About the Company:
Kranti Industries (Started in 1981) is engaged in the business of manufacturing and supplying of precision machined components.
Company has an operating history of more than two (2) decades, and are primarily known for range of automotive component and non-automotive (off highway) components.
Company manufacture various components varying from 100 MM to 1200 MM in size
Company manufactures customized products for reputed Original Equipment Manufacturers (OEMs) of diverse industries such as passenger cars, electric cars, two wheelers, tractors, construction machineries, railways, light vehicles, off-highway, heavy trucks etc.
Company has diversified its product portfolio and presently caters to various sectors by developing components for construction, automobile, commercial vehicle, pneumatic tool, wind mill, medical industry, etc.
Company’s Client Base:
They have a diversified client base and geographical footprint, thereby minimizing the exposure to individual geographies, industry sectors, customers including:
- Oerlikon (Major Client of Kranti Industries)
- Graziano Transmission India Pvt. Ltd,
- John Deere India Pvt. Ltd,
- CNH Industrial (India) Private Limited formerly known (New Holland Fiat (I) Pvt. Ltd),
- Carraro India Pvt. Ltd,
- Jaya Hind Industries Limited,
- Endurance Technologies limited,
- Neosym Industry Limited (Sanaswadi)
Company’s Product Portfolio:
Quality standards and ISO Certified Organisation.
Company’s focus on quality is evidenced by the quality certifications and accreditations that their facility has obtained from recognized agencies, Kiwa Cermet Italia have issued ISO 9001:2015 certification and IATF 16949:2016 certifications.
Company believes that ensuring global standard products will attract Domestic and International customers.
Company’s Joint Venture:
Company has become a partner in a JV company which shall be incorporated as “Kranti SFCI Private Limited” along with “Steel Forge Cast Industries” (RGK Group) for the purpose of carrying on the business of “Machining of forging and casting components”.
The management and the marketing working shall be done by Steel Forge Cast Industries (RGK Group) and the technical part and business operations shall be managed by Kranti Industries Limited.
Performance Appreciation Award.
Company has received “Performance Appreciation Award” for outstanding contribution for new part development in casting and machining commodity from Oerlikon in the year of 2018.
Management Team:
- Mr. Sachin Subhash Vora (Designation: Managing Director)
- Mr. Sumit Subhash Vora (Designation: Whole time Director)
Objectives of the Issue:
- To meet Working Capital Requirement.
- General Corporate Expenses.
- To meet the Offer Expenses.
Positives for the Company:
Wide Product Range and Product Segments.
Company manufactures customized products for reputed Original Equipment Manufacturers (OEMs) of diverse industries such as passenger cars, two wheelers, tractors, construction machineries, electric cars, railways, light vehicles, off-highway, heavy trucks.
Well Established Manufacturing Facility.
Company’s manufacturing facility is situated at Pirangut close to the one of the rapidly developing automotive hub near Pune consisting various machineries and suitable infrastructure and quality control setup to handle the product portfolio.
Use of Green Energy.(Substantial Cost Savings for the Company)
Company has always been dedicated towards environment and to save cost whenever possible and for this reason company has entered into the power purchase agreement with SVM Green Power wherein Kranti Industries shall be getting electricity at Rs.5.50 per unit inclusive of all taxes for fifteen (15) years.
The plant has been installed on the rooftop and would generate approximately 1,74,375 units per year with 1% degradation every year after the first year. This has resulted in saving of cost for the company and use of green energy as promoted by Government of India as well.
Continues to Expand and Increase Production Capacity.
Company constantly endeavors to explore opportunities to expand their operations by developing new products and services within their existing lines of business.
Company expects that the increase in the product base will result in an increase in customer base and enable them target more customers and market segments.
Long term Contract with Customer: (Stable Order Book)
Company has entered into a long term customer agreement with one of their customers namely CNH Industrial (India) Private Limited (formerly known New Holland (Fiat) India Pvt. Ltd.) for supply of some of the products for a period of 3 years which is valid up to December 31, 2021.
Manufactures Customized Products for Electric Cars.
As mentioned by the company that they manufacture products for many diverse industries among them is Electric Cars.
Since world over (including India) there is a push to shift over to electric cars, So company may benefit from it by supplying parts to the electric car industry.
Financials of the Company:
| (in Crores) | FY 16 | FY 17 | FY 18 | 30th Sept 18 |
|---|---|---|---|---|
| Revenue | 28.84 | 29.25 | 46.10 | 33.21 |
| Net Profit | (-0.21) | (-0.92) | 0.89 | 1.37 |
IPO Details:
| Details | Info |
|---|---|
| Issue Opens on | 14th February 2019 |
| Issue Closes on:. | 20th February 2019 |
| Issue Price | Rs.37 |
| Face Value | Rs.10 |
| Minimum Lot | 3000 Shares |
| Minimum Investment | Rs.1,11,000 |
| Issue Constitutes | 27.03% |
| Issue Size | Rs.858.03 Lacs |
| Market Cap | Rs.32.68 cr |
| Listing at | BSE SME |
| Market Maker Portion | 1,17,000 |
| Offer for Sale | 5,67,000 |
| Fresh Issue | 17,52,00 |
| Total No. Shares | 23,19,000 |
| Total Shares prior to the Issue | 70,50,000 |
| Total Shares after the Issue | 88,34,000 |
| Check IPO Allotment Status: |
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Link InTime Website (Click on the below Link)https://linkintime.co.in/PublicIssue/ |
| Company Contact Info: |
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| Kranti Industries Ltd Gat No.267/B/1, Post: – Pirangut, Tal. Mulshi, Dist. Pune-412108 Maharashtra, India Telephone: +91-20-6675 5676, Email: investor@krantiindustries.com Website: www.krantiindustries.com |
| IPO Registrar Info: |
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| LINK INTIME INDIA PRIVATE LIMITED C-101, 1st Floor, 247 Park, Lal Bahadur Shastri Marg, Vikhroli (West), Mumbai 400 083 Telephone: +91 22 49186200 Email: kranti.ipo@linkintime.co.in Website: www.linkintime.co.in |
| Lead Manager to the Issue: |
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| FAST TRACK FINSEC PRIVATE LIMITED B-502, Statesman House, 148 Barakhamba Road, New Delhi – 110001 Telephone: +91-11-43029809 Investor Grievance Email: investor@ftfinsec.com Website: www.ftfinsec.com |
