Patron Exim SME
Listing performance
Scheduled dates
Tentative timetable — a past date is not confirmation the step completed
Issue details
- IPO date
- 21 Feb 2023 – 24 Feb 2023
- Listing date
- 06 Mar 2023
- Face value
- ₹10 per share
- Issue price
- ₹27 per share
- Lot size
- 4,000 shares
- Total issue size
- ₹16.69 Cr
- Market cap at offer price
- ₹62.59 Cr
- Promoter holding
- 97.06% → 71.18% pre-issue → post-issue
- ISIN
- INE0NPA01011
- Registrar
- Bigshare Services Pvt.Ltd.
- Lead managers
- Interactive Financial Services Ltd.
- Registered office
- 411, Safal Perlude, B/h Ashwaraj Bunglows, 100 FT Road, Prahladnagar, Vejalpur, 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 | 3,16,000 | — | — |
Application size
Minimum 4,000 shares per lot, in multiples, at ₹27
| Application | Lots | Shares | Amount |
|---|---|---|---|
| Retail (min) | 1 | 4,000 | ₹1,08,000 |
| S-HNI (min) | 2 | 8,000 | ₹2,16,000 |
| S-HNI (max) | 9 | 36,000 | ₹9,72,000 |
| B-HNI (min) | 10 | 40,000 | ₹10,80,000 |
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 (₹) | 1.62 | — |
| P/E (×) | 16.67 | — |
| Market cap | — | ₹62.59 Cr |
Key performance indicators
- Return on net worth
- 16.15%
- NAV per share
- ₹10
Single period as reported. Year-on-year movement is in the financials table below, where every period is published.
About Patron Exim SME
Patron Exim Limited (formerly M/s Arvind Traders Partnership Firm) is engaged in the trading and distribution of a wide range of pharmaceutical raw materials including APIs (Active Pharmaceutical Ingredients), industrial chemicals, excipients and solvents. The company's product portfolio comprises approximately 150 APIs, excipients, pharma chemicals and intermediates. Additionally, the company trades in various chemicals such as petrochemicals, dyes and pigment chemicals, paints and specialty chemicals, agro chemicals, oil and refinery chemicals, foam and adhesives, and plywood and laminates chemicals, as well as food industry and water treatment chemicals, resins, plastics chemicals, polymers and additives. Originally incorporated as a partnership firm on April 23, 1982, it was converted to a private limited company (Patron Exim Private Limited) on August 24, 2022, and subsequently to a public limited company (Patron Exim Limited) on December 2, 2022. The company is headquartered in Ahmedabad, Gujarat, with business operations primarily located in Ahmedabad and surrounding areas of Gujarat.
Company Analysis
from RHPPatron Exim Limited is a pharmaceutical trading and distribution company engaged in trading of APIs (Active Pharmaceutical Ingredients), industrial chemicals, excipients and solvents with operations in Gujarat.
Patron Exim Limited (formerly M/s Arvind Traders Partnership Firm) is engaged in the trading and distribution of a wide range of pharmaceutical raw materials including APIs (Active Pharmaceutical Ingredients), industrial chemicals, excipients and solvents. The company's product portfolio comprises approximately 150 APIs, excipients, pharma chemicals and intermediates. Additionally, the company trades in various chemicals such as petrochemicals, dyes and pigment chemicals, paints and specialty chemicals, agro chemicals, oil and refinery chemicals, foam and adhesives, and plywood and laminates chemicals, as well as food industry and water treatment chemicals, resins, plastics chemicals, polymers and additives. Originally incorporated as a partnership firm on April 23, 1982, it was converted to a private limited company (Patron Exim Private Limited) on August 24, 2022, and subsequently to a public limited company (Patron Exim Limited) on December 2, 2022. The company is headquartered in Ahmedabad, Gujarat, with business operations primarily located in Ahmedabad and surrounding areas of Gujarat.
Objects of the Issue
- Long term Working capital requirement ₹1,147.00 lakhs p.52
- General corporate purposes ₹380.00 lakhs p.52
- Issue related expenses ₹141.60 lakhs p.52
Issue Structure
- Total Issue
- ₹1,668.60 lakhs
- Fresh Issue
- ₹1,668.60 lakhs (61,80,000 equity shares at ₹27 per share)
- Price Band
- ₹27 per equity share (Fixed Price Issue)
- Lot Size
- 4,000 Equity Shares (Application Lot)
- Face Value
- ₹10 per equity share
Business Model
The company operates primarily through a trading and distribution model of pharmaceutical raw materials and chemicals. The company generates revenue through sale of products and through commission-based arrangements with principals (manufacturers) where it acts as an authorized agent for selling their products. The company sources materials from vendors and manufacturers based on customer orders and specifications.
Business Segments
SWOT Analysis
- • Diversified product portfolio across pharmaceutical APIs, excipients, and industrial chemicals(p.70)
- • Experienced promoter with 20+ years in pharmaceutical trading(p.71)
- • Quality service and customer satisfaction driving retention and growth(p.71)
- • Strong international quality certifications(p.71)
- • High trade receivables blocking working capital; inefficient collection from customers(p.20)
- • Rented office premises with limited tenure; reliance on family member lessor(p.19)
- • Significant dependence on few key customers for majority of revenue(p.20)
- • No long-term supply agreements with vendors; vulnerable to supply disruption(p.21)
- • Unsecured director loans repayable on demand threaten liquidity(p.24)
- • Negative cash flows from operations in prior years(p.24)
- • No insurance coverage for goods and offices(p.21)
- • Indian pharma sector growth trajectory of 9.43% CAGR over 9 years(p.63)
- • Expected pharmaceutical industry reach ₹65 bn by 2024 and ₹120-130 bn by 2030(p.69)
- • Indian pharma exports showing strong trajectory with 103% growth since 2013-14(p.69)
- • Expand customer base and reduce dependence through continuous market development(p.73)
- • Production Linked Incentive schemes with ₹21,940 crore outlay to boost domestic manufacturing(p.69)
- • Intense competition from existing and new market entrants(p.73)
- • Potential conflict of interest from promoter group companies in similar business(p.21)
- • Hazardous nature of pharmaceutical products creates liability and accident risks(p.21)
- • Dependence on third-party transportation providers for supply chain(p.21)
- • Changes in government pharmaceutical pricing and regulatory policies(p.28)
- • Global economic conditions and foreign exchange fluctuations affecting operations(p.28)
- • Indian economic slowdown could materially reduce business and financial performance(p.28)
Promoters
| Name | Role | Pre-Issue | Post-Issue |
|---|---|---|---|
| Narendrakumar Gangaramdas Patel | Promoter | 45.59% | 33.43% |
| Sushilabahen Narendrakumar Patel | Promoter | 45.59% | 33.43% |
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.