Mutual Funds Commodities Research Tax Planning IPO Our Team Contact Us    
IPO News

| More

IPO: Mishra Dhatu Nigam Ltd - IIFL

Posted On: 2018-03-21 07:43:50

Issue Opens: 21-Mar-18, Issue Closes: 23-Mar-18, Price Band: Rs.87 - 90

Mishra Dhatu Nigam Ltd (Midhani) is one of the leading producers of special steels and superalloys and the sole Indian manufacturer of titanium alloys. These high value products serve the varied needs of niche end user segments like defence, aerospace and power. The company has steadily launched new products through inhouse R&D and tech tie-ups to meet the growing domestic aerospace and defence demand. Volumes have doubled over the last six years as the company ramped up its new capacities setup in FY14 amid rising demand from domestic aerospace. Led by strong volume growth, the company has clocked revenue/operating profit CAGR of 8.1/11.2% over the FY13-17 span. Enduring customer relationships have been Midhani's hallmark with its top 5 customers contributing 65% of overall revenues in FY17. The company is setting up plants to introduce new products like railway springs, armour steel, aero quality carbon fibers and aluminium alloys besides setting up backward integration facilities like plate making.

Defence & aerospace to drive volume growth over FY17-20E

Midhani products account for less than 1% of global steel demand and the domestic market size for these products stood at 80,000tons in 2016. Frost & Sullivan expects this industry to witness volume CAGR of 6.5% over 2016-21 led by strong demand from defence and aerospace industry in line with the government's focus on 'Make in India'. Midhani seeks to increase its FY17 revenue of Rs.8bn to Rs.20bn by FY22 led by new products launches and ramping up of existing capacity. Demand growth would also be led by sectors like automobiles and oil & gas. We believe the company is in a sweet spot given the expected surge in demand and its tie-ups with major producers. FY18 performance is expected subdued due to shutdown of key plant for upgradation and maintenance. At the upper band, the issue is valued 13.3x FY17 P/E. We believe the stock is reasonably valued given strong earnings potential and enormous domestic opportunities.

Source: Equity Bulls

Click here to send ur comments or to

Other Headlines:

Initial Public Offer: Garden Reach Shipbuilders & Engineers - Kotak

Initial Public Offer: Dinesh Engineers Ltd - Kotak

Subscription for Kritika Wires Ltd IPO open

Garden Reach Shipbuilders & Engineers Ltd IPO extended, price band revised

IPO of Spectrum Electrical Industries Limited Opens on September 17, 2018

Ahlada Engineers IPO opens for subscription on Sep 11, 2018

Rajshree Polypack Ltd NSE SME IPO to open for subscription on Sep 10, 2018

Marquee investor, Sunil Singhania's Abakkus Growth Fund - 1 invests in Rajshree Polypack Limited as Anchor Investor

Equity shares of CreditAccess Grameen Limited to list on Aug 23, 2018

TCNS Clothing Company Ltd to list on July 30, 2018

HDFC AMC IPO receives subscription of 83.04 times

HDFC Asset Management Co - IPO Note - Angel Broking

TCNS Clothing Company Limited - IPO Note - Angel Broking

Rajnish Wellness Ltd IPO to hit markets on June 25, 2018

Varroc Engineering Limited IPO to open for subscription on June 26, 2018

RITES Limited IPO receives overwhelming response from investors

Fine Organic Industries Limited IPO receives subscription of 8.99 times

Varroc Engineering Ltd - IPO Note - Angel Broking

RITES Ltd - IPO Note - Angel Broking

Fine Organic Industries Ltd - IPO Note - Angel Broking

Avana Logistek Ltd files DRHP with SEBI for IPO

IndoStar Capital Finance Ltd - IPO Note - Angel Broking

IndoStar Capital Finance Limited Offer opens on May 9, 2018

IPO Note - SoftTech Engineers Ltd - Arihant Capital Markets Ltd

Hindustan Aeronautics Ltd to list on March 28, 2018

Expectations high on listing of Bandhan Bank shares tomorrow

Mishra Dhatu Nigam Limited IPO receives subscription of 1.21 times

Lemon Tree Hotels Limited - IPO Note - Angel Broking

Mishra Dhatu Nigam Ltd - IPO Note - Sushil Finance

ICICI Securities Ltd - IPO Note - Sushil Finance

Lemon Tree Hotels Ltd - IPO Note - Sushil Finance

Mishra Dhatu Nigam Ltd - IPO Note - Angel Broking

Mishra Dhatu Nigam Ltd - IPO Note - Avoid - Hem Securities

ICICI Securities Ltd - IPO Note - SSJ Finance & Securities

Mishra Dhatu Nigam Ltd - IPO Note - Subscribe - SSJ Finance & Securities


IPO Note: ICICI Securities Ltd - SUBSCRIBE - Kotak

Sandhar Technologies Limited - IPO Note - Angel Broking

Hindustan Aeronautics LTD - IPO Note - HEM Securities

ICICI Securities IPO to open for subscription on Mar 22, 2018

IPO Note: Sandhar Technologies Ltd - SUBSCRIBE - Kotak

IPO Note: Hindustan Aeronautics Ltd - SUBSCRIBE - Kotak

Bandhan Bank Ltd - IPO Note - Subscribe - HEM Securities

HDFC Asset Management Company Ltd files DRHP for IPO

Bandhan Bank Ltd - IPO Note - Subscribe - SSJ Finance

Bandhan Bank Limited - IPO Note - Angel Broking

IPO of ICICI Securities Ltd to open on March 22, 2018

Bharat Dynamics Ltd - IPO Note - SUBSCRIBE - Kotak

Bharat Dynamics Ltd - SUBSCRIBE - IPO Report - HEM SECURITIES

Bandhan Bank Ltd - IPO NOTE - Arihant Capital Markets

Website Created & Maintained by : Chennai Scripts
West Mambalam, Chennai - 600 033,
Tamil Nadu, India

disclaimer copyright © 2005 - 2018