Retina paints manufacturers and sells decorative paints, including Distempers, Wall Care Products, Primers, Emulsions, etc. in a B2B model.
Retina Paints has a distributor network spread across Andhra Pradesh, Telangana, and Odisha. The company offers a diversified product suite with oil-based and water-based products. The oil-based products are used in colouring woods, iron etc., and the water-based colours are used in residential and commercial buildings. It has recently introduced a tinting machine in its facility.
The company started in 2010 and has its headquarters in Hyderabad, Telangana.
Details of Retina Paints Ltd. IPO
Retina Paints IPO is a new issue IPO worth Rs. 11.10 crore. The offer is a fixed issue initial public offering with the share price fixed at Rs. 30 per share.
Retina Paints IPO opens for subscription on April 19, 2023. Retail investors can bid for one lot of 4000 shares.
Retina Paints Ltd. IPO Objective
The company proposes to utilise the net proceeds received from the fresh issues for the following.
- To meet working capital requirements
- Funding general corporate purposes
Should you invest in Retina Paints Ltd.?
- The company offers a diversified product suite of oil and water-based paints, wall care putty, distempers, emulsions, and primers.
- Retina Paints is run by experienced promoters.
- It has a vast distributor network in Andhra Pradesh and Telangana with an expansion plan to the other south Indian states.
Competitive Peers
Other players in the domain recognised by Retina Paints Ltd. are Rathi Bars Ltd., Vaswani Industries Ltd., and Adishakti Loha and Ispat Ltd.
IPO Financials
| Particulars | Year ending on November 30, 2022 | Year ending on March 31, 2021 |
|---|---|---|
| Revenue from Operations | 527.67 | 638.28 |
| Profit After Tax (PAT) | 39.99 | 11.33 |
| EBITDA | 86.89 | 62.99 |
| EPS | 2.09 | 0.72 |
| As of November 30, 2022 | As of March 31, 2022 | |
| Current Asset | 2,074.77 | 1,162.77 |
| Current Liability | 2,074.77 | 1,162.77 |
Know before investing
Strengths
3It has an established business model supported by a robust network of distributors.
It has an expanding product suite and market.
It has a strong marketing team to enhance brand recall and recognition.
Risks
3The Indian paint industry is dominated by a few major players.
There are outstanding legal proceedings involving company promoters, which might impact operational and financial performance.
The company currently underutilises its production capacity.
