QVC Exports
Listing performance
Scheduled dates
Tentative timetable — a past date is not confirmation the step completed
Issue details
- IPO date
- 21 Aug 2024 – 23 Aug 2024
- Listing date
- 28 Aug 2024
- Face value
- ₹10 per share
- Issue price
- ₹86 per share
- Lot size
- 1,600 shares
- Issue type
- Fixed Price issue
- Total issue size
- ₹24.07 Cr
- Market cap at offer price
- ₹89.88 Cr
- Promoter holding
- 99.98% → 73.22% pre-issue → post-issue
- ISIN
- INE0KZF01015
- Registrar
- Cameo Corporate Services Ltd.
- Lead managers
- Khandwala Securities Ltd.
- Registered office
- 6 th Floor, South City Business Park 770, EM Bypass, Anandapur, Adarsha Nagar, E.K.T, West Bengal
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 | 1,40,800 | — | — |
Application size
Minimum 1,600 shares per lot, in multiples, at ₹86
| Application | Lots | Shares | Amount |
|---|---|---|---|
| Retail (min) | 1 | 1,600 | ₹1,37,600 |
| S-HNI (min) | 2 | 3,200 | ₹2,75,200 |
| S-HNI (max) | 7 | 11,200 | ₹9,63,200 |
| B-HNI (min) | 8 | 12,800 | ₹11,00,800 |
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 (₹) | 4.67 | 3.76 |
| P/E (×) | 18.42 | 22.87 |
| Price to book (×) | 2.12 | — |
| Market cap | — | ₹89.88 Cr |
Key performance indicators
- Return on net worth
- 17.75%
- ROCE
- 34.22%
- Debt / equity
- 1.46
- PAT margin
- 1.33%
- NAV per share
- ₹40.56
- Price to book
- 2.12
Single period as reported. Year-on-year movement is in the financials table below, where every period is published.
About QVC Exports
QVC Exports Limited, incorporated as a private limited company on August 9, 2005 and converted to public limited company on March 1, 2022, is engaged in the business of dealing in ferro alloys including high carbon silico manganese, low carbon silico manganese, high carbon ferro manganese, high carbon ferro chrome and ferro silicon, as well as raw materials for manufacturing of steel. The company has devised a unique business model wherein it procures raw materials required for manufacturers of ferro alloys (such as manganese ore, chrome ore, coke) and purchases their finished products, then sells to domestic and international steel manufacturers. This inward and outward model creates a wide and reliable customer and supplier base and enables the company to serve manufacturers at different points of the steel supply chain.
Company Analysis
from RHPQVC Exports Limited trades ferro-alloys and raw materials for the steel industry, operating through a unique inward-outward procurement and sales model across domestic and international markets.
QVC Exports Limited, incorporated as a private limited company on August 9, 2005 and converted to public limited company on March 1, 2022, is engaged in the business of dealing in ferro alloys including high carbon silico manganese, low carbon silico manganese, high carbon ferro manganese, high carbon ferro chrome and ferro silicon, as well as raw materials for manufacturing of steel. The company has devised a unique business model wherein it procures raw materials required for manufacturers of ferro alloys (such as manganese ore, chrome ore, coke) and purchases their finished products, then sells to domestic and international steel manufacturers. This inward and outward model creates a wide and reliable customer and supplier base and enables the company to serve manufacturers at different points of the steel supply chain.
Objects of the Issue
- Repayment of Unsecured Loans ₹109.00 lakhs p.23
- Funding of working capital requirements of our Company ₹900.00 lakhs p.23
- General Corporate Purpose ₹474.14 lakhs p.23
- Repayment of Unsecured Loans ₹ 109.00 lakh p.77
- Funding of working capital requirements of our Company ₹ 900.00 lakh p.77
- General Corporate Purposes Balance of Net Proceeds (not to exceed 25% of Gross Proceeds) p.77
Issue Structure
- Total Issue
- ₹2,406.62 lakhs (27,98,400 Equity Shares)
- Fresh Issue
- ₹1,762.66 lakhs (20,49,600 Equity Shares)
- Offer for Sale
- ₹643.97 lakhs (7,48,800 Equity Shares)
- Price Band
- ₹86 per equity share
- Lot Size
- 1,600 equity shares and in multiples of 1,600 thereafter
- Face Value
- ₹10 per equity share
Business Model
The company procures raw materials required for manufacturers of ferro alloys and purchases their finished products, then sells these products to domestic and international steel manufacturers. The business operates on a trading model where the company sources materials from suppliers and sells finished ferro-alloy products to customers without entering into long-term contracts.
