Unimech Aerospace IPO Overview

Unimech Aerospace IPO is a book built issue of Rs 500.00 crores. The issue is a combination of fresh issue of 0.32 crore shares aggregating to Rs 250.00 crores and offer for sale of 0.32 crore shares aggregating to Rs 250.00 crores.

Unimech Aerospace IPO bidding opened for subscription on December 23, 2024 and will close on December 26, 2024. The allotment for the Unimech Aerospace IPO is expected to be finalized on Friday, December 27, 2024. Unimech Aerospace IPO will list on BSE, NSE with tentative listing date fixed as Tuesday, December 31, 2024.

Unimech Aerospace IPO price band is set at ₹745 to ₹785 per share. The minimum lot size for an application is 19. The minimum amount of investment required by retail investors is ₹14,915. The minimum lot size investment for sNII is 14 lots (266 shares), amounting to ₹2,08,810, and for bNII, it is 68 lots (1,292 shares), amounting to ₹10,14,220.

Anand Rathi Securities Limited, Equirus Capital Private Limited are the book running lead managers of the Unimech Aerospace IPO, while Kfin Technologies Limited is the registrar for the issue.

Refer to Unimech Aerospace IPO RHP for detailed information.

Unimech Aerospace IPO Important dates

Unimech Aerospace IPO IPO opens on December 23, 2024, and closes on December 26, 2024.

IPO Open Date Monday, December 23, 2024
IPO Close Date Thursday, December 26, 2024
Basis of Allotment Friday, December 27, 2024
Initiation of Refunds Monday, December 30, 2024
Credit of Shares to Demat Monday, December 30, 2024
Listing Date Tuesday, December 31, 2024
Cut-off time for UPI mandate confirmation 5 PM on December 26, 2024

Unimech Aerospace IPO Financial Performance

Unimech Aerospace and Manufacturing Limited’s revenue increased by 125% and profit after tax (PAT) rose by 155% between the financial year ending with March 31, 2024 and March 31, 2023.

Period Ended 30 Sep 2024 31 Mar 2024 31 Mar 2023 31 Mar 2022
Assets 509.27 175.63 93.34 56.88
Revenue 127.58 213.79 94.93 37.08
Profit After Tax 38.68 58.13 22.81 3.39
Net Worth 390.1 108.6 48.85 27.66
Reserves and Surplus 113.71 86.59 47.8 26.62
Total Borrowing 74.71 28.86 22.26 17.12
Amount in ₹ Crore

Unimech Aerospace IPO Key Performance Indicator

The market capitalization of Unimech Aerospace IPO is Rs 3992.27 Cr.

KPI as of Sun, Mar 31, 2024.

KPI Values
ROE 53.53%
ROCE 54.36%
Debt/Equity 0.32
RoNW 53.53%
PAT Margin 27.85
Price to Book Value 31.77
Pre IPO Post IPO
EPS (Rs) 12.19 15.21
P/E (x) 64.37 51.61

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 September 30, 2024 that is available in RHP.

Unimech Aerospace IPO Objectives

The Company intends to utilise the Net Proceeds from the Fresh Issue towards funding the following objects: 1.

  1. Funding of capital expenditure for expansion through purchase of machineries and equipment by the Company
  2. Funding working capital requirements of the Company
  3. Investment in the Material Subsidiary for: (i) purchase of machineries and equipment; (ii) funding its working capital requirements; and (iii) repayment / prepayment, in full or part, of certain borrowings availed by their Material Subsidiary
  4. General corporate purposes.

The Company will not receive any proceeds from the Offer for Sale by the Selling Shareholders and the proceeds from the Offer for Sale will not form part of the Net Proceeds

Unimech Aerospace IPO Lot Size

Investors can bid for a minimum of 19 shares and in multiples thereof. The below table depicts the minimum and maximum investment by retail investors and HNI in terms of shares and amount.

Application Lots Shares Amount
Retail (Min) 1 19 ₹14,915
Retail (Max) 13 247 ₹1,93,895
S-HNI (Min) 14 266 ₹2,08,810
S-HNI (Max) 67 1,273 ₹9,99,305
B-HNI (Min) 68 1,292 ₹10,14,220

Unimech Aerospace IPO Details

IPO Date December 23, 2024 to December 26, 2024
Listing Date [.]
Face Value ₹5 per share
Price Band ₹745 to ₹785 per share
Lot Size 19 Shares
Total Issue Size 63,69,424 shares
(aggregating up to ₹500.00 Cr)
Fresh Issue 31,84,712 shares
(aggregating up to ₹ 250.00 Cr)
Offer for Sale 31,84,712 shares of ₹5
(aggregating up to ₹250.00 Cr)
Issue Type Book Built Issue IPO
Listing At BSE, NSE
Share Holding Pre Issue 4,76,72,170 shares
Share Holding Post Issue 5,08,56,882 shares

Unimech Aerospace IPO Company Overview and Services

Incorporated in 2016, Unitech Aerospace and Manufacturing Limited is engaging in the manufacturing of complex tools like mechanical assemblies, electro-mechanical systems, and components for aeroengine and airframe production.

