Visaman Global Sales
Listing performance
Scheduled dates
Tentative timetable — a past date is not confirmation the step completed
Issue details
- IPO date
- 24 Jun 2024 – 26 Jun 2024
- Listing date
- 01 Jul 2024
- Face value
- ₹10 per share
- Issue price
- ₹43 per share
- Lot size
- 3,000 shares
- Issue type
- Fixed Price issue
- Total issue size
- ₹16.05 Cr
- Market cap at offer price
- ₹59.39 Cr
- Promoter holding
- 100.00% → 72.98% pre-issue → post-issue
- ISIN
- INE0BHK01012
- Registrar
- MUFG Intime India Pvt.Ltd.
- Lead managers
- Shreni Shares Ltd.
- Registered office
- C/o., Jain Traders, 8, Sorathiawadi, Near Narmada, 80 Feet Road, 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 |
|---|---|---|---|
| Anchor investor · within QIB | 0 | — | — |
| Market maker | 1,92,000 | — | — |
Application size
Minimum 3,000 shares per lot, in multiples, at ₹43
| Application | Lots | Shares | Amount |
|---|---|---|---|
| Retail (min) | 1 | 3,000 | ₹1,29,000 |
| S-HNI (min) | 2 | 6,000 | ₹2,58,000 |
| S-HNI (max) | 7 | 21,000 | ₹9,03,000 |
| B-HNI (min) | 8 | 24,000 | ₹10,32,000 |
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 (₹) | 1.12 | 0.98 |
| P/E (×) | 38.39 | 43.88 |
| Price to book (×) | 3.96 | — |
| Market cap | — | ₹59.39 Cr |
Key performance indicators
- Return on net worth
- 9.28%
- ROCE
- 8.02%
- Debt / equity
- 5.20
- PAT margin
- 0.30%
- NAV per share
- ₹10.87
- Price to book
- 3.96
Single period as reported. Year-on-year movement is in the financials table below, where every period is published.
About Visaman Global Sales
Visaman Global Sales Limited, incorporated on June 27, 2019, is a steel trading company engaged in the supply of round pipes, square pipes, rectangle pipes, structural steels (angles, channels, beams, plates), coils (BGL, GP, HR, CR, colour coated), and sheets across multiple Indian markets. The company operates through a diversified B2B, B2C, and B2CH distribution model, providing customized products and value-added services including credit facilities and onsite delivery. As an authorized dealer of APL Apollo Tubes Limited, the company leverages established supplier relationships, location advantages in Gujarat, and strict quality assurance systems to serve customers in construction, infrastructure, manufacturing, and related sectors. The company is managed by experienced promoters with deep industry knowledge.
Company Analysis
from RHPVisaman Global Sales Limited is a steel trading and distribution company supplying pipes, structural steel, coils, and sheets to infrastructure, manufacturing, and related industries across India.
Visaman Global Sales Limited, incorporated on June 27, 2019, is a steel trading company engaged in the supply of round pipes, square pipes, rectangle pipes, structural steels (angles, channels, beams, plates), coils (BGL, GP, HR, CR, colour coated), and sheets across multiple Indian markets. The company operates through a diversified B2B, B2C, and B2CH distribution model, providing customized products and value-added services including credit facilities and onsite delivery. As an authorized dealer of APL Apollo Tubes Limited, the company leverages established supplier relationships, location advantages in Gujarat, and strict quality assurance systems to serve customers in construction, infrastructure, manufacturing, and related sectors. The company is managed by experienced promoters with deep industry knowledge.
Objects of the Issue
- Funding of capital expenditure requirements of our Company towards setting up of a manufacturing facility at Rajkot, Gujarat, India ₹721.89 lakhs p.86
- Funding Working Capital Requirements of our Company ₹700.00 lakhs p.86
- General corporate purposes ₹22.02 lakhs p.86
Issue Structure
- Total Issue
- ₹1,604.76 Lakhs (37,32,000 Equity Shares at ₹43 per share)
- Fresh Issue
- 37,32,000 Equity Shares at ₹43 per share aggregating to ₹1,604.76 Lakhs
- Offer for Sale
- N.A. (Not Applicable - entire issue constitutes fresh issue of equity shares)
- Price Band
- ₹43 per share (fixed price)
- Lot Size
- 3,000 Equity Shares and in multiples thereof
- Face Value
- ₹10 per Equity Share
Business Model
Visaman Global Sales Limited operates primarily as a steel distributor and trader. The company sources steel products from manufacturers (particularly APL Apollo Tubes Limited, for whom it is a dealer) and sells them through three distribution channels: (1) direct B2B sales to large customers, (2) B2CH sales through retailers and resellers, and (3) B2C sales through stockyards to smaller consumers. The company generates revenue through trading margins on steel product sales and provides value-added services including customization, credit facilities to creditworthy customers, and onsite delivery. It also outsources modification and alteration services to third-party process houses to fulfill customer-specific requirements.
Business Segments
SWOT Analysis
- • Established dealer relationship with major supplier(p.144)
- • Diversified product portfolio across pipes, structural steel, coils and sheets(p.144)
- • Customization capabilities to meet specific customer requirements(p.144)
- • Value-added services including credit facility to customers(p.144)
- • Experienced and knowledgeable management team(p.145)
- • Multiple distribution channels (B2B, B2C, B2CH)(p.145)
- • High debt-equity ratio indicating significant financial leverage(p.145)
- • High volume-low margin business model(p.31)
- • Negative operating cash flows in multiple years(p.30)
- • Heavy dependence on one supplier (APL Apollo Tubes Limited) with no formal agreement(p.31)
- • Limited working capital management evidenced by increasing receivable and inventory days(p.99)
- • Compliance issues with statutory filings and dues(p.34)
- • Company and all assets are on rental basis(p.37)
- • Setting up manufacturing facility for backward integration and operational efficiency(p.88)
- • Expansion into new geographical markets(p.100)
- • Growth in Indian steel industry with expected production target of 300 MT by 2030-31(p.140)
- • Increase in per capita steel consumption in India from current 86.7 kgs(p.140)
- • Diversification of product portfolio including HR coils slitting and cutting(p.89)
- • Opportunity to increase customer base and market penetration(p.30)
- • Steel price volatility and cyclical nature of industry(p.29)
- • Heavy concentration of revenue in Gujarat region (90.33% in 9 months ended Dec 31, 2023)(p.29)
- • Dependence on revenue from pipes (72.23% in 9 months ended Dec 31, 2023)(p.29)
- • Intense competition in steel distribution industry(p.40)
- • Disruption risk from supply chain disruptions(p.31)
- • Economic slowdown and reduced infrastructure investment(p.29)
- • Geopolitical disruptions affecting global commodity prices(p.55)
Promoters
| Name | Role | Pre-Issue | Post-Issue |
|---|---|---|---|
| Mr. Sureshchandra Gulabchand Vasa | Promoter | 51.00% | 37.22% |
| Mr. Mitulkumar Sureshchandra Vasa | Promoter | 36.00% | 26.27% |
| Ms. Avni M. Vasa | Promoter | 6.00% | 4.38% |
| Ms. Ilaben Sureshchandra Vasa | Promoter | 7.00% | 5.11% |
| Mr. Kular Brijesh N. | Promoter | Negligible | Negligible |
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.