Diffusion Engineers IPO Details
Diffusion Engineers IPO Summary
Diffusion Engineers IPO opens for subscription on 26 Sep 2024 and closes on 30 Sep 2024.The IPO will be listed on NSE, BSE with the tentative listing date set for 04 Oct 2024.
Diffusion Engineers IPO price band has been fixed at ₹159 – ₹168 per share. The face value is ₹10 per share with a lot size of 88.
Diffusion Engineers IPO total issue size comprises 94,05,000 shares (aggregating up to ₹158.00 Cr). This includes a fresh issue of 94,05,000 shares (aggregating up to ₹158.00 Cr). Pre-issue shareholding stands at 2,80,21,259, which will increase to 3,74,26,259 post-issue.
Diffusion Engineers IPO carries a ₹58 (34.52%) GMP, reflecting investor sentiment.
Diffusion Engineers IPO Lot Size :Retail Minimum is 1 lot (88 shares) amounting to ₹14,784. Retail Maximum is 13 lots (1,144 shares) amounting to ₹192,192. SHNI Minimum is 14 lots (1,232 shares) amounting to ₹206,976. SHNI Maximum is 67 lots (5,896 shares) amounting to ₹990,528. BHNI Minimum is 68 lots (5,984 shares) amounting to ₹1,005,312.
The Lead Managers for Diffusion Engineers IPO are crucial for the offering's success. They are responsible for a wide range of tasks, including preparing the company for the public market, managing the regulatory filings, and marketing the IPO to potential investors. The lead manager for this offering is Unistone Capital Pvt Ltd. To assess their past performance and success in previous IPOs, you can view the Lead Manager Performance Summary report.
For detailed information, Refer to the Diffusion Engineers Limited RHP.
Diffusion Engineers IPO Details
Diffusion Engineers IPO Subscription
Diffusion Engineers IPO Application Wise Breakup (Approx)
Diffusion Engineers IPO Dates
- 26 Sep 2024Opening dateOpen
- 30 Sep 2024Closing dateClose
- 01 Oct 2024Allotment Date Allotment
- 03 Oct 2024Initiation of RefundsRefund
- 03 Oct 2024Credit of SharesCredit
- 04 Oct 2024Listing dateListing
Diffusion Engineers IPO Lot Size
| Application | Lots | Shares | Amount |
|---|---|---|---|
| Retail Minimum | 1 | 88 | ₹14,784 |
| Retail Maximum | 13 | 1144 | ₹192,192 |
| SHNI Minimum | 14 | 1232 | ₹206,976 |
| SHNI Maximum | 67 | 5896 | ₹990,528 |
| BHNI Minimum | 68 | 5984 | ₹1,005,312 |
Diffusion Engineers IPO Reservation
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Diffusion Engineers IPO Valuations
Diffusion Engineers Financial Information
Diffusion Engineers Limited's revenue increased by 10% and profit after tax (PAT) rose by 39% between the financial year ending with March 31, 2024 and March 31, 2023.
| Period Ended | 31 Mar 2024 | 31 Mar 2023 | 31 Mar 2022 | |||||||||||||||||||||||||||
| Assets | 275.59 | 230.34 | 189.55 | |||||||||||||||||||||||||||
| Revenue | 285.56 | 258.67 | 208.75 | |||||||||||||||||||||||||||
| Profit After Tax | 30.8 | 22.15 | 17.05 | |||||||||||||||||||||||||||
| Net Worth | 190.7 | 142 | 120.65 | |||||||||||||||||||||||||||
| Reserves and Surplus | 163.03 | 138.39 | 117.34 | |||||||||||||||||||||||||||
| Total Borrowing | 34.44 | 48.09 | 24.6 | |||||||||||||||||||||||||||
| Amount in ₹ Crore | ||||||||||||||||||||||||||||||
About Diffusion Engineers IPO
Founded in 1982, Diffusion Engineers Limited is active in the manufacture of welding consumables, wear plates and parts, and heavy machinery for core industries.
The company offers specialized repair and reconditioning services for heavy machinery and equipment. The company also trades in wear protection powders and welding and cutting machines. At its production facilities, the company offers the Super Conditioning process, a surface treatment for machine components that increases wear resistance, eliminates stresses, and improves reparability, ultimately extending service life and reducing production costs.
