Nexxus Petro Industries
Listing performance
Scheduled dates
Tentative timetable — a past date is not confirmation the step completed
Issue details
- IPO date
- 26 Sep 2024 – 30 Sep 2024
- Listing date
- 04 Oct 2024
- Face value
- ₹1 per share
- Issue price
- ₹105 per share
- Lot size
- 1,200 shares
- Issue type
- Fixed Price issue
- Listing at
- BSE
- Total issue size
- ₹19.43 Cr
- Market cap at offer price
- ₹72.98 Cr
- Promoter holding
- 100.00% → 73.38% pre-issue → post-issue
- ISIN
- INE0QUL01011
- Registrar
- Kfin Technologies Ltd.
- Lead managers
- Srujan Alpha Capital Advisors LLP
- Registered office
- B-811 Swati Trinity, Applewood Township Sanathal Sanand, Dascroi, 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 |
|---|---|---|---|
| Market maker | 93,600 | — | — |
Application size
Minimum 1,200 shares per lot, in multiples, at ₹105
| Application | Lots | Shares | Amount |
|---|---|---|---|
| Retail (min) | 1 | 1,200 | ₹1,26,000 |
| S-HNI (min) | 2 | 2,400 | ₹2,52,000 |
| S-HNI (max) | 7 | 8,400 | ₹8,82,000 |
| B-HNI (min) | 8 | 9,600 | ₹10,08,000 |
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 (₹) | 6.83 | 5.01 |
| P/E (×) | 15.37 | 20.96 |
| Price to book (×) | 6.20 | — |
| Market cap | — | ₹72.98 Cr |
Key performance indicators
- Return on net worth
- 40.36%
- ROCE
- 20.81%
- Debt / equity
- 2.50
- PAT margin
- 1.47%
- NAV per share
- ₹16.93
- Price to book
- 6.20
Single period as reported. Year-on-year movement is in the financials table below, where every period is published.
About Nexxus Petro Industries
Nexxus Petro Industries Limited, incorporated as a private limited company on October 5, 2021 and converted to public limited company on July 18, 2023, is engaged in trading, manufacturing and selling of petrochem products namely Bitumen products. The company procures bitumen via imports from Dubai as well as purchases from other domestic importers/sellers in India. It further processes the bitumen at its processing units located at Mundra, Gujarat. The company also trades in bitumen by directly selling it to customers. Founded by promoters with experience in the bitumen business since 2016, the company supplies products primarily to construction contractors engaged in the road construction industry. The company endeavors to supply products to customers at competitive prices while maintaining quality standards.
Company Analysis
from RHPNexxus Petro Industries Limited trades, manufactures and sells bitumen and petrochemical products primarily for road construction infrastructure.
Nexxus Petro Industries Limited, incorporated as a private limited company on October 5, 2021 and converted to public limited company on July 18, 2023, is engaged in trading, manufacturing and selling of petrochem products namely Bitumen products. The company procures bitumen via imports from Dubai as well as purchases from other domestic importers/sellers in India. It further processes the bitumen at its processing units located at Mundra, Gujarat. The company also trades in bitumen by directly selling it to customers. Founded by promoters with experience in the bitumen business since 2016, the company supplies products primarily to construction contractors engaged in the road construction industry. The company endeavors to supply products to customers at competitive prices while maintaining quality standards.
Objects of the Issue
- Funding the working capital requirements of our Company ₹1,600.00 Lakhs p.24
- General corporate purposes ₹148.63 Lakhs p.24
- Funding the working capital requirements of our Company Up to ₹1,600.00 lakhs p.66
- General corporate purposes ₹148.63 lakhs p.70
- Not explicitly stated in this section
Issue Structure
- Total Issue
- Upto 18,50,400 Equity Shares aggregating to ₹1,942.92 Lakhs
- Fresh Issue
- Upto 18,50,400 Equity Shares of face value of ₹10/- each at an Issue Price of ₹105 per Equity Share aggregating to ₹1,942.92 Lakhs
- Offer for Sale
- Not Applicable
- Price Band
- Fixed Price of ₹105 per Equity Share
- Lot Size
- 1,200 Equity Shares and in multiples thereof
- Face Value
- ₹10/- each
Business Model
The company earns revenue through trading and manufacturing of bitumen products. It procures bitumen from imports and domestic sources, processes it at its Mundra facilities, and sells processed bitumen as well as trades bitumen directly to customers in the construction/road infrastructure sector. Revenue is generated from the sale of bitumen products in various grades classified on the basis of viscosity and related properties.
