De Neers Tools was founded in 2018 to manufacture and market hand tools. The company's promoters have seven decades of experience and started in 1952 as a family business to manufacture small hand tools. The company is among the few key players and a leader in terms of market share.
De Neers offers a broad range of tools, including non-sparking tools, insulated steel tools, spanners, wrenches, stainless and magnetic tools, hammers, socketry, screwdrivers, tool kits, etc. The company supplies to some leading OEM manufacturers - Tata Steel, Larsen & Toubro, Indian Oil, Assam Petrochemicals, Lohia Corporations, Polycab Cables, Indian Railways, etc. Dee Neers has a well-equipped manufacturing unit in Punjab.
De Neers Tools Ltd IPO Details
De Neers Tools IPO contains fresh issues of an undisclosed amount. De Neers IPO price and dates have not yet been announced.
De Neers Tools Ltd IPO Objectives
- To meet the working capital requirements
- General corporate purpose
- To meet issue expenses
Should you invest in De Neers Tools Ltd?
- The company's promoters have been in business for 70 years.
- It is one of the leading hand tool distributors, offering an end-to-end business approach.
- The company caters to several large OEMs.
De Neers Tools Company Financials
| Particulars | Period between April 1 and October 31, 2022 | Year ending on March 31, 2021 |
|---|---|---|
| Revenue from Operations | 5602.27 | 6211.77 |
| Profit After Tax (PAT) | 386.98 | 54.14 |
| PAT Margin | NA | NA |
| EBITDA | NA | NA |
| EBITDA Margin | NA | NA |
| ROE | NA | NA |
| EPS | 6.11 | 0.86 |
Know before investing
Strengths
3De Neers has improved its business and operational efficiency over the years to leverage economies of scale.
It has a robust, established network of 250 dealers and distributors.
It has built solid relationships with its customers.
Risks
3It is a capital-intensive business.
Changes in the regulatory environment can impact the company's operational and financial performance.
It operates in a highly fragmented industry, with 80% of the competition coming from unorganised competitors.