The company is an engineering solutions provider specializing in the manufacturing of complex products with “build to print” and “build to specifications” offerings. This involves machining, fabrication, assembly, testing, and creating new products based on the specific requirements of clients in the aerospace, defense, energy, and semiconductor industries.

Between Year 2022 and Year 2024, They have manufactured 2,356 SKUs in tooling and precision complex sub-assemblies category and 624 SKUs in the precision machined parts category, supplying to more than 26 customers across 7 countries.

As of March 31, 2024, the company operates two manufacturing facilities in Bangalore, covering a total area of over 1,20,000 sq ft. Unit I, located in Peenya, spans over 30,000 sq ft, while Unit II, situated in a Special Economic Zone near Bangalore International Airport, covers over 90,000 sq ft. These facilities are registered with ISO.

As of March 31, 2024, The Company had 384 employees.

Products:

  • Aero Engine tooling: Engine lifting and balancing beams,Oil Tubes Alignment Fixture, Radial Centering Support etc.
  • Airframe tooling: Lateral Spar Assembly, Drill Jig, Airframe Assembly Platforms
  • Precision Parts: Missile Component, Missile Component
  • Precision Sub System: Rocker Arm – HMC CDA

Competitive Strenghths:

  • Advanced manufacturing capabilities capable of delivering high precision engineering solutions
  • Digital-first manufacturing company with a robust infrastructure facilitating seamless integration of operations
  • Established player with unique capabilities in a sector with high barriers to entry
  • Export driven player with a global delivery service model
  • Robust vendor ecosystem and strong sub-contractor management with proven execution capabilities
  • Experienced and complementary management team with strong implementation skills and operational effectiveness

Unimech Aerospace IPO SWOT Analysis

Strengths:

  • Strong Financial Performance: Unimech Aerospace has demonstrated impressive financial growth in recent years. Revenue and profit have shown substantial increases, with a high EBITDA margin and Return on Net Worth (RoNW).
  • High Entry Barriers: The aerospace manufacturing industry has high entry barriers due to the need for specialized expertise, certifications, and long lead times for product development. This provides a competitive advantage for established players like Unimech.
  • Focus on High-Precision Manufacturing: Unimech specializes in high-precision manufacturing for critical aerospace components, indicating a focus on quality and technical expertise.
  • Positive Cash Flows: The company has maintained positive operating cash flows over the past three years, demonstrating its ability to generate cash from its operations.
  • Manageable Debt: Unimech has a manageable debt-to-equity ratio, indicating a healthy financial position.

Weaknesses:

  • Dependence on Key Customers: The company may be reliant on a few key customers, which could pose a risk if those customers reduce their orders or switch to competitors.
  • Relatively Small Scale: Compared to larger global aerospace manufacturers, Unimech is a relatively smaller player, which could limit its ability to compete for large-scale contracts.
  • Potential for Working Capital Fluctuations: Like many manufacturing companies, Unimech may experience fluctuations in working capital requirements depending on the timing of orders and payments.

Opportunities:

  • Growth in the Aerospace Industry: The global aerospace industry is expected to grow in the coming years, driven by increasing air travel and defense spending. This provides a favorable backdrop for Unimech’s growth.
  • “Make in India” Initiative: The Indian government’s “Make in India” initiative encourages domestic manufacturing, which could benefit Unimech by increasing demand for its products and services.
  • Outsourcing Trends: Global aerospace companies are increasingly outsourcing manufacturing activities to specialized players like Unimech, creating further growth opportunities.
  • Expansion into New Markets and Products: Unimech could expand its operations into new geographical markets or develop new product lines to further diversify its revenue streams.

Threats:

  • Intense Competition: The aerospace manufacturing industry is highly competitive, with both domestic and international players vying for market share.
  • Technological Disruption: Rapid advancements in manufacturing technologies could disrupt the industry and require significant investments from companies like Unimech to stay competitive.
  • Fluctuations in Raw Material Prices: Volatility in raw material prices, such as metals and alloys, could impact the company’s profitability.
  • Global Economic Slowdown: A global economic slowdown could negatively impact demand for air travel and defense spending, which would affect the aerospace industry and Unimech’s business.
  • Regulatory Changes: Changes in government regulations related to the aerospace industry could impact the company’s operations.

