Meson Valves India
Listing performance
Scheduled dates
Tentative timetable — a past date is not confirmation the step completed
Issue details
- IPO date
- 08 Sep 2023 – 12 Sep 2023
- Listing date
- 21 Sep 2023
- Face value
- ₹10 per share
- Issue price
- ₹102 per share
- Lot size
- 1,200 shares
- Issue type
- Fixed Price issue
- Total issue size
- ₹31.09 Cr
- Market cap at offer price
- ₹104 Cr
- Promoter holding
- 46.91% → 32.83% pre-issue → post-issue
- ISIN
- INE0OYE01013
- Registrar
- Maashitla Securities Pvt.Ltd.
- Lead managers
- Shreni Shares Ltd.
- Registered office
- Plot No.L-45, First Floor, Software Technology Park, Verna Industrial Estate, Salcete, Dist.South Goa, Goa
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 | 1,56,000 | — | — |
Application size
Minimum 1,200 shares per lot, in multiples, at ₹102
| Application | Lots | Shares | Amount |
|---|---|---|---|
| Retail (min) | 1 | 1,200 | ₹1,22,400 |
| S-HNI (min) | 2 | 2,400 | ₹2,44,800 |
| S-HNI (max) | 8 | 9,600 | ₹9,79,200 |
| B-HNI (min) | 9 | 10,800 | ₹11,01,600 |
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 (₹) | 6.59 | — |
| P/E (×) | 15.48 | — |
| Market cap | — | ₹104 Cr |
Key performance indicators
- Return on net worth
- 24.46%
- PAT margin
- 12.34%
- NAV per share
- ₹26.72
Single period as reported. Year-on-year movement is in the financials table below, where every period is published.
About Meson Valves India
Meson Valves India Limited, incorporated in 2016 and converted to public status in May 2023, is engaged in the business of assembling, buying, selling, distributing, importing, exporting and dealing in industrial valves, actuators, remote control systems, control cabinets, tanks, visualization systems, piping, pumps, fittings, gaskets, flanges and measurement devices. The company also provides installation, maintenance, servicing and handling of these equipment and related services. Industrial valves are electromechanical devices used to regulate flow and pressure of liquids, gases, vapors, powders and slurries in piping systems. The company generates revenue from both domestic sales across multiple Indian states and exports to 9 countries including Germany, South Korea, Oman, Russia, Sweden, UAE, Sri Lanka, Qatar and Thailand. For FY2023, domestic revenue represented 98.8% and export revenue 1.2% of total revenue from operations.
Company Analysis
from RHPMeson Valves India Limited assembles, buys, sells, distributes, imports, exports and deals in industrial valves, actuators, control systems and related equipment for refineries, chemical, pharmaceutical, water treatment, food & beverage, energy, oil and gas sectors.
Meson Valves India Limited, incorporated in 2016 and converted to public status in May 2023, is engaged in the business of assembling, buying, selling, distributing, importing, exporting and dealing in industrial valves, actuators, remote control systems, control cabinets, tanks, visualization systems, piping, pumps, fittings, gaskets, flanges and measurement devices. The company also provides installation, maintenance, servicing and handling of these equipment and related services. Industrial valves are electromechanical devices used to regulate flow and pressure of liquids, gases, vapors, powders and slurries in piping systems. The company generates revenue from both domestic sales across multiple Indian states and exports to 9 countries including Germany, South Korea, Oman, Russia, Sweden, UAE, Sri Lanka, Qatar and Thailand. For FY2023, domestic revenue represented 98.8% and export revenue 1.2% of total revenue from operations.
Objects of the Issue
- Purchase of Plant and Machinery for setting up of Manufacturing unit ₹1,137.32 lakhs p.22
- Funding Working Capital Requirements ₹1,195.00 lakhs p.22
- General Corporate Purposes ₹725.94 lakhs p.22
- Purchase of Plant and Machinery for setting up of Manufacturing unit ₹1,137.32 Lakhs p.80
- Funding working capital requirements ₹1,195.00 Lakhs p.83
- General corporate purposes ₹725.94 Lakhs p.85
- Enter into manufacturing segment and install machinery for manufacturing of valves, actuators, remote control systems, control cabinets, tanks, visualization systems, piping, pumps, fittings, gaskets, flanges and measurement devices p.112
- Funding capex for manufacturing operations and installation of machineries for manufacturing concern p.196
Issue Structure
- Total Issue
- 30,48,000 Equity Shares aggregating to ₹3,108.96 Lakhs
- Fresh Issue
- 30,48,000 Equity Shares aggregating to ₹3,108.96 Lakhs
- Offer for Sale
- N.A.
- Price Band
- ₹102 per Equity Share (Fixed Price)
- Lot Size
- 1,200 Equity Shares and in multiples thereof
- Face Value
- ₹10 per Equity Share
Business Model
The company earns revenue through sale of services related to assembling, buying, selling, distributing, importing and exporting industrial valves and related equipment. Revenue is generated from both domestic customers across Indian states (Andhra Pradesh, Assam, Goa, Gujarat, Kerala, Maharashtra, Tamil Nadu, Telangana, Uttar Pradesh, West Bengal and Karnataka) and international customers in 9 countries. For FY2023, total revenue from operations was ₹3,665.04 lakhs.
Business Segments
SWOT Analysis
- • Significant export revenue base providing geographic diversification(p.47)
- • Experienced management team with established operations(p.88)
- • Diversified product portfolio across valve types and applications(p.88)
- • Strong revenue growth trajectory with improving margins(p.83)
- • Multi-geography and multi-industry customer base(p.88)
- • Quality assurance capabilities in manufacturing and distribution(p.88)
- • Diversified product portfolio across valve types and applications(p.112)
- • Multiple quality certifications and global recognition(p.112)
- • Strong revenue growth and profitability(p.111)
- • Established presence in both domestic and international markets(p.112)
- • Dedicated assembly and manufacturing unit with modern infrastructure(p.110)
- • Strong revenue growth with domestic market focus(p.205)
- • Significant profitability improvement and margin expansion(p.205)
- • Quality certifications and manufacturing capability(p.196)
- • Well-equipped assembly infrastructure with ERP integration(p.196)
- • Established presence across multiple states and international markets(p.196)
- • Outstanding legal proceedings involving Company, Promoters, and Directors(p.29)
- • Heavy dependence on top suppliers without long-term agreements(p.29)
- • High customer concentration with no long-term contracts(p.29)
- • Significant trade receivables and counterparty credit risk(p.30)
- • Auditor qualification on overstatement of receivables in FY2021(p.30)
- • Past statutory compliance failures and delays(p.31)
- • Missing share transfer documentation and valuation records(p.31)
- • Leased premises with potential loss of rights(p.33)
- • Unsecured loans callable on demand(p.37)
- • Negative operating cash flows in recent years(p.37)
- • High dependence on export markets which declined significantly(p.90)
- • Significant short-term borrowings relative to equity capital(p.51)
- • High inventory holding periods straining working capital(p.85)
- • Concentrated shareholder base with promoter holding 46.91% pre-issue(p.72)
- • Limited scale compared to global valve manufacturers(p.89)
- • High exposure to unsecured borrowings from promoter entity(p.151)
- • Significant reliance on small employee base(p.121)
- • Concentration of business in domestic market(p.111)
- • Potential key person dependency on promoters(p.136)
- • High dependence on limited number of customers(p.210)
- • High short-term debt burden relative to equity(p.193)
- • Reliance on limited supplier base(p.210)
- • Trade receivables with aging concerns(p.204)
- • Promoter tax liabilities and pending proceedings(p.213)
- • Expansion into manufacturing segment for higher margins(p.80)
- • Growing global industrial valves market projected to expand at 4.4% CAGR(p.105)
- • Increased demand for valve condition monitoring solutions(p.105)
- • Expansion of nuclear and power plant segments requiring specialized valves(p.105)
- • Strong Indian economic growth creating demand for industrial infrastructure(p.102)
- • Government infrastructure initiatives like Make in India boosting manufacturing(p.101)
- • Expansion into manufacturing from assembly-only model(p.112)
- • Growing demand for AI-integrated valves and intelligent water supply systems(p.106)
- • Strong market growth in Indian valves industry(p.107)
- • Beneficiary of Make in India initiative and reduced Chinese competition(p.108)
- • Widening product portfolio to serve diverse customer segments(p.112)
- • Opportunity to expand international presence(p.113)
- • Expansion into manufacturing from assembly-only model(p.197)
- • Growth in demand from core target sectors(p.196)
- • Capability to serve multiple geographic markets(p.196)
- • Access to IPO proceeds for capacity expansion(p.197)
- • Supplier concentration and lack of long-term supply contracts(p.29)
- • Product quality and regulatory compliance risks(p.31)
- • Inventory disruption and supply chain risks(p.31)
- • Significant export dependency on multiple countries(p.33)
- • Foreign exchange rate fluctuation exposure(p.34)
- • Intense competition in valves market(p.35)
- • Dependence on third-party logistics providers(p.34)
- • Economic slowdown risks in India(p.45)
- • Global economic conditions and geopolitical uncertainties(p.46)
- • Export exposure to tariffs, quotas and trade restrictions(p.47)
- • International sanctions limiting market access(p.47)
- • Inflation eroding profitability and margins(p.47)
- • Natural calamities and geopolitical risks disrupting operations(p.47)
- • India-Pakistan border tensions and terrorism risk(p.47)
- • Global financial instability affecting Indian markets and economy(p.49)
- • Regulatory and policy uncertainties including changing tax laws(p.48)
- • Implementation of new labour codes increasing employee costs(p.48)
- • Infrastructure deficiencies in India disrupting supply chains(p.47)
- • Intense competitive landscape with both organized and unorganized players(p.120)
- • Risk of unplanned downtime due to valve malfunctions and failures(p.106)
- • Lack of standardization in valve industry hindering growth(p.108)
- • High maintenance costs as industry restraint(p.108)
- • Exposure to macroeconomic cycles and industry downturns(p.108)
- • Exposure to economic and regulatory changes affecting demand(p.198)
- • Foreign exchange volatility affecting imports and exports(p.198)
- • Competitive pressure from organized and unorganized players(p.211)
- • Interest rate risk affecting debt service obligations(p.209)
- • Dependence on skilled personnel retention(p.198)
Promoters
| Name | Role | Pre-Issue | Post-Issue |
|---|---|---|---|
| Brijesh Madhav Manerikar | Promoter | 50 shares (Negligible %) | — |
| Swaroop Raghuvir Natekar | Promoter | 50 shares (Negligible %) | — |
| Vivekanand Maruti Redekar | Promoter | 50 shares (Negligible %) | — |
| India Futuristic Marine Private Limited | Promoter/Promoter Group | 3,335,792 shares (46.90%) | — |
| India Futuristic Marine Private Limited | Promoter | 46.90% | 32.83% |
| Swaroop Raghuvir Natekar | Promoter | Negligible | Negligible |
| Brijesh Madhav Manerikar | Promoter | Negligible | Negligible |
| Vivekanand Maruti Redekar | Promoter | Negligible | Negligible |
| Brijesh Madhav Manerikar | Promoter | — | — |
| Swaroop Raghuvir Natekar | Promoter | — | — |
| Vivekanand Maruti Redekar | Promoter | — | — |
| India Futuristic Marine Private Limited | Promoter Group | — | — |
| India Futuristic Marine Private Limited | Promoter/Promoter Group | 50.56% | — |
| Swaroop Raghuvir Natekar | Promoter | 0.00% | — |
| Brijesh Madhav Manerikar | Promoter | — | — |
| Vivekanand Maruti Redekar | Promoter | 0.00% | — |
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.