Diffusion Engineers Limited has four manufacturing units, of which Units I, II, and III are located at Nagpur Industrial Area, Hingna, Nagpur, Maharashtra, and Unit IV at Khapri (Uma), Nagpur, Maharashtra is responsible for the processing and manufacturing of the products. The manufacturing operations are spread across the various units as follows:
- Unit I: Welding electrodes for special purposes;
- Unit II: Flux cored wires, wear plates and wear parts through fabrication and machining;
- Unit III: Coatings for abrasion and corrosion resistance;
- Unit IV: Flux-cored wires (since the financial year 2024), wear plates, and heavy engineering.
As of February 29, 2024, the company had a team of over 130 qualified engineers.
Strength Of Diffusion Engineers IPO
1. Synergistic business models focused on forward integration.
2. Serving industry major players directly as well as through OEMs.
3. Consistent financial performance.
4. Long-standing relationships with customers across industries.
5. Experienced promoters and strong management team.
6. Strategically located manufacturing facilities.
Risk Of Diffusion Engineers IPO
1. Our Company is increasingly dependent on a domestic market for its sales and any a downturn in it could dent our market share.
2. Our Company had negative cash flows during certain fiscal years in relation to our operating, investing and financing activities. Sustained negative cash flows in the future would adversely affect our results of operations and financial condition.
3. We operate from four Manufacturing Facilities all of which are located in Nagpur, Maharashtra and therefore, any localized social unrest, natural disaster or breakdown of services or any other natural disaster in and around, Nagpur, Maharashtra or any disruption in production at, or shutdown of, all our manufacturing units could have material adverse effect on our business and financial condition.
4. Our business is dependent on the performance of certain other industries. Economic cyclicality coupled with reduced demand in these other industries, in India or globally, could adversely affect our business, results of operations and financial condition
5. Our proposed plans with respect to funding the capital expenditure requirements as per our Objects of the Issue is subject to the risk of unanticipated delays in obtaining approvals and implementation.
6. If there are delays in setting up the Proposed Facility or Proposed Expansion or if the costs of setting up and the possible time or cost overruns related to the Proposed Facilities or the purchase of plant and machinery for the Proposed Facilities are higher than expected, it could have a material adverse effect on our financial condition, results of operations and growth prospects.
7. Our business and profitability is substantially dependent on the availability and cost of our raw materials and any disruption to the timely and adequate supply or volatility in the prices of raw materials may adversely impact our business, results of operations, cash flows and financial condition.
8. Our Company had made allotment of equity shares in the past which was allotted to more than 49 investors, which may have been in non-compliance with the Companies Act, 1956.
9. Conflict of interest may arise as some of our Group Companies and Subsidiaries are authorized to carry on similar line of business as our Company which may lead to real or potential conflicts of interest for our Promoters or Directors.
10. Our inability to collect receivables and default in payment from our customers could result in the reduction of our profits and affect our cash flows.
Objectives Diffusion Engineers IPO
- Funding capital expenditure requirements towards the expansion of existing manufacturing facility at Khasra No. 36, 38/1, 38/2, 38/3, Khapri (Uma), Nagpur- 441 501, Maharashtra, India (Proposed Expansion);
- Setting up of a new manufacturing facility located at Plot Nos. 33-B/1/1/ & 33-B/1/1/Part, MIDC, Hingna, Sonegaon District, Nagpur-440 016, Maharashtra (Proposed Facility);
- Funding working capital requirements of the Company; and
- General Corporate Purposes.
Company Contact Details
Diffusion Engineers Limited
T-5 & T-6,
Nagpur Industrial Area, MIDC,
Hingna, Nagpur - 440016
Phone: +91 9158317943
Email: cs@diffusionengineers.com
Website: https://www.diffusionengineers.com/
Registrar Contact Details
Diffusion Engineers FAQs
The Diffusion Engineers IPO is a MAINBOARD public issue comprising 9405000 equity shares with a face value of ₹10 each, aggregating to a total issue size of ₹158.00 Cr. The issue price has been fixed at ₹168 per equity share, and the minimum application size is 88 shares.
The IPO opens for subscription on 26 Sep 2024, and closes on 30 Sep 2024.
Bigshare Services Pvt Ltd has been appointed as the registrar to the issue. The equity shares are proposed to be listed on the Bombay Stock Exchange (BSE) and the National Stock Exchange (NSE).
As of now, the current GMP stands at ₹58 (34.52%).
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