Business Segments
SWOT Analysis
- • Young company with promoters' prior industry experience since 2016(p.28)
- • Rapid revenue growth trajectory(p.30)
- • Access to growing bitumen market driven by infrastructure spending(p.30)
- • Benefits from shift from unorganized to organized players(p.30)
- • Strategic port-proximate location for efficient bitumen import handling(p.95)
- • Strong supplier and customer relationships enabling repeat business(p.95)
- • Well-equipped manufacturing units with BIS and ISO certifications(p.94)
- • Experienced management team in bitumen industry(p.95)
- • Scalable business model with multiple applications for bitumen(p.95)
- • Geographic diversification with three manufacturing units(p.95)
- • Multi-location processing infrastructure with certified facilities(p.178)
- • Quality certifications and testing capabilities(p.178)
- • Strong revenue growth trajectory(p.179)
- • Experienced promoter management with industry expertise(p.178)
- • Established government supplier relationships(p.116)
- • Negative cash flows from operations in past years(p.28)
- • Limited operating and financial history since incorporation in 2021(p.28)
- • High customer concentration risk(p.30)
- • High supplier concentration risk(p.29)
- • Promoters retain significant control post-IPO, limiting minority shareholder influence(p.36)
- • Outstanding tax proceedings against promoters(p.27)
- • No long-term customer agreements creating demand uncertainty(p.31)
- • Trademark not yet registered in company's name(p.33)
- • Working capital intensive business model(p.95)
- • Significant exposure to imports and foreign exchange fluctuations(p.95)
- • High dependence on customer concentration in road construction sector(p.94)
- • Limited scale compared to major integrated industry players(p.101)
- • High financial leverage(p.179)
- • Significant short-term borrowing burden(p.173)
- • Dependence on few major customers(p.167)
- • Thin profit margins(p.179)
- • Relatively new company with limited operational history(p.116)
- • Dependence on third-party transportation and logistics(p.179)
- • Expansion of national highway network creating demand for bitumen(p.30)
- • Asia-Pacific bitumen market growth projection(p.23)
- • Improve margins through negotiating better procurement terms and selling prices with scale(p.30)
- • Leverage IPO capital to reduce finance costs and improve profitability(p.30)
- • Improved market credibility and supply contracts post-IPO(p.30)
- • Government prioritization of infrastructure and road construction projects(p.95)
- • Significant growth potential in bitumen product demand from infrastructure development(p.95)
- • High-margin value-added bitumen emulsion products(p.95)
- • Geographic expansion into underserved markets(p.96)
- • Asia-Pacific bitumen market projected to grow at 3.7% CAGR through forecast period(p.92)
- • Rapid urbanization and infrastructure development in emerging economies(p.90)
- • Expansion in road infrastructure sector(p.116)
- • Vertical integration through increased government empanelment(p.116)
- • Expansion of manufacturing capacity and processing capabilities(p.178)
- • Geographic expansion through multi-location presence(p.178)
- • Customer base expansion through market engagement(p.178)
- • Bitumen is hazardous material requiring careful handling with liability risks(p.28)
- • Seasonal fluctuations affecting business, particularly during monsoon(p.31)
- • Dependence on third-party transportation providers with disruption risks(p.31)
- • Growing demand for sustainable alternatives to bitumen(p.31)
- • Intense competition from large integrated players with economies of scale(p.30)
- • Bitumen price fluctuations beyond company control(p.36)
- • Economic slowdown in India affecting demand(p.37)
- • COVID-19 pandemic impact uncertainty on business operations(p.37)
- • Economic fluctuations and global/domestic economic volatility(p.95)
- • Intense competition from large integrated industry players and unregulated smaller competitors(p.101)
- • Exposure to global commodity price volatility(p.90)
- • Foreign exchange and import price fluctuation risks(p.99)
- • Dependence on government road construction spending and policy changes(p.92)
- • Volatility in raw material and input costs(p.116)
- • Transportation and logistics cost pressures(p.179)
- • Dependence on third-party logistics services and supply chain disruptions(p.179)
- • Regulatory and compliance changes(p.179)
- • Competition in bitumen trading and processing(p.179)
- • Cyclicality and seasonality in road construction industry(p.116)
Promoters
| Name | Role | Pre-Issue | Post-Issue |
|---|---|---|---|
| Mr. Haresh Mohanlal Senghani | Promoter | 37.25% | 27.34% |
| Mr. Rahul Mohanlal Senghani | Promoter | 37.25% | 27.34% |
| Mrs. Hinaben Haresh Senghani | Promoter | 3.82% | 2.81% |
| Mrs. Manishaben Rahul Senghani | Promoter | 3.82% | 2.81% |
| Haresh Mohanlal Senghani | Promoter | 37.25% | 27.34% |
| Rahul Mohanlal Senghani | Promoter | 37.25% | 27.34% |
| Hina Haresh Senghani | Promoter | 3.82% | 2.81% |
| Manisha Rahul Senghani | Promoter | 3.82% | 2.81% |
| Jignesh Mohanlal Senghani | Promoter Group | 7.65% | 5.61% |
| Mohanlal Jivraj Senghani | Promoter Group | 5.10% | 3.74% |
| Vijyaben Mohanlal Senghani | Promoter Group | 2.55% | 1.87% |
| Haresh Mohanlal Senghani HUF | Promoter Group | 1.27% | 0.94% |
| Rahul Mohanlal Senghani HUF | Promoter Group | 1.27% | 0.94% |
| Mr. Haresh Mohanlal Senghani | Promoter/Chairman and Managing Director | 37.25% | 27.34% |
| Mr. Rahul Mohanlal Senghani | Promoter/Whole Time Director | 37.25% | 27.34% |
| Mrs. Hina Haresh Senghani | Promoter | 3.82% | — |
| Mrs. Manisha Rahul Senghani | Promoter | 3.82% | — |
| Haresh Mohanlal Senghani | Promoter | — | — |
| Hinaben Haresh Senghani | Promoter | — | — |
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.