RATNAVEER PRECISION ENGINEERING LIMITED

RATNAVEER PRECISION ENGINEERING LIMITED - IPO DETAILS 

Company Overview 

Founded in the year 2002, Ratnaveer Precision Engineering Limited specializes in the production of stainless-steel finished sheets, washers, solar roofing hooks, pipes, and tubes. The company manufactures stainless steel-based items catering to a wide array of industries, including automotive, solar power, wind energy, power plants, oil & gas, pharmaceuticals, sanitary & plumbing, instrumentation, electromechanics, architecture, building & construction, electrical appliances, transportation, kitchen appliances, chimney liners, and various other sectors. 

Ratnaveer Precision Engineering operates four manufacturing units strategically located in Gujarat, India. Unit-I and Unit-II are situated in the GIDC area of Savli, Vadodara, Gujarat. At Unit I, the company produces stainless steel finishing sheets, stainless steel washers, and stainless-steel solar mounting hooks. Unit II is dedicated to the manufacturing of stainless-steel pipes and tubes. Meanwhile, Unit-III is situated in Waghodia, Vadodara, Gujarat, and serves as the melting unit, transforming steel scrap into steel ingots. Unit-IV, located in the GIDC area of Vatva, Ahmedabad, Gujarat, is the rolling unit, where flat ingots are further processed into stainless steel sheets, which are utilized as raw material for manufacturing stainless steel washers. 

Ratnaveer Precision Engineering is planning to expand its product range by introducing circlips to its existing line of stainless-steel washers. Currently, the company offers a comprehensive range of over 2,500 SKUs of stainless-steel washers, encompassing various types such as inner ring washers, spring washers, Nord-Lock washers, retaining rings, internal tooth washers, and external tooth washers, each available in different sizes and specifications.  

Objective of the IPO 

Here are a few quick reasons why Ratnaveer Precision Engineering Limited going public:  

1. Funding the working capital requirements of the company. 

2. Allocating funds for overarching corporate needs and objectives. 

Company Financials 

Key Performance Indicator 

Pros 

1. The company has established a backward integration system that involves processing manufacturing waste and transforming it into the raw materials used in the production process. 

2. The company has a varied clientele, serving both domestic and international markets. In the domestic market, it markets its products to manufacturers, traders, and end-users.  

3. The company operates an in-house research and development (R&D) facility where it designs tools and molds for its products, contributing to the improvement and expansion of its product range.  

Cons 

1. The company lacks long-term contracts with its raw material suppliers. This leaves it vulnerable to potential challenges in securing the required raw materials promptly and cost-effectively, which could adversely affect its operations.  

2. The company has substantial working capital needs to sustain its operations. Failing to meet these cash flow requirements could have detrimental effects on its business operations. 

3. The company is susceptible to changes in steel prices, influenced by market demand, volatility, and economic factors. Fluctuations in steel prices could potentially harm the company's financial performance. 

How to Apply for this IPO 

1. Go to https://ipo.adityatrading.in/ 

2. Enter your Client ID 

3. Enter the OTP received in your registered mobile number. 

4. Choose the IPO and click on apply button. 

5. Enter the UPI ID, Quantity, and Cut off the price. 

6. Click on submit button 

7. Confirm the mandate request received on your phone by entering the UPI Pin. 

You can also watch our youtube video on “How to Apply on IPO” by clicking on the link “https://www.youtube.com/watch?v=1qOI8dCpl1I&ab_channel=ATS”