About the Company:
Virtuoso Optoelectronics Ltd manufacture consumer durable goods and assemble a wide array of products and provide end-toend product solutions.
Company serve under both original equipment manufacturer (“OEM”) and original design manufacturer (“ODM”) business models.
Under the OEM model, company manufacture and supply products basis designs developed by our customers, who then further distribute these products under
their own brands.
Under the ODM model, in addition to manufacturing, we conceptualize and design the product which are then marketed to customer’s prospective customer’s under their
brands.
Company has developed ODM capabilities with respect to lighting products and small appliances.
Company offer innovative solutions to customers, which include leading international and national consumer brands.
Company’s comprehensive solution suite includes global sourcing, fabrication of components and parts, captive manufacturing and assembly, quality testing, packaging
and logistics support, which enables us to partner with leading consumer goods brands in India.
Company’s key customers include leading brands in Air Conditioning & Water Heater segments
Company’s current product portfolio of consumer goods includes:
- Split Air Conditioners.
- Water Heaters.
- LED Lighting products.
- other miscellaneous products such as injection molding components for air conditioners.
Experience in manufacturing sector:
Company has over 5 years of experience in manufacturing sector. Since inception, company has expanded the product portfolio, customer base and gained technological expertise in designing and manufacturing of our products.
Company’s Manufacturing facilities:
Company has two manufacturing facilities which are strategically located in and around Nashik (Maharashtra).
Company’s modern and state-of-art manufacturing facilities are equipped with high quality machinery, assembly lines that enable us to meet the quality requirements of the customers.
Company has developed in-house capabilities in SMT lines, injection molding, sheet metal components and testing labs.
Company’s Capacity and Capacity Utilization:
ORIGINAL DESIGN MANUFACTURING Capabilities:
Company’s manufacturing facilities and the manufacturing process confirm to ISO 9001:2015 quality management systems certification.
Company also had undertaken Bureau of Indian Standards (“BIS”) for air conditioners and LED Lightings.
Production-Linked Incentive Scheme (PLI):
The industries in which our Company operates are expected to benefit from regulatory support such as production–Linked Incentive Scheme (PLI), which are part of the Government of india’s Atmanirbhar Bharat or Self Reliant India, campaign, which seeks to provide a range of PLIs and other benefits for manufacturing in India.
Company’s applications for PLIs for the white goods (air conditioners and LEDs) has been approved on November 12, 2021.
Management Team:
- Mr. Sukrit Bharati (Designation: Managing Director)
- Mr. Vishrut Bharati (Designation: Managing Director)
Objectives of the Issue:
Fresh Issue: (Rs.30.24 cr )
- Funding the incremental working capital requirements of the Company.
- General corporate purposes.
Positives for the Company:
Continue to focus on ODM model.
- While OEM sales continue to be a major source of revenue, but company plans to gradually expand the share of the ODM model of manufacturing.
- As an ODM, company can control the entire manufacturing cycle of a product from the initial stage of designing and are responsible for all the aspects of manufacturing, including planning and sourcing of raw materials and components.
- Under ODM, company sell the products to companies who in turn distribute these products under their own brand to end users, however, warranties with respect to defects in raw materials and workmanship affecting normal use of products are provided by us.
- The ODM model of business requires additional investment in R&D as well as working capital but provides higher margins as compared to the OEM model.
Continue to strive for cost leadership.
- Company intends to continue to be the most cost-efficient player in each of the product verticals we will enter.
- This cost leadership will be achieved through initiatives like having large manufacturing capacities, backward integration and being a sizeable player in the industry in that particular vertical.
Financials of the Company:
| (in Crores) | FY 20 | FY 21 | FY 22 | 30th June 2022 |
|---|---|---|---|---|
| Revenue | 68.39 | 115.51 | 200.28 | 73.99 |
| Net Profit | 1.40 | 2.08 | 3.94 | 4.12 |
Valuation of Peer Group Companies:
| Company Name | Face Value | EPS | PE Ratio | RoNW | NAV |
|---|---|---|---|---|---|
| Virtuoso Optoelectronics Ltd | 10 | 3.11 | 18.01 | 18.53% | 14.19 |
| Dixon Technologies (India) Ltd | 2 | 32.00 | 126.60 | 21.90% | 168.06 |
| Amber Enterprises India Ltd | 10 | 32.40 | 70.30 | 4.44 | 526.17 |
IPO Details:
| Details | Info |
|---|---|
| Issue Opens on | 2nd September 2022 |
| Issue Closes on:. | 7th September 2022 |
| Issue Price | Rs.56 |
| Face Value | Rs.10 |
| Minimum Lot | 2000 Shares |
| Minimum Investment | Rs.1,12,000 |
| Issue Constitutes | 26.49% |
| Issue Size | Rs.30.24 cr |
| Market Cap | Rs.114 cr |
| Listing at | BSE SME |
| Equity Shares Offered (Fresh) | 54,00,000 |
| Equity Shares Prior to the Issue | 1,49,82,516 |
| Equity Shares after the issue | 2,03,82,516 |
Also Read : List of Upcoming IPO’s in India.
Also Read : List of Upcoming SME IPO’s in India.
Important Dates:
| Finalization of Basis of Allotment | on or Before 12th September 2022 |
| Initiation of Refunds | on or Before 13th September 2022 |
| Credit of Equity Shares: | on or Before 14th September 2022 |
| Listing Date: | on or Before 15th September 2022 |
IPO Valuation Parameters:
| Earnings Per Share (EPS) | Price To Earnings ratio (PE) | Return on Net Worth (RoNW) | Net Asset Value (NAV) |
|---|---|---|---|
| 3.11 | 18.01 | 18.53% | 14.19 |
| Company Contact Info: |
|---|
| VIRTUOSO OPTOELECTRONICS LIMITED Plot No. 7 M.I.D.C. Satpur, Nasik -422007, Maharashtra, India Tel No: 025 3235 0461 Email: info@voepl.com Website: www.voepl.com |
| IPO Registrar Info: |
|---|
| CAMEO CORPORATE SERVICES LIMITED No.01, Club House Road, Mount Road, Chennai 600002, India Tel No.: + 044 4002 0700 E-mail:priya@cameoindia.com Website: www.cameoindia.com |
| Lead Manager to the Issue: |
|---|
| FEDEX SECURITIES PRIVATE LIMITED B 7, 3rd Floor, Jay Chambers, Dayaldas Road, Vile Parle – (East), Mumbai – 400 057, Maharashtra, India. Tel No.: +91 81049 85249 E-mail: mb@fedsec.in Website: www.fedsec.in |
