OBSC Perfection Limited IPO

Established in 2017, OBSC Perfection Limited is a precision metal components manufacturer offering a wide range of precision engineering products, which are high-quality engineered parts for various end-user industries and regions.

OBSC Perfection manufactures a range of precision metal components including but not limited to cut blanks, shafts/splines, torsion bars, piston rods, rack bar semi-finished products, pinions, drive shafts, gear shifters, cable end fittings, sensor boss, sleeves, push plate, hubs, housings; brass and aluminum, fork bolt, fasteners, connectors, ball pin, ball pin housing, flanges, male-female rings, dozing adapter. As of July 23, 2024, the company has a product portfolio of 24 products.

OBSC Perfection caters to Original Equipment Manufacturers (OEMs) who ultimately supply various components and parts to leading automobile manufacturers in India. In the non-automotive sector, the company supplies manufacturers in the defense, marine, and telecom infrastructure sectors.

The company has four manufacturing facilities, three of which are located in Pune, Maharashtra, a major automotive hub, namely Unit I (main manufacturing facility), Unit II, Unit IV, and one in Chennai, Tamil Nadu, another major automotive hub.

Competitive strengths

  • Production facilities in two of the most important automotive centers in India
  • Strategic advantage through close supply chain with neighboring raw material suppliers
  • Consistent track record of growth and financial performance
  • Experienced and dedicated promoter and professional management team with extensive expertise

As of July 12, 2024, the company had 85 permanent employees.

OBSC Perfection Limited Financial Information (Restated)

OBSC Perfection Limited’s revenue increased by 20% and profit after tax (PAT) rose by 167% between the financial year ending with March 31, 2024 and March 31, 2023.

Period Ended31 Aug 202431 Mar 202431 Mar 202331 Mar 2022
Assets11,066.378,650.596,916.014,847.48
Revenue5,700.1511,611.419,691.035,672.42
Profit After Tax603.051,221.21457.39360.11
Net Worth3,610.153,007.11,785.891,328.47
Reserves and Surplus1,825.151,222.1595.89138.47
Total Borrowing4,967.824,147.253,340.481,897.54
Amount in ₹ Lakhs

Key Performance Indicator

The market capitalization of OBSC Perfection IPO is Rs 244.52 Cr.

KPI as of March 31, 2024.

KPIValues
ROE40.61%
ROCE31.49%
Debt/Equity1.38
RoNW40.61%
P/BV5.93
PAT Margin (%)10.62
 Pre IPOPost IPO
EPS (Rs) 6.845.92
P/E (x) 14.6216.89
Note:
  • The Pre IPO EPS is calculated based on Pre issue shareholding as on date of RHP and the latest FY earnings as of March 31, 2024 that is available in RHP.
  • The Post Issue EPS is calculated based on the Post issue shareholding and annualized FY earnings of August 31, 2024 that is available in RHP.

Objects of the Issue (OBSC Perfection IPO Objectives)

The Company proposes to utilize the Net Proceeds from the Issue towards funding the following objects:

  1. Funding capital expenditure requirements towards the purchase of machinery for the existing manufacturing facility (“Unit III”) at No. 126, Mappedu Village, Sriperumbudhur Taluka-Mappedu, Thiruvallur631402, Tamil Nadu, India. (“Proposed Expansion at Unit III”);
  2. Funding capital expenditure requirements towards the purchase of machinery for the existing manufacturing facility (“Unit IV”) at Gat no. 417, Nighoje, Near Hotel Maha Laxmi and Mess, Nighoje, Chakan, Taluka-Khed, Pune-410501, Maharashtra, India. (“Proposed Expansion at Unit IV”);
  3. Funding working capital requirements of the Company; and
  4. General Corporate Purposes.

OBSC Perfection IPO Details

IPO DateOctober 22, 2024 to October 24, 2024
Listing Date[.]
Face Value₹10 per share
Price Band₹95 to ₹100 per share
Lot Size1200 Shares
Total Issue Size6,602,400 shares
(aggregating up to ₹66.02 Cr)
Fresh Issue6,602,400 shares
(aggregating up to ₹66.02 Cr)
Issue TypeBook Built Issue IPO
Listing AtNSE SME
Share holding pre issue17,850,000
Share holding post issue24,452,400
Market Maker portion333,600 shares

OBSC Perfection IPO Promoter Holding

The Promoters of the Company are Saksham Leekha, Ashwani Leekha, Sanjeev Verma, Rajni Verma, Asha Narang, Sandeep Narang, Richard Blum, Adrianne Blum, Pascal Blum, Simon Blum, Omega Bright Steel and Components Private Limited, Omega Bright Steel Private Limited, ESS U Enterprises Private Limited and Bluwat AG.

Share Holding Pre Issue100%
Share Holding Post Issue 

SHARIAH SCREENING for - OBSC Perfection Limited IPO

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BUSINESS SCREEN

FINANCIAL RATIOS

As per our analysis and Based on the information we have, this is the output.
Allah knows best.
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