The Mumbai-based firm Paras Defence and Space Technologies Ltd. will open for public subscription on 21 September 2021. The initial public offer will comprise a new issue of equity shares and an OFS and will conclude on 23 September 2021.
Here’s more about this upcoming initial public offering.
Paras Defence and Space Technologies – In Brief
Here’s a quick break-up of this upcoming IPO:
- A new issue of shares amounting to Rs. 140.60 crores
- An OFS of a maximum of 1.72 million shares by shareholders and promoters
- The shares will get listed on 1October 2021 (tentative)
- This upcoming IPO will be a book-built issue
- The shares will be listed on the NSE and BSE
So, how does the company plan to use its net proceeds from the initial public offer?
As per the company’s DRHP, it plans to use its net proceeds in these ways:
- To purchase equipment
- Buying advanced machinery
- Boost incremental working capital
- Pay off existing debts
- Address general corporate purposes
Paras Defence and Space Technologies IPO Timeline
Here’s the tentative IPO schedule of Paras Defence and Space Technologies public offer –
- Basis of share allotment: 28 September 2021
- Refund initiation: 29 September 2021
- Credit of equity shares to DEMAT A/c: 30 September 2021
- IPO Listing date: 1 October 2021
As per its DRHP, Anand Rathi Securities Limited will serve as the lead manager for this upcoming IPO. Also, Link Intime India Private Limited is the registrar for this public offer.
How does Paras Defence Fare Financially?
This company recorded a total income of nearly Rs. 149 crores in the financial year of 2020. Additionally, it recorded Rs. 37.94 crores in the 6-months that ended on 30 September 2020.
That said, Paras Defence recorded a consolidated profit after tax (PAT) of Rs. 19.65 crores in the fiscal year of 2020. At the same time, it incurred a loss in the 6-month period that ended on 30 September 2020.
About Paras Defence and Space Technologies Ltd.
Paras Defence and Space Technologies Ltd. is among the handful of optics manufacturers for defence and space applications in the country.
This company focuses primarily on areas such as space optics, defence electronics, heavy engineering, and electromagnetic pulse protection solution. Paras Defence runs manufacturing facilities in Thane and Navi Mumbai and has a diverse clientele based in South Korea, Belgium, and Israel.
It also caters to the requirements of public sector undertakings such as Hindustan Aeronautics Ltd, Bharat Electronics Ltd, and Bharat Dynamics Ltd. Note that its offerings are closely aligned with Government-backed initiatives such as ‘Make in India’ and ‘Atmanirbhar’.
This company enjoys a lucrative position in the market and has its share of prospects and limitations in its area of operation. Investors must weigh in their pros and cons diligently before proceeding to subscribe to its IPO.
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Frequently Asked Questions
- Who are the promoters of Paras Defence?
Munjal Sharad Shah and Sharad Virji Shah are the promoters of this company.
- What is the market lot of Paras Defence IPO shares?
Information about the market lot of Paras Defence IPO has not been disclosed yet.
- Can I apply for Paras Defence and Space Technologies IPO via Angel One?
Yes, you can apply for Paras Defence and Space Technologies IPO with our Angel One app. If you are a new investor, you can start your venture by simply opening a DEMAT A/c.
- What is the face value of Paras Defence IPO shares?
The face value of Paras Defence IPO shares is Rs. 10 apiece.