Tunwal E-Motors
Listing performance
Scheduled dates
Tentative timetable — a past date is not confirmation the step completed
Issue details
- IPO date
- 15 Jul 2024 – 18 Jul 2024
- Listing date
- 23 Jul 2024
- Face value
- ₹2 per share
- Issue price
- ₹59 per share
- Lot size
- 2,000 shares
- Issue type
- Fixed Price issue
- Total issue size
- ₹116 Cr
- Market cap at offer price
- ₹326 Cr
- Promoter holding
- 97.04% → 62.34% pre-issue → post-issue
- ISIN
- INE0OXV01027
- Registrar
- Skyline Financial Services Pvt.Ltd.
- Lead managers
- Horizon Management Pvt.Ltd.
- Registered office
- Rama Icon Commercial Building, Office No 501, S.No 24/2, C.T.S, No.2164, Plot No.31/11 Sadashiv Peth, 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 |
|---|---|---|---|
| Anchor investor · within QIB | 0 | — | — |
| Market maker | 9,80,000 | — | — |
Application size
Minimum 2,000 shares per lot, in multiples, at ₹59
| Application | Lots | Shares | Amount |
|---|---|---|---|
| Retail (min) | 1 | 2,000 | ₹1,18,000 |
| S-HNI (min) | 2 | 4,000 | ₹2,36,000 |
| S-HNI (max) | 8 | 16,000 | ₹9,44,000 |
| B-HNI (min) | 9 | 18,000 | ₹10,62,000 |
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.
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 (₹) | 2.85 | 2.14 |
| P/E (×) | 20.70 | 27.57 |
| Price to book (×) | 11.92 | — |
| Market cap | — | ₹326 Cr |
Key performance indicators
- Return on net worth
- 57.53%
- ROCE
- 59.38%
- Debt / equity
- 1.00
- PAT margin
- 11.29%
- NAV per share
- ₹4.95
- Price to book
- 11.92
Single period as reported. Year-on-year movement is in the financials table below, where every period is published.
About Tunwal E-Motors
Tunwal E-Motors Limited was originally incorporated as Tunwal E-Motors Private Limited on December 21, 2018 in Pune, Maharashtra, and was converted into a public limited company with effect from a fresh certificate of incorporation dated December 13, 2023. Its promoter, Jhumarmal Pannaram Tunwal, was earlier in the same line of business manufacturing and selling EV vehicles through his proprietary concern (Tunwal Electrionics/Electronics). The company specializes in the design, development, manufacturing and distribution of electric two-wheelers, offering more than 23 models including 7 variants of two-wheelers, spanning low-speed models (more than 75% of products sold, which require no registration) and high-speed models (around 25% of sales, which require registration). Manufacturing/assembly is carried out at a leased plant in RIICO Industrial Area, Palsana, Sikar, Rajasthan, with an installed capacity of 41,000 units per annum, largely by importing CKD kits and components from third-party domestic and international suppliers (predominantly China). The company sells exclusively through distributors and dealers — over 256 dealers across 19 states as of FY 2024 — who also provide after-sales service and buy spare parts from the company. In FY 2024 it sold approximately 20,332 units and reported revenue from operations of ₹10,460.07 lakhs, EBITDA of ₹1,783.15 lakhs and PAT of ₹1,181.17 lakhs. The company is registered under the Bureau of Indian Standards and SAE International, USA has confirmed a World Manufacturer Identifier (WMI) code for it.
Company Analysis
from RHPTunwal E-Motors Limited is an Indian electric-vehicle company that designs, develops, manufactures and distributes electric two-wheeler scooters under its 'Tunwal' brand through a nationwide distributor-dealer network.
Tunwal E-Motors Limited was originally incorporated as Tunwal E-Motors Private Limited on December 21, 2018 in Pune, Maharashtra, and was converted into a public limited company with effect from a fresh certificate of incorporation dated December 13, 2023. Its promoter, Jhumarmal Pannaram Tunwal, was earlier in the same line of business manufacturing and selling EV vehicles through his proprietary concern (Tunwal Electrionics/Electronics). The company specializes in the design, development, manufacturing and distribution of electric two-wheelers, offering more than 23 models including 7 variants of two-wheelers, spanning low-speed models (more than 75% of products sold, which require no registration) and high-speed models (around 25% of sales, which require registration). Manufacturing/assembly is carried out at a leased plant in RIICO Industrial Area, Palsana, Sikar, Rajasthan, with an installed capacity of 41,000 units per annum, largely by importing CKD kits and components from third-party domestic and international suppliers (predominantly China). The company sells exclusively through distributors and dealers — over 256 dealers across 19 states as of FY 2024 — who also provide after-sales service and buy spare parts from the company. In FY 2024 it sold approximately 20,332 units and reported revenue from operations of ₹10,460.07 lakhs, EBITDA of ₹1,783.15 lakhs and PAT of ₹1,181.17 lakhs. The company is registered under the Bureau of Indian Standards and SAE International, USA has confirmed a World Manufacturer Identifier (WMI) code for it.
