Harshdeep Hortico Limited, established in December 2022, is a company specialised in the design, development, manufacturing, and supply of various types of pots and planters. The company's journey began in 2008 when M/s Harshdeep Agro Products initiated its Rotational Moulding operations at the Bhiwandi unit.
Their product range includes plastic Indoor Planters, Outdoor Planters, Illuminated Planters, Decorative Planters, Roto Moulded Planters, Fiber Reinforced Plastic (FRP) Planters, and Eco series Planters. Additionally, the company offers related accessories such as a Garden Hose Pipe and Water Can.
In an expansion move, Harshdeep Hortico Limited has recently ventured into the Roto Moulded Outdoor Furniture field. The company boasts an extensive product portfolio comprising over 500 varieties of pots, planters, and related accessories, available in multiple sizes and colours.
With two manufacturing units located in Bhiwandi, Thane, and Daund, Pune, Maharashtra, India, the company covers a significant operational area of 93,769 sq. ft. and 40,000 sq. ft., respectively. Harshdeep Hortico Limited also maintains stores in Delhi, Pune (Maharashtra), and Rajahmundry (Andhra Pradesh).
Over the years, the business has expanded, acquiring additional machines, including Injection Moulding Machines and Blow Extrusion Machines. Presently, the company operates a total of 4 Rotational Molding Machines, 20 Injection Molding Machines, and 1 Blow Extrusion Machine.
Industry Outlook
In recent decades, flower farming in India has experienced remarkable growth. The sector's outstanding performance suggests that it is projected to reach $5.9 billion by 2030, with an annual growth rate of 7.4% from 2021 to 2030. Flower farming, once a traditional method, has now evolved into a significant agricultural business in over 140 countries. Foreign investors and Indian companies find it easier to invest in the Floriculture sector because 100% Foreign Direct Investment (FDI) is permitted under the automatic route.
Harshdeep Hortico Limited IPO Details
Harshdeep Hortico Limited IPO Date
The IPO of Harshdeep Hortico Limited is open for subscription from January 25, 2024, to January 30, 2024.
Harshdeep Hortico Limited IPO's Price Band
Harshdeep Hortico Limited’s IPO is a fresh issue IPO of up to ₹19.09 crore. It is a book-building issue. The price range is set to ₹42 to ₹45 per share.
Harshdeep Hortico Limited IPO's Lot Size
The lot size for Harshdeep Hortico Limited’s IPO is 3,000 shares with a minimum investment of ₹1,35,000.
Harshdeep Hortico Limited IPO's Objectives
The company plans to allocate the net proceeds from the issuance to the following purposes:
- Repayment and/or pre-payment, in full or part, of certain borrowings availed by the company
- To meet working capital requirements
- General corporate purposes
How To Check the Allotment Status of Harshdeep Hortico Limited’s IPO?
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Contact Details of Harshdeep Hortico Limited
Registered office: Building No.1 Shree Sai Logistics, Survey No.18/2E 18/2P 17/2A, 17/2B Part, Elkunde, Bhiwandi, Thane- 421302, Maharashtra, India
Contact Person: Shreya Gandhi
Phone: +91-94245-04224
E-mail: cs@harshdeepindia.com
IPO Financials
| Particulars | Year ending on July 31, 2023 | Year ending on March 31, 2023 |
|---|---|---|
| Total Income | 1,482.84 | - |
| EBITDA Margin (%) | 19.27% | - |
| Profit After Tax (PAT) | 177.24 | (0.27) |
| PAT Margin (%) | 11.97% | - |
| Total Borrowings | 636.82 | - |
| Cash & Cash Equivalents | 92.18 | 4.89 |
| Debt to Equity Ratio(x) | 0.48 | - |
| Return on Equity (%) | 26.64% | 0.00% |
| Return on Capital Employed (RoCE) (%) | 12.28% | 0.00% |
| Earning Per Share (EPS) in absolute ₹ | 1.50 | - |
Know before investing
Strengths
5Harshdeep Hortico Limited offers a diverse range of pots, planters, and outdoor furniture, including eco-friendly options, catering to various customer preferences globally.
The company derives 88.93% of its revenue from the top 10 regions in India, with Maharashtra leading at 41.99%, ensuring resilience and growth.
The company operates two manufacturing units in Bhiwandi and Pune, Maharashtra, with in-house operations, ensuring efficient inventory management and production. They utilise 20 Injection Molding Machines and specialised equipment.
Risks
5Harshdeep Hortico relies heavily on specific regions, particularly Maharashtra, for a significant share of its sales. Adverse developments in these regions could adversely impact revenue.
The company is dependent on a few key suppliers for crucial raw materials, and the absence of long-term contracts exposes it to the risk of supply disruptions and price fluctuations.
With a short operating history since incorporation in December 2022, Harshdeep Hortico faces uncertainties and challenges that come with a relatively brief business track record.
Operating from rented premises for its registered office, manufacturing unit, and stores, the company is vulnerable to adverse effects in case of non-renewal of rent agreements or disputes over premises usage.
In the gardening and home decor industry, Harshdeep Hortico’s business is highly influenced by consumer price sensitivity. Failure to maintain competitive pricing may negatively impact business, operational results, and financial condition.