Business Segments
SWOT Analysis
- • ISO certified quality management systems(p.106)
- • Unique inward-outward procurement and sales model creating reliable supply and customer bases(p.106)
- • Diversified international export reach(p.106)
- • Strong export revenue contribution(p.106)
- • Comprehensive quality assurance procedures(p.106)
- • Long-standing relationships with key customers and suppliers(p.113)
- • Rigorous quality assurance and testing capabilities(p.113)
- • Wide range of products serving diversified clientele(p.113)
- • Experienced promoters and professional management with industry expertise(p.113)
- • Cost-efficient business model with reduced overhead expenses(p.114)
- • Strong revenue growth trajectory(p.107)
- • Significant export presence with diversified geographic reach(p.108)
- • Diversified business model creating a unique inward and outward supply chain(p.204)
- • Strong commitment to quality with ISO certifications(p.204)
- • Rigorous supplier selection and quality control processes(p.204)
- • Strong revenue growth trajectory(p.204)
- • Profitable operations with consistent profit growth(p.204)
- • GST inquiry and potential adverse orders(p.28)
- • No long-term customer contracts(p.28)
- • High dependence on steel industry customers(p.28)
- • Past incorrect RoC filings(p.28)
- • Customer concentration risk(p.29)
- • Negative operating cash flows(p.32)
- • Contingent liabilities including corporate guarantee(p.32)
- • Reliance on few suppliers(p.30)
- • High short-term borrowing levels relative to equity(p.77)
- • Significant dependence on export markets for revenue(p.106)
- • High leverage in capital structure with net debt to EBITDA ratio of 4.95(p.86)
- • Heavy dependence on top customers for revenue(p.108)
- • Working capital intensive operations requiring significant liquid funds(p.114)
- • Limited fixed assets and manufacturing capabilities(p.117)
- • Concentration with top suppliers for raw materials(p.109)
- • Small employee base with limited human resources(p.118)
- • High dependence on few customers for significant revenue portion(p.205)
- • Reliance on few suppliers for material requirements(p.205)
- • No long-term customer contracts; business on purchase order basis(p.205)
- • High debt levels with debt-to-equity ratio of 1.46(p.213)
- • CBI/GST investigation and director summons pending(p.222)
- • Past history of incorrect RoC filings(p.205)
- • Funding working capital requirements(p.21)
- • Repayment of unsecured loans to reduce debt burden(p.21)
- • Growing global ferroalloys market at 5.6% CAGR through 2030(p.97)
- • India emerging as leading ferroalloys exporter globally(p.102)
- • Projected growth in Indian steel consumption and ferroalloys demand(p.106)
- • India's resilient economic growth trajectory(p.94)
- • Expansion of Asian ferroalloys market, particularly in emerging economies(p.100)
- • Augment working capital to scale up business operations and reach new customers(p.114)
- • Improve operational efficiencies through domestic presence and economies of scale(p.114)
- • Leverage market skills and relationships for growth(p.114)
- • Enhance customer base by entering new geographies and establishing long-term relationships(p.114)
- • Expand product portfolio to serve growing demand in steel industry(p.110)
- • Increase domestic market penetration(p.108)
- • Expansion in export markets through international sales(p.204)
- • Growth in domestic steel manufacturing sector demand(p.204)
- • Ability to expand customer base through quality assurance(p.204)
- • Product price fluctuations from market forces(p.29)
- • Export market dependency and trade risks(p.30)
- • Foreign exchange rate fluctuations(p.39)
- • Changes in government policy and regulations(p.45)
- • Indian economic conditions dependency(p.45)
- • Customer downturn risk from end-use industries(p.29)
- • Currency fluctuations affecting export competitiveness(p.46)
- • Global economic and political volatility impacting steel demand(p.46)
- • Natural calamities and extreme weather affecting Indian economy(p.46)
- • Dependence on sustained global steel production growth(p.102)
- • Risk of substitution by alternative materials(p.100)
- • Exposure to geopolitical tensions and military conflicts(p.46)
- • Exposure to foreign exchange fluctuations(p.108)
- • Dependence on global economic conditions and steel industry cyclicality(p.110)
- • Concentration of export revenue in single market(p.108)
- • Regulatory risks in mining and mineral trade(p.120)
- • Environmental compliance requirements(p.123)
- • Dependency on steel industry demand; vulnerability to downturns(p.205)
- • Business order risks including delays, cancellations and non-payment(p.205)
- • Market price volatility for trading products(p.205)
- • End-customer industry downturn affecting demand(p.205)
- • High competition from organized and unorganized sectors(p.212)
Promoters
| Name | Role | Pre-Issue | Post-Issue |
|---|---|---|---|
| Nilesh Kumar Sharma | Promoter | 55.7% | 44.78% |
| Priti Sharma | Promoter | 18.21% | 14.64% |
| Madhu Sharma | Promoter | 0.84% | 0.69% |
| Matashree Mercantile Private Limited | Promoter/Selling Shareholder | 19.52% | 8.52% |
| Unity Vyapaar Private Limited | Promoter | 5.71% | 4.59% |
| Nilesh Kumar Sharma | Promoter | 55.70% | 44.78% |
| Priti Sharma | Promoter | 18.21% | 14.64% |
| Madhu Sharma | Promoter | 0.84% | 0.69% |
| Matashree Mercantile Private Limited | Promoter / Selling Shareholder | 19.52% | 8.52% |
| Unity Vyapaar Private Limited | Promoter | 5.71% | 4.59% |
| Nilesh Kumar Sharma | Promoter | 55.70% | — |
| Madhu Sharma | Promoter | 0.84% | — |
| Priti Sharma | Promoter | 18.21% | — |
| Matashree Mercantile Private Limited | Promoter | 19.52% | — |
| Unity Vyapaar Private Limited | Promoter | 5.71% | — |
| Nilesh Kumar Sharma | Promoter | 55.70% | — |
| Matashree Mercantile Pvt Ltd | Promoter Group | 19.52% | — |
| Priti Sharma | Promoter | 18.21% | — |
| Unity Vyapaar Pvt Ltd | Promoter Group | 5.71% | — |
| Matashree Mercantile Private Limited | Selling Shareholder / Promoter | 19.52% | — |
| Matashree Mercantile Private Limited | Selling Shareholder | — | — |
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.