Goldstar Power Limited is engaged in battery manufacturing. The company manufacturing and marketing their products under flagship brand “Star Gold”. The Company procures battery scrap and discarded batteries from dealers/retailers and converts into the finished product. This post will delve into the Goldstar Power Limited IPO review that is going to hit the Indian bourses tomorrow.
About Goldstar Power Limited IPO :
- IPO opens on – September 27, 2017
- IPO closes on – September 29, 2017
- Face value – Rs. 10 per equity share
- Issue price – Rs. 25 Per Equity Share.
- Issue type – Fixed Price Issue IPO.
- Minimum lot – 6000 shares.
- Minimum order quantity – 6000 Shares.
- Issue size – 2,900,000 Equity Shares of Rs 10 aggregating up to Rs 7.25 Cr.
- Listing exchange – NSE SME Exchange.
- Draft prospectus – Click here.
Objectives of the issue :
- Funding the working capital requirements of the Company.
- General Corporate Purpose.
About The Company-
- Goldstar Power Limited is incorporated in 1999.
- The company manufacturer of battery products which are marketing under the brand name of Star Gold.
- Goldstar Power Limited have plan to produce best products and services to dealers and retailers.
- Goldstar Power mains products are automotive, tubular batteries, SMF, VRLA, Solar batteries, Solar Inverter & UPS, Pure Lead, Alloy batteries and Lead Sub Oxide in Safety, Health and Environment.
- The batteries are generally used in cars manufactured by Tata, Maruti and Mahindra.
- The company is expanding its business in major sectors of the market, exports, domestic, sales market and OEM. They are also dealing with Indian and international customers as well.
- The batteries are used as a replacement for car owners and not as stock batteries by car manufacturers.
- The Company caters to all three segments of market viz. exports, domestic/after-sales market and OEM.
- Goldstar Power Limited have a widespread customer base with their domestic customer base situated in various regions of the country and international customers situated across varied countries like Uganda, Nepal, Lebanon, etc.
Promoters of the company :
The promoters of the company are Mulji Pansasa and Amrutlal Pansara.
Goldstar Power Limited IPO Review: We are sceptical about this issue as the financial results are not that good for the year FY 2015 and FY 2016. The figures have improved in the financial year 2017. However, the business model is strong and the merchant banker’s performance is exceptionally well. Hence, this Goldstar Power Limited IPO review takes a NEUTRAL view on this issue.