IKIO Lighting Limited, a manufacturer of Light Emitting Diode (LED) Lighting in India, has fixed the price band at ₹270 to ₹285 per Equity Share of face value ₹10 each for its maiden public offer. The initial public offering of the Company will open on Tuesday, June 06, 2023, for subscription and closes on Thursday, June 08, 2023. Investors can bid for a minimum of 52 Equity Shares and in multiples of 52 Equity Shares thereafter. The Offer consists of a fresh issue of equity shares worth up to ₹ 350 crore and an offer-for-sale (OFS) of up to 9,000,000 equity shares by existing shareholders.
- Issue Opens on: Tuesday, June 6, 2023
- Issue Closes on: Thursday, June 8, 2023
- Face Value: Rs 10 per equity share
- Issue Type: Book Built Issue IPO
- Price Band: ₹270 to ₹285 per Equity Share
- Minimum Bid: 52 Shares and multiples
- Minimum Bid: 230 Equity Shares and in multiples
The Company is primarily an Original Design Manufacturer and designs, develops, manufactures and supplies products to customers who then further distribute these products under their own brands. They also work with their customers to develop, manufacture and supply products that are designed by their customers. Products are categorized as LED lighting, refrigeration lights, ABS (acrylonitrile butadiene styrene) piping and other products. Equipment and systems produced by the Company are used in various industries, including residential, industrial and commercial lighting.
The largest customer of IKIO Lightning is Signify Innovations India Limited (formerly known as Philips Electronics India Limited) which, in Fiscal 2022, had a 50% market share in India’s functional decorative lighting category and a 10% market share in India’s true-blue decorative lighting segment. The Company also has a diversified customer base across industry sectors and geographies which includes Western Refrigeration Private Limited, Panasonic Life Solutions India Private Limited and Novateur Electrical & Digital Systems Private Limited.
IKIO Lighting Limited’s revenue from operations on a proforma consolidated basis grew 55.47% from ₹ 213.45 crore in Fiscal 2021 to ₹ 331.84 crore in Fiscal 2022 and profit after tax has increased 75.37% from ₹ 28.81 crore in Fiscal 2021 to ₹ 50.52 crore in Fiscal 2022. The Company, on a Proforma Consolidated basis for Fiscal 2022, has a return on net worth (RoNW) of 46.40% as against some of its listed peers on a consolidated basis such as Dixon Technologies (19.08%), Amber Enterprises (6.30%), Syrma SGS Technology (10.29%) and Elin Electronics (12.93%). For the nine months ended December 31, 2022, on a proforma consolidated basis, the company’s revenue from operations stood at ₹ 328.63 crore and profit after tax stood at ₹ 51.35 crore.
The Offer is being made through the Book Building Process, wherein not more than 50% of the Offer shall be available for allocation to Qualified Institutional Buyers, not less than 15% of the Offer shall be available for allocation to Non-Institutional Bidders and not less than 35% of the Offer shall be available for allocation to Retail Individual Bidders. Motilal Oswal Investment Advisors Limited is the sole book running lead manager and KFin Technologies Limited is the registrar to the offer. The equity shares are proposed to be listed on the Main Board of BSE and NSE.