Angel Fibers Ltd is engaged in the business of spinning of cotton yarn. This company is also trading in a by-product i.e. cotton waste. Angel Fibers Ltd is develop, manufacture, market and support quality yarn products. Their new issue will be ready for applying starting from February 20th and will hit the stock exchanges soon. Let me quickly check the Angel Fibers IPO DRHP and find the pros and cons on investing in this issue and finally present the Angel Fibers Ltd IPO Review for my readers.
About Angel Fibers Ltd IPO :
- IPO Opens on – February 20, 2018.
- IPO Closes on – February 23, 2018.
- Face Value – Rs. 10 Per Equity Share.
- Issue Price – Rs. 27 Per Equity Share.
- Issue Type – Fixed Price Issue IPO.
- Market Lot – 4000 Shares.
- Minimum Order Quantity – 4000 Shares.
- Issue Size – 6,748,000 Equity Shares of Rs 10 aggregating up to Rs 18.22 Cr .
- Offer for sale – 6,748,000 Equity Shares of Rs 10 aggregating up to Rs 18.22 Cr .
- Listing Exchange – BSE SME Exchange.
- Draft Prospectus – Download.
Objectives of the issue:
- To achieve the benefits of listing the Equity Shares on the Stock Exchange.
- For the Offer for Sale.
About The Company –
- Angel Fibers Ltd is incorporated in 2014.
- This company offers cotton carded, combed, and compact yarns and trades in cotton waste products.
- The products of this company are used in making bed sheets, socks, knitted fabrics, shirting,sheeting and bottom weights etc.
- This company is committed to operate a business by developing, manufacturing, marketing and supporting quality yarn products for the world textile industry.
- AFL (Angel Fibers Ltd) sells company’s products in domestic and international markets.
- This company providing superior quality products at competitive prices.
- Angel Fibers Ltd is developing long-term relationships with their customers and suppliers.
- This company also providing a safe, fulfilling, and rewarding work environment for our employees also Serving and supporting the Society by giving employment.
Promoters of the company :
- Mr Ashok Dudhagara, aged 43 years, is the Promoter, Chairman and Managing Director of this company.
- Miss Prafulaben Dudhagara, aged 42 years, is the Promoter and Executive Director of this company.
Angel Fibers Ltd IPO Review:
The company was making losses since the financial year 2016. The loss may be due to the debt of the company. They have managed to turn around and enter into profits on FY 2017. At current valuations the company has an earnings per share of Rs. 1.24 and at the issue price of Rs. 27 it has a price to earnings ratio of just above 21. However, they have started in big scale and the earnings to be improved more in the coming years. Hence, our Angel Fibers Ltd IPO Review has a NEUTRAL view on this issue. Risk savvy investors sitting on cash can apply with a medium to long-term view.