Unimech Aerospace IPO GMP Details

Unimech Aerospace IPO last GMP is ₹480, last updated Dec 23rd 2024 10:57 AM. With the price band of 785.00, Unimech Aerospace IPO’s estimated listing price is ₹1265 (cap price + today’s GMP).The expected percentage gain/loss per share is 61.15%.

We update GMP on a daily basis and based on last 8 sessions grey market activities, today IPO GMP points upward and expects a strong listing. The lowest GMP is ₹0, while the highest GMP is ₹480. Stay with us to know the daily price trend of Unimech Aerospace IPO GMP with expected listing price.

GMP Date IPO Price GMP Sub2 Sauda Rate Estimated Listing Price Last Updated
23-12-2024 Open 785.00 ₹480  6900/96600 ₹1265 (61.15%) 23-Dec-2024 10:57
22-12-2024 785.00 ₹480  6900/96600 ₹1265 (61.15%) 22-Dec-2024 22:29
21-12-2024 785.00 ₹480   6900/96600 ₹1265 (61.15%) 21-Dec-2024 22:27
20-12-2024 785.00 ₹405  5800/81200 ₹1190 (51.59%) 20-Dec-2024 22:32
19-12-2024 785.00 ₹405  5800/81200 ₹1190 (51.59%) 19-Dec-2024 22:32
18-12-2024 785.00 ₹405   5800/81200 ₹1190 (51.59%) 18-Dec-2024 22:31

What is IPO GMP?

The grey market premium (GMP) reflects the unofficial trading price of an IPO before its listing, offering insights into its potential market performance. A positive GMP indicates that the IPO may yield profits, while a negative GMP suggests a possible discount upon listing. However, it’s essential to recognize that IPO GMP can be highly volatile. Therefore, investors should not make decisions solely based on the GMP but should thoroughly assess all relevant factors before investing.

Unimech Aerospace IPO Subscription Status 

Unimech Aerospace IPO subscribed 1.09 times. The public issue subscribed 1.66 times in the retail category, 0 times in QIB, and 1.18 times in the NII category by December 23, 2024 .

Investor Category Subscription (times) Shares Offered* Shares bid for Total Amount (Rs Cr.)*
Anchor Investors 1 19,05,094 19,05,094 149.550
Qualified Institutions 0 12,70,065 798 0.063
Non-Institutional Buyers 1.18 9,52,548 11,22,520 88.118
  bNII (bids above ₹10L) 0.55 6,35,032 3,49,182 27.411
  sNII (bids below ₹10L) 2.44 3,17,516 7,73,338 60.707
Retail Investors 1.66 22,22,611 36,98,331 290.319
Employees 2.8 19,108 53,523 4.202
Total ** 1.09 44,64,332 48,75,172 382.701

Total Application : 1,71,264

Note:

  • *: “Shares Offered” and “Total Amount” are calculated based on the upper price of the issue price range.

  • **: The portion of anchor investors (or market makers) is not included in the total number of shares offered.

Date QIB NII NII (> ₹10L) NII (< ₹10L) Retail EMP Total
Day 1
Dec 23, 2024
0 1.18 0.55 2.44 1.66 2.8 1.09

Unimech Aerospace IPO Allotment status 

Unimech Aerospace IPO allotment is expected on Friday, December 27, 2024.

Unimech Aerospace IPO allotment status is not available at this time. Unimech Aerospace IPO – The allotment status will be available once the basis of allotment is finalized. Please revisit us to check the latest updates for Unimech Aerospace and Manufacturing Limited IPO allotment status.

To check Unimech Aerospace IPO allotment status, follow the steps below:

  1. Click on the below allotment status check button.
  2. Select Company Name.
  3. Enter your PAN Number, Application Number or DP Client ID (Anyone).
  4. Click on Search.

On securing the allotment, you will receive the credit of equivalent shares in your Demat account.

If you have any concerns or queries about the allotment status, contact Kfin Technologies Limited either by phone or email. Investors can call on 04067162222, 04079611000 or send an email with all relevant details to reachus@kfintech.com.

Unimech Aerospace IPO Contact Details

Unimech Aerospace and Manufacturing Limited
538, 539, 542 & 543,
7 th Main of Peenya IV Phase Industrial Area,
Yeshwanthpur Hobli, Bangalore North Taluk – 560058
Phone: 080-4204 6782
Email: investorrelations@unimechaerospace.com
Websitehttps://unimechaerospace.com/

Disclaimer: Investing in Initial Public Offerings (IPOs) involves substantial risk, and financial returns are not guaranteed. The information provided should not be construed as financial or investment advice. Prospective investors are advised to consider their financial situation, investment objectives, and risk tolerance before participating in an IPO. It is recommended to consult with a qualified financial advisor or professional before making any investment decisions. Past performance is not indicative of future results. Investments in IPOs may be subject to market risk, including the potential loss of principal.

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