Emerald Tyre Manufacturers IPO GMP, Price, Date, Details
The off-highway tyre major Emerald Tyre Manufacturers Ltd., is a leading company of Indian origin, which has established its presence across the world. Founded in 2002, the company deals with the production of tyres, tubes, wheels and its exportation. Emerald Tyres has an extensive list of offerings and operates in the global market to become a reliable brand in the industrial, agricultural and specialized tyre industry.
This has been in preparation of the companies’ IPO which has spurred much interest among investors. It is planned to finance the acquisition of plant, equipment, and other integral assets, as well as future development. This blog gives a future glance of the company, the goods and services they produce, where they stand in the market, detailed information about the IPO and the likes.
Product Portfolio of Emerald Tyre