Electronics Mart India Limited initiated its business operations in 1980. The company is the 4th largest consumer electronics retailer in India. Its SKU base is spread across more than 6000 SKUs and has a product variation from more than 70 consumer durable and electronic brands. As of 2021, out of 99 stores, 88 are Multi Brand Outlets and 11 are Exclusive Brand outlets. The revenue from this is close to 29312 Million Rs. The wholesale business of the company is only operated in consumer durables. It has a revenue of more than 530 Million Rs. From the E-commerce mode the company showcases its product categories and it has generated a revenue of more than 440 Million Rs from this channel.
IPO DETAILS
Electronics Mart India Limited IPO is set to launch on 4th Oct., 2022. The subscription timeline extends till 7th Oct., 2022. The size for the IPO is 500 Crore Rs.. Shares issued through fresh issues are worth Crore Rs. No shares are issued through Offer For Sale mode. The lot size is 254 shares and the price range is 56 Rs. – 59 Rs./ share. The company is going to get listed at both the exchanges NSE and BSE. The face value per share is Rs. 10 and this is a book built issue. The registrar for the company is KFin Technologies Private Limited.
TABULAR REPRESENTATION OF IPO DETAILS
| IPO OPENING DATE | 4th Oct., 2022 |
| CLOSING DATE FOR IPO | 7th Oct., 2022 |
| ISSUE TYPE | Book Built Issue |
| Face Value per share | 10 Rs. per share |
| IPO price band | 56 Rs. – 59 Rs. |
| LOT SIZE | 254 shares |
| MINIMUM ORDER QUANTITY | 254 shares |
| ISSUE SIZE | 500 Crore Rs. |
| OFFER FOR SALE | No shares issued |
| FRESH ISSUE | 500 Crore Rs. |
| LISTING AT | NSE, BSE |
| LISTING DATE | 17th Oct., 2022 |
IMPORTANT DATES
| IPO OPENING DATE | 4th Oct., 2022 |
| CLOSING DATE FOR IPO | 7th Oct., 2022 |
| IPO ALLOTMENT DATE | 12th Oct., 2022 |
| REFUNDS | 13th Oct., 2022 |
| DEMAT A/C CREDITED ON | 14th Oct., 2022 |
| IPO LISTING DATE | 17th Oct., 2022 |
Electronics Mart India Limited IPO begins for subscription from 4th Oct., 2022. The IPO subscription would continue till 7th Oct., 2022. The allotment status for the shareholders who applied would come on 12th Oct., 2022. The refunds for the ones who did not get allotment would be initiated on 13th Oct., 2022. The DEMAT accounts of shareholders would be credited on 14th Oct., 2022. The listing of the company would be accompanied on 17th Oct., 2022.
Lead Managers
The lead managers are :
- IIFL Securities Limited
- JM Financial Consultants Private Limited
- Anand Rathi Securities Limited
The minimum lot size for the company is decided at 254 shares. This holding accounts to 14986 Rs.. The maximum lot size is decided at 3302 shares. This amounts to 194818 Rs.. Hence the company’s final holdings would be set as :
| Shares | Amount | |
| Minimum | 254 shares | 14986 Rs. |
| Maximum | 3302 shares | 194818 Rs. |
OBJECTIVES FOR THE IPO
- For General corporate purposes.
- To meet the future capital requirements.
- To expand furthermore and to establish more outlets and warehouses.
- For initiating the payments of the company’s debts.
COMPANY FINANCIALS
| Particularly (in Million Rs.) | 2021-22 | 2020-21 | 2019-20 |
| ASSETS | 1524 | 1347 | 1109 |
| Revenue | 3207 | 3179 | 2826 |
| PAT | 59 | 82 | 77 |
The company’s asset base has been increasing every year at a constant rate. Its assets have increased with an average of 200 Million Rs and more. However the revenue stream has been great for 2020 and 2021 year. This year noticed an increase of almost 950 Million Rs and more. However the 2022 year was not so great as the revenue of the company only increased by 30 Million Rs. Not only this the profitability of the company also went down to 59 Million Rs in 2022 from 82 Million Rs in 2021.
PROS
- The company has been in operation since 42 years and has a huge client base for the same reasons. Due to this it has achieved the position of 4th largest retailer in consumer durables and electronics.
- Electronics Mart India Limited has more than 6000 SKUs and it operates in retail, wholesale as well as online mode.
- The company has a tie up with 70 brands for offering products through its channel.
CONS
- The profits of the company are seen declining in 2022. Also the revenue stream has not increased much in 2022.
Electronics Mart India Limited IPO APPLICATION PROCESS WITH ZERODHA
It is very easy to apply for an IPO now if you have a DEMAT account with Zerodha. Follow the steps below for the same :
- Logging into Zerodha console through its website or KITE platform.
- Clicking the IPO link present in the Portfolio section.
- Click the Electronics Mart India Limited IPO button and press the BID button.
- Entering the details asked for like UPI ID, Quantity and price.
- Submit the application form for the IPO.
- Visiting the application of UPI for approving the transaction.
Now, applying for an IPO online is possible with most of the Discount and online brokers.