Objects of the Issue
- Funding of working capital requirements of the Company Up to ₹ 3,500.00 lakhs p.96
- Research & Development (new model/product design, battery technology, frame/body materials innovation, dedicated R&D manpower) Up to ₹ 500.00 lakhs p.100
- Pursuing Inorganic Growth (part/full equity acquisition of small companies or start-ups in the EV technology space, targets not yet identified) Up to ₹ 500.00 lakhs p.101
- General Corporate Expenses (strategic initiatives, general procurement, brand building and marketing, ongoing corporate exigencies; capped at 25% of gross Fresh Issue proceeds) Up to ₹ 2,040.98 lakhs p.102
Issue Structure
- Total Issue
- Up to 1,96,00,000 Equity Shares of ₹ 2/- each aggregating up to ₹ 11,564.00 Lakhs
- Fresh Issue
- Up to 1,38,50,000 Equity Shares of ₹ 2/- each aggregating up to ₹ 8,171.50 Lakhs
- Offer for Sale
- Up to 57,50,000 Equity Shares of ₹ 2/- each aggregating up to ₹ 3,392.50 Lakhs, offered by Jhumarmal Pannaram Tunwal
- Price Band
- Fixed Price Issue at ₹ 59 per equity share (including a premium of ₹ 57 per equity share); issue price is 29.50 times the face value
- Lot Size
- 2,000 Equity Shares
- Face Value
- ₹ 2.00/- each
Business Model
The company earns revenue almost entirely from the sale of its electric two-wheeler models through its established distributor/dealer network across India — per the document, 'Our company's primary revenue stream emanates from Sales of various models through its established distributor / dealer network' and 'Our distributors and dealers account for the entire portion of our sales.' Dealers also buy spare parts from the company for repairs, though revenues from spare parts are currently described as 'very less and insignificant.'
Business Segments
SWOT Analysis
- • Experienced promoter-led management with around a decade of hands-on industry expertise(p.141)
- • Consistent profitability with sharply improving earnings (PAT ₹1,181.17 lakhs in FY2024)(p.141)
- • Wide product portfolio of over 23 models including 7 variants(p.141)
- • Well-developed and expanding dealer network across 19 states(p.141)
- • Pure-play EV player with an admirable position in the fast-growing Indian E2W market(p.105)
- • Registered under Bureau of Indian Standards with SAE International WMI code(p.23)
- • Cost-efficient sourcing and locational advantage of the Rajasthan plant(p.105)
- • Dependence on a few international suppliers for over 80% of top-ten supplier contribution, with no firm supply commitments(p.36)
- • Entire revenue routed through distributors/dealers, creating high intermediary dependence(p.36)
- • Pending litigation including a criminal case against a group company in which the promoter is a party(p.34)
- • Ongoing related party transactions with promoters and promoter group entities(p.42)
- • Working-capital-intensive business model requiring a large inventory base(p.37)
- • Registration of the Tunwal trademark assignment (from a group company) not yet completed(p.45)
- • Past instances of delayed statutory filings (RoC forms, GST, taxes, EPFO)(p.44)
- • Continued concentrated promoter-group control (~62.34% post-issue) over shareholder decisions(p.53)
- • Strategy to enhance nationwide presence and expand geographic footprint/network(p.141)
- • Driving market expansion through introduction of new and improved EV models(p.142)
- • Investment in R&D to advance technology, products and cost efficiency(p.142)
- • Global market exploration through exports(p.142)
- • Industry tailwind: E2W sales penetration in India projected to surpass 80% by 2030(p.125)
- • Government support via new Electric Mobility Promotion Scheme (EMPS) 2024 for e2W/e3W(p.130)
- • Pursuing inorganic growth through acquisition of EV technology start-ups(p.101)
- • Total cost of ownership advantage of E2Ws versus ICE two-wheelers spurring demand(p.129)
- • Highly competitive Indian automotive/EV market with larger, better-resourced rivals(p.39)
- • Adverse changes in government regulations or their implementation(p.54)
- • Subsidy policy shifts — FAME subsidy reduction triggered a spike in EV scooter cancellations(p.44)
- • Exposure to foreign exchange rate fluctuations on import-based procurement(p.52)
- • Rising costs / shortage of battery raw materials (lithium, nickel, cobalt, etc.)(p.37)
- • Failure to meet ARAI homologation criteria would render EVs non-roadworthy and block launches(p.48)
- • Inadequate public charging infrastructure could deter EV demand(p.41)
- • Potential Indian government tariffs on overseas component suppliers raising product costs(p.51)
Promoters
| Name | Role | Pre-Issue | Post-Issue |
|---|---|---|---|
| Jhumarmal Pannaram Tunwal | Promoter (Chairman & Managing Director); Selling Shareholder offering up to 57,50,000 shares in the OFS | 93.60% | 59.76% |
| Amitkumar Pannaram Mali | Promoter (Whole Time Director) | Negligible | Negligible |
| Jhumarmal Pannaram Tunwal HUF | Promoter | 2.95% | 2.21% |
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.