private Limited) was incorporated in 2010 and converted into a public limited company on May 8, 2023. The company entered the LED lighting business in 2014 and commenced manufacturing LED strip lights in 2016. As an EMS (Electronics Manufacturing Services) company, primarily operating in the ODM (Original Design Manufacturer) model, the company designs, develops, manufactures, and supplies LED strip lighting products to customers who distribute them under their own brands. The company operates two modern manufacturing facilities in Maharashtra (Vasai and Bhiwandi) equipped with state-of-the-art machinery including SMT lines, moulding machines, and extrusion lines. It has demonstrated strong financial growth with revenue from operations increasing from ₹646.41 lakhs in FY2020 to ₹3,247.25 lakhs in FY2022, and EBITDA margins of 8.57% in FY2022. The company serves a diversified customer base in the lighting industry and has maintained high customer retention with repeat customers accounting for 45-65% of annual revenues.
Company Analysis
from DRHPKundan Edifice Limited is an original design manufacturer (ODM) of LED strip lighting products serving the electronics system design and manufacturing (ESDM) sector across real estate, railways, automobiles, and decorative lighting applications.
Kundan Edifice Limited (formerly Kundan Edifice Private Limited) was incorporated in 2010 and converted into a public limited company on May 8, 2023. The company entered the LED lighting business in 2014 and commenced manufacturing LED strip lights in 2016. As an EMS (Electronics Manufacturing Services) company, primarily operating in the ODM (Original Design Manufacturer) model, the company designs, develops, manufactures, and supplies LED strip lighting products to customers who distribute them under their own brands. The company operates two modern manufacturing facilities in Maharashtra (Vasai and Bhiwandi) equipped with state-of-the-art machinery including SMT lines, moulding machines, and extrusion lines. It has demonstrated strong financial growth with revenue from operations increasing from ₹646.41 lakhs in FY2020 to ₹3,247.25 lakhs in FY2022, and EBITDA margins of 8.57% in FY2022. The company serves a diversified customer base in the lighting industry and has maintained high customer retention with repeat customers accounting for 45-65% of annual revenues.
Objects of the Issue
- Funding the incremental working capital requirements of our Company p.74
- General corporate purposes p.74
Issue Structure
- Total Issue
- Up to 30,65,000 Equity Shares aggregating to ₹ [●] Lakhs
- Fresh Issue
- Up to 30,65,000 Equity Shares of face value of ₹10.00/- each fully paid-up for cash at price of ₹ [●]/- per Equity Share aggregating to ₹ [●] Lakhs
- Offer for Sale
- N.A.
- Price Band
- [●] per Equity Share
- Lot Size
- [●] Equity Shares
- Face Value
- ₹10.00/- per Equity Share
Business Model
Kundan Edifice Limited operates as an Original Design Manufacturer (ODM) in the electronics manufacturing services sector. The company designs, develops, manufactures, and supplies LED strip lighting products directly to customers who then distribute these products under their own brand names. The company manufactures products with multiple variants including HV Flex (High Voltage) and LV Flex (Low Voltage) LED strip lights used in applications ranging from indoor furniture and kitchen cabinets to outdoor garden, tree, and decorative lighting. The company has backward integrated manufacturing processes including SMT (Surface Mount Technology) lines, moulding machines, and extrusion lines to improve cost efficiency, reduce third-party supplier dependency, and maintain quality control. Revenue is generated from the sale of LED strip lighting products to electrical and electronic manufacturing brands.
Business Segments
SWOT Analysis
- • Long-term customer relationships(p.118)
- • Strong R&D focus(p.118)
- • Experienced promoter leadership(p.118)
- • Flexible manufacturing infrastructure(p.119)
- • Strong financial performance(p.119)
- • High customer concentration(p.28)
- • Dependence on leased facilities(p.29)
- • Reliance on key personnel(p.30)
- • Negative historical cash flows(p.35)
- • Pending regulatory approvals(p.32)
- • Trademark application objections(p.133)
- • Growing ESDM market in India(p.19)
- • LED lighting market expansion(p.113)
- • Government PLI scheme support(p.111)
- • Raw material price volatility(p.30)
- • Manufacturing facility disruptions(p.31)
- • Exchange rate fluctuations(p.30)
- • Market cyclicality and seasonality(p.38)
- • Supplier concentration(p.34)
Promoters
| Name | Role | Pre-Issue | Post-Issue |
|---|---|---|---|
| Divyansh Mukesh Gupta | Promoter | 60.00% | — |
| Vijaya Mukesh Gupta | Promoter | 27.00% | — |
| Mallika Mukesh Gupta | Promoter Group | 6.00% | — |
| Shubhang Mukesh Gupta | Promoter Group | 6.00% | — |
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.