Articles

ASK Automotive IPO: 10 Things You Should Know About RHP Before Investing

ASK Automotive IPO

ASK Automotive IPO was subscribed 38 percent on the first day of issue. The share of IPO from the mainboard as well as private investors was marked at 56 percent on the first day
ASK Automotive IPO: The ASK Automotive IPO opened on November 7 and was 38 percent subscribed by the end of the first issue day. The Motherboard IPO ends on November 9th. The ASK Automotive IPO was subscribed 38 percent on the first day of issuance. ASK the private investors of Automotive IPOand#039;#039; on the first day, 56 percent were subscribed, with non-institutional investors (NIIs) at 41 percent and qualified institutional buyers (QIBs) at 3 percent. The ASK Automotive IPO reserved a maximum of 50 percent of the public offering shares for QIBs, a minimum of 15 percent for NII and a minimum of 35 percent of the offer for private investors. ASK Automotiveand#039;’s IPO price range is ₹ 268-282 per share with a face value of ₹ 2 per share. ASK Automotive IPO is paper number worth ₹ 834.00. The issue is a full offer for sale of 2.96 million shares.
Here are 10 key things about the Red Herring Prospectus (RHP) that investors should know ahead of the issue. Promoters of ASK Automotive IPO
The promoters of the company are Kuldip Singh Rathee as well as Vijay Rathee.

 

Industries Listed By ASK Automotive

ASK Automotive IPO as well as colleagues – Here are the industries listed by ASK Automotive according to RHP:Endurance Technologies Limited: A leading manufacturer and supplier of automotive aluminum die castings. (P/E: 49.06) Uno Minda Limited: Manufactures automotive components for global as well as domestic automotive markets. Produces a variety of parts as well as accessories – including brakes, gears, axles and road bikes. (P/E: 69.82) Suprajit Engineering Limited: Manufactures mechanical control cables for automotive as well as other segments. (Mon/Fri: 26.20) Bharat Forge Limited: operates in the industrial and automotive industries with a focus on metal forming. (P/E: 43.17) ASK Automotive ja#039 has a market capitalization of ₹ 5,559 and a P/E (x) of 45.63. ASK Automotive is India’s largest manufacturer of two-wheeler (2W) brake pads and advanced braking (AB) systems, with a market share of approximately 50 percent of original equipment manufacturer (OEM) production volumes by 2023 as well as independent brand aftermarket, combined according to the RHP.

ASK Automotive Group Companies

 

Moreover, ASK Automotive IPO group companies include SK Fras-Le Friction Private Limited, AA Friction Materials Private Limited, A.P. Automotiveand#039;s Private Limited and Vijaylaxmi Infra Projects Private Limited as per RHP. ASK Automotive began operations in 1989 with 2W brake pad products as well as later diversified to include offerings such as AB systems and Aluminum Lightweight Precision Solutions (ALP), where it is a key player for 2W OEMs in India. 9 percent market share in 2023 by production volume, radar 2W for OEMs; as well as security monitoring cable products. It supplies a range of AB systems, ALP solutions, radar and SCC products to OEMs of 2Ws, three-wheelers (3Ws), passenger cars (PVs) and commercial vehicles and to the non-automotive industry. -all-terrain vehicles (4WD), power tools as well as outdoor equipment.

ASK Automotive Manufacturing Facilities

As of June 30, 2023, ASK Automotive had 15 manufacturing facilities across five Indian states, most of which are strategically located near OEM customers. the company recently started commercial production in July 2023 at its 16th production facility in Bhiwadi (Rajasthan). The land on which ASK Automotive proposes to develop a manufacturing unit has also been allotted by the relevant regulatory authority at Kolar, Karnataka. In addition, its joint venture has one manufacturing unit in Gurugram, Haryana. ASK Automotive IPO and #039;s Finances.ASK Automotive Limited’s revenue grew by 26.78 percent as well as profit after tax (PAT) by 48.75 percent for the fiscal year ended March 31, 2023 to March 31, 2022.

 

Revenue Model of The Company

The total profit/net profit of the company is Rs. 1567.77 Crores / Rs. 106.20 crore (FY21), Rs. 2024.26 Crores / Rs. 82.66 crore (FY22) and Rs. 2566.28 billion / Rs. 122.95 crores (23rd financial year).
The company’s revenues as well as operating income grew at a compound annual growth rate (CAGR) of 28.64 percent from 2021-2023 as well as 8.74 percent from ₹ 6,037.35 billion in the three months ended 06/30/2022. According to RHP, paid ₹ 6,565.08 for the three months ended 06/30/2023. More than 80 percent of the company’s revenue for its last three financial periods ending June 30, 2022, June 30, 2023 and June 30, 2023 can be attributed to the two-wheeler industry in India . Adverse changes in the two-wheeler industry could adversely affect the business, results of operations as well as financial condition. The availability and price of raw materials, including aluminum, are critical to their operation as well as profitability.

 

Company Financial Condition

Disruption of timely and adequate supply of raw materials or instability of raw material prices may harm their operations, financial condition as well as business. The company does not have exclusive contracts or specific obligations to deliver to suppliers; instead, the supply of raw materials depends on third parties. Business, results of operations and financial condition may suffer due to the loss of suppliers. ASK Automotive Distribution ASK Automotive supplies products to all the top six 2W OEMs (by 2023 product volume and value) in India, the world’s largest 2W engine market, with domestic sales of 16.25 million units in 2023. In 2022, the company began commercial deliveries of 2W EVs in India to OEMs including TVS Motor Company Limited, Ather Energy Private Limited, Hero MotoCorp Limited, Greaves Electric Mobility Private Limited, Bajaj Auto Limited as well as Revolt Intellicorp Private Limited. According to RHP, ASK Automotive has a 16-30 year customer relationship with each of these companies.

ASK Automotive’s Global Customers

In addition For Indian customers, the company is also increasingly serving foreign customers in the automotive industry as well as other sectors through the export of AB systems and ALP solutions. Automotive customers outside India include UFI Filters India Private Limited, Federal-Mogul Italy – Racing and Motorcycle Division and FDP Virginia Inc. and outside India, non-automotive customers include Stanley Black and Decker, Polaris Industries Inc. as well as MTD Products Inc.

For more information, stay updated with – Newsonline.media

Pragyat

Recent Posts

NoBroker Hosts ‘Property Carnival’ in Chennai for Homebuyers

NoBroker, India's first proptech unicorn, is bringing an exciting opportunity for homebuyers with the launch…

2 days ago

Manthan School Ranked Among India’s Top 20 Schools in EWISR 2024-25

In a remarkable achievement, Manthan School has been ranked 3rd in Telangana and Hyderabad, and…

2 days ago

Solidus Techno Power Pvt. Ltd. Appoints Mr. Jaspal Singh as Chief Technology Officer

Solidus Techno Power Pvt. Ltd., a leader in solar EPC solutions, is pleased to announce…

2 days ago

Salesforce Brings The First Edition of Agentforce World Tour To Delhi

Salesforce, the worlds #1 CRM, powered by AI technology and capabilities, today hosted India's first…

3 days ago

Metropolis Healthcare unveils Key Findings from Molecular Genomics Study in honour of Lung Cancer Awareness Month

Lung cancer remains one of the most prevalent and deadly cancers globally, with approximately 2.2…

3 days ago

Sachidanand Upadhyay: A Visionary Leader Dedicated to Building Better Tomorrow

At Lord's Mark Industries Limited, led by Sachidanand Upadhyay, we are committed to fostering positive…

3 days ago