Lexus Granito (India) Limited was incorporated in 2007. The company is engaged in manufacturing and trading of vitrified ceramic tiles and wall tiles in India and abroad. The company is shortly coming up with an IPO. Lexus Granito IPO review finds the details of this public issue from the DRHP (draft red herring prospectus) submitted to NSE.
About The Lexus Granito Issue –
- Issue opens on – 09 August 2017
- Issue closes on – 11 August 2017
- Issue type – Book built issue IPO
- Issue price – Price band of Rs 41 to Rs 45 per equity share
- Lot size – 3000 equity shares or in multiples thereof
- Face value – Rs 10 per equity share
- Issue size – 5,760,000 nos. of equity shares aggregating up to 25.92 crores
- Listing Exchange – NSE SME exchange
Issue objectives – The proceeds from the issue will be used to fulfill; a) working capital requirements, b) to meet issue expenses and c) to fulfill general corporate expenses.
About the company – Lexus Granito (India) Limited (SPSL) runs business under the brand name Lexus which has established footprints in domestic and in the international markets. The company manufactures and supplies the following items for domestic and commercial uses.
- Vitrified ceramic tiles
- Wall tiles
- Decorative tiles
- Floor tiles
- Decorative elevation tiles
The company has modern manufacturing facility situated at Morbi, Gujarat. Lexus Granito earns a lot of revenue from exports. They export their products to Mexico, Saudi Arabia, Oman, Kuwait and many other countries.
Company Financials – Lexus Granito IPO review finds the financials condition from the DRHP is as follows. The company’s revenue has been following a steady growth. The company has also been making consistent profits. Fiscal 17 has been particularly profitable.
Conclusion – Lexus Granito IPO review finds that the company has delivered well, particularly in fiscal 17. ROI may turn out to be good if such margin can be maintained in long term. Our review finds that the IPO may turn out to be good for investment in the longer term if the profit margin can be steadily maintained.
Disclaimer – Views expressed in this review is an educated guess made on the basis of available data from open source expressed for the purpose of knowledge sharing. By no means, it should be taken as an investment advice or recommendation. Investor/ trader should invest money at their own risk.
Partha, an engineer by education, is theoratically actively following the stock and commodity markets since 1990. He is an active trader since 2003. He has received formal education in future and options and quantum analysis. He is presently working on research oriented projects using Python and data analytics.