Akanksha Power and Infrastructure Limited IPO

Akanksha Power and Infrastructure’s Initial Public Offering (IPO) emerges as a noteworthy opportunity in the market, showcasing a book-built issue of Rs. 27.49 crores. This fresh issue involves 49.98 lakh shares, offering investors an avenue to engage in this promising venture.

Commencing on December 27, 2023, the Akanksha Power and Infrastructure IPO subscription window extends until December 29, 2023. Anticipated allotment proceedings are scheduled to conclude on Monday, January 1, 2024, paving the way for its listing on NSE SME by Wednesday, January 3, 2024.

The IPO boasts a price band spanning Rs. 52 to Rs. 55 per share, with an application minimum lot size of 2000 shares. Retail investors necessitate a minimum investment of Rs. 110,000, while High Net Worth Individuals (HNIs) require 2 lots (4,000 shares) amounting to Rs. 220,000 for participation.

Narnolia Financial Services Ltd oversees the IPO as the book running lead manager, supported by Link Intime India Private Ltd as the issue’s registrar. Nikunj Stock Brokers and Ss Corporate Securities serve as the market makers for the Akanksha Power and Infrastructure IPO, adding depth and stability.

For comprehensive insights, investors are encouraged to refer to Akanksha Power and Infrastructure IPO’s RHP (Red Herring Prospectus), encapsulating detailed information essential for informed investment decisions. This IPO presents a compelling prospect for those seeking strategic investment avenues in the market’s current landscape.

Comprehensive Insights into Akanksha Power and Infrastructure IPO

Details	Information
IPO Date	December 27, 2023 to December 29, 2023
Face Value	₹10 per share
Price Band	₹52 to ₹55 per share
Lot Size	2000 Shares
Total Issue Size	4,998,000 shares (aggregating up to ₹27.49 Cr)
Fresh Issue	4,998,000 shares (aggregating up to ₹27.49 Cr)
Issue Type	Book Built Issue IPO
Listing At	NSE SME
Share holding pre issue	11,260,200
Share holding post issue	16,258,200
Market Maker portion	260,000 shares

The Akanksha Power and Infrastructure IPO presents a window of opportunity within the market, offering key details that beckon investors. With an IPO duration spanning from December 27, 2023, to December 29, 2023, this offering reveals promising attributes.

Each share holds a face value of Rs. 10, while the price band for this IPO ranges between Rs. 52 to Rs. 55 per share. The lot size is set at 2000 shares, with a total issue size of 4,998,000 shares, aggregating up to Rs. 27.49 Crores. Importantly, this entirety comprises a fresh issue of 4,998,000 shares, infusing vitality into this venture.

Categorized as a Book Built Issue IPO, the Akanksha Power and Infrastructure IPO is slated for listing at NSE SME, promising a strategic positioning within the market landscape.

The pre-issue share holding stands at 11,260,200, poised to expand significantly post-issue, reaching 16,258,200. Moreover, the market maker portion involves 260,000 shares, contributing to the liquidity and stability of this IPO.

This IPO holds immense potential for investors seeking entry into a burgeoning market segment. Its comprehensive details and strategic positioning make it an enticing prospect for those eyeing calculated and fruitful investments in the evolving financial sphere.

Akanksha Power and Infrastructure IPO Tentative Timeline

The Akanksha Power and Infrastructure IPO unfurls a strategic timeline, providing investors with crucial dates and milestones to mark on their calendars. The IPO opens its subscription window on December 27, 2023, and concludes on December 29, 2023, offering a brief yet pivotal window for investment.

The schedule unfolds with the Basis of Allotment slated for Monday, January 1, 2024, setting the groundwork for the forthcoming steps. Subsequently, the initiation of refunds and the credit of shares to Demat accounts are projected to occur on Tuesday, January 2, 2024, streamlining the post-subscription processes efficiently.

A significant event, the listing date, is earmarked for Wednesday, January 3, 2024, signifying the IPO’s entry into the market realm, thereby enabling investors to actively engage with the shares.

An essential note for investors, the cut-off time for UPI mandate confirmation stands at 5 PM on December 29, 2023, urging prompt action and ensuring a seamless subscription process.

This well-defined timeline for the Akanksha Power and Infrastructure IPO offers investors a clear roadmap, aiding them in making informed decisions and partaking in this prospective investment opportunity within the specified schedule.

Event	Date	Time
IPO Open Date	Wednesday, December 27, 2023	–
IPO Close Date	Friday, December 29, 2023	–
Basis of Allotment	Monday, January 1, 2024	–
Initiation of Refunds	Tuesday, January 2, 2024	–
Credit of Shares to Demat	Tuesday, January 2, 2024	–
Listing Date	Wednesday, January 3, 2024	–
Cut-off time for UPI mandate confirmation	5 PM on December 29, 2023	5:00 PM

Akanksha Power and Infrastructure IPO Lot Size Insights for Investors

Investors eyeing the Akanksha Power and Infrastructure IPO can participate by bidding for a minimum lot size of 2000 shares, with an option to increase their bids in multiples of this figure. The outlined table delineates the minimum and maximum investment criteria for both retail investors and High Net Worth Individuals (HNIs) in terms of shares and corresponding amounts:

Application	Lots	Shares	Amount
Retail (Min)	1	2000	₹110,000
Retail (Max)	1	2000	₹110,000
HNI (Min)	2	4000	₹220,000

For retail investors, the minimum application stands at 1 lot comprising 2000 shares, with a corresponding investment amount of Rs. 110,000. This investment ceiling remains consistent for the maximum retail bid as well.

Contrarily, High Net Worth Individuals (HNIs) must bid for a minimum of 2 lots, totaling 4000 shares, with a higher investment threshold of Rs. 220,000. This category affords HNIs a slightly larger entry point, enabling them to invest in multiples of 2000 shares.

Understanding these parameters allows investors to gauge their participation level based on their financial capacity and strategy. This delineation empowers both retail investors and HNIs to make informed decisions regarding their investment in the Akanksha Power and Infrastructure IPO.

Akanksha Power and Infrastructure IPO Promoter Holding

The Akanksha Power and Infrastructure IPO sheds light on the promoter holding, illuminating key insights into the company’s ownership structure:

Prior to the issue, Mr. Bipin Bihari Das Mohapatra and Ms. Chaitali Bipin Dasmohapatra collectively held a substantial stake of 83.28% in the company, signifying their significant ownership and influence within the organization.

Following the IPO issue, their collective shareholding is expected to decrease to 60.81%, reflecting a dilution in their ownership stake consequent to the issuance of new shares in the market.

Share Holding Pre Issue	83.28%
Share Holding Post Issue	60.81%

Akanksha Power and Infrastructure IPO Vital Financial Metrics

The Akanksha Power and Infrastructure IPO divulges crucial Key Performance Indicators (KPIs) that serve as vital yardsticks for investor assessment. Its Market Capitalization stands at Rs. 101.85 Crores, showcasing the company’s total market value.

Price-to-Earnings (P/E) Ratio: At 24.02, the P/E ratio reflects the company’s stock price concerning its earnings per share. Post-issue, this ratio adjusts to 35.72, providing a nuanced perspective post-IPO.

Return Metrics: Notably, the Return on Equity (ROE) stands at 18.20%, while the Return on Capital Employed (ROCE) sits impressively at 22.75%. These metrics spotlight the company’s profitability and capital efficiency.

Financial Health: Akanksha Power and Infrastructure maintains a Debt/Equity ratio of 0.96, signaling a balanced approach to leveraging. Its Earnings per Share (EPS) holds at Rs. 2.29, denoting the company’s profit attributed per share.

Return on Net Worth (RoNW): Reflecting the company’s ability to generate profits based on its net worth, the RoNW mirrors the ROE at 18.20%.

KPI	Values
P/E (x)	24.02
Post P/E (x)	35.72
Market Cap (₹ Cr.)	101.85
ROE	18.20%
ROCE	22.75%
Debt/Equity	0.96
EPS (Rs)	2.29
RoNW	18.20%

Grey Market Insights for Akanksha Power and Infrastructure SME IPO

The Grey Market Premium (GMP) for the Akanksha Power and Infrastructure SME IPO stands at an encouraging Rs. 15, last updated on December 28th, 2023, at 12:57 PM. With a price band of Rs. 55.00, the estimated listing price post-IPO is anticipated at Rs. 70 (price cap + current GMP). This suggests an expected percentage gain per share of 27.27%, indicating a promising outlook.

Specifically, the Akanksha Power and Infrastructure SME IPO’s Retail Subject to Sauda is marked at Rs. 22,800, affirming interest and potential engagement among retail investors.

Our daily updates on the GMP, reflecting activities over the past seven sessions, indicate a positive trend today, signaling a potential strong listing. The GMP range has fluctuated between Rs. 10 (lowest) and Rs. 15 (highest), showcasing market sentiment and demand dynamics.

For prospective investors tracking IPO trends, staying abreast of these daily fluctuations in the Akanksha Power and Infrastructure SME IPO’s GMP is crucial. It offers insights into market expectations and aids in understanding potential listing prices. We invite you to stay connected with us for continuous updates on the GMP and the expected listing price trends for this IPO.

Akanksha Power and Infrastructure’s Day-wise IPO GMP Trend:

GMP Date	IPO Price	GMP	Sub2 Sauda Rate	Estimated Listing Price	Last Updated
28-12-2023	₹55.00	₹15 No Change	22800	₹70 (27.27%)	28-Dec-2023 12:57
27-12-2023 Open	₹55.00	₹15 Up	22800	₹70 (27.27%)	27-Dec-2023 23:25
26-12-2023	₹55.00	₹10 No Change	15200	₹65 (18.18%)	26-Dec-2023 17:14
25-12-2023	₹55.00	₹10 No Change	15200	₹65 (18.18%)	25-Dec-2023 23:32
24-12-2023	₹55.00	₹10 Down	15200	₹65 (18.18%)	24-Dec-2023 23:29
23-12-2023	₹55.00	₹15 No Change	22800	₹70 (27.27%)	23-Dec-2023 23:32
22-12-2023	₹55.00	₹15 No Change	22800	₹70 (27.27%)	22-Dec-2023 23:30

Akanksha Power and Infrastructure Limited Powering Electrical Solutions

Established in July 2008, Akanksha Power and Infrastructure Limited stands as a significant player in the electrical equipment manufacturing sector. Specializing in a diverse range of products, from switchboards to vacuum contactors, the company caters to institutions, industries, and utilities, offering an array of critical electrical solutions.

Their product repertoire spans CT-PT units, capacitor panels, motor control centers, and variable frequency drive panels, alongside advanced offerings like energy management systems and smart energy meters. Not limited to manufacturing, the company excels in turnkey electrical projects, providing engineering services and implementing state-of-the-art energy distribution solutions.

Beyond production, the company delves into the management and distribution of electricity. By setting up comprehensive electrical infrastructures, conducting power quality testing, and deploying cloud-based monitoring and data analytics, Akanksha Power and Infrastructure strives to minimize transmission and distribution losses effectively.

Catering to an esteemed clientele including entities like Coal India Limited, Indian Oil Corporation Limited, and Larson & Toubro Limited, the company boasts ISO 9001:2015 certification, ensuring stringent quality standards.

With two manufacturing units in Satpur, Nashik, Maharashtra, India, the company employs a workforce of 62 permanent and 387 contract employees as of June 30, 2023. Revenue streams are diversified across regions, with Odisha leading contributions at 34.61%, followed by Maharashtra, Chhattisgarh, Karnataka, and Gujarat contributing to the company’s growth trajectory. Akanksha Power and Infrastructure Limited, through its robust offerings and expansive operations, remains committed to pioneering advancements in the electrical solutions domain.

Akanksha Power and Infrastructure Limited Restated Financial Overview

Between March 31, 2022, and March 31, 2023, Akanksha Power and Infrastructure Limited witnessed a notable -10.8% decline in revenue, yet the profit after tax (PAT) surged by a commendable 20.58%. These figures present a compelling snapshot of the company’s financial performance during this period.

Assets: The company’s asset base escalated from 3,838.92 Crores on March 31, 2022, to 4,762.65 Crores on March 31, 2023, marking a notable increase.

Revenue: A revenue decline from 5,206.50 Crores in March 2022 to 4,644.03 Crores in March 2023 reflects the aforementioned -10.8% reduction.

Profit After Tax (PAT): Despite the revenue dip, PAT surged impressively from 240.92 Crores to 290.50 Crores during the same period, marking a substantial 20.58% rise.

Net Worth: The company’s net worth witnessed a consistent upward trajectory, growing from 1,305.42 Crores in March 2022 to 1,595.94 Crores in March 2023, indicating a strengthened financial standing.

Reserves and Surplus: The reserves and surplus also showcased growth, climbing from 1,123.92 Crores in March 2022 to 1,414.44 Crores in March 2023, reflecting robust financial management.

Total Borrowing: Notably, the company’s total borrowing increased to 1,527.68 Crores in March 2023 from 1,055.03 Crores in March 2022, signifying a strategic utilization of borrowing to fuel growth initiatives.

These financial figures portray Akanksha Power and Infrastructure Limited’s strategic financial management and resilience in adapting to market dynamics, showcasing a balance between revenue optimization and profitability enhancement during this period.

Period Ended	30 Jun 2023	31 Mar 2023	31 Mar 2022	31 Mar 2021
Assets	5,530.82	4,762.65	3,838.92	3,781.19
Revenue	1,027.27	4,644.03	5,206.50	7,441.05
Profit After Tax	71.06	290.50	240.92	392.12
Net Worth	2,074.75	1,595.94	1,305.42	1,064.50
Reserves and Surplus	722.70	1,414.44	1,123.92	883.00
Total Borrowing	1,722.62	1,527.68	1,055.03	891.47

Akanksha Power and Infrastructure IPO Objectives

The Akanksha Power and Infrastructure IPO highlights clear objectives aimed at leveraging capital infusion and enhancing operational capabilities

Capital Expenditure Requirement: The primary goal is to utilize funds to meet the company’s capital expenditure requirements. This allocation focuses on strategic investments in enhancing infrastructure, technology, and other essential assets vital for the company’s growth and expansion plans.

Working Capital Requirements: Another key objective involves utilizing the IPO proceeds to meet the working capital needs of the company. This allocation aims to ensure smooth day-to-day operations, manage short-term obligations, and maintain an efficient cash flow cycle.

General Corporate Purposes: The IPO proceeds will be directed towards general corporate purposes, facilitating flexibility in various operational aspects. These purposes may encompass initiatives such as business development, marketing strategies, research and development, and other corporate endeavors aligned with the company’s growth trajectory.

Issue Expenses: A portion of the funds raised will cater to meeting the expenses related to the IPO. This includes various costs such as underwriting, legal, advisory, and other regulatory expenses incurred during the IPO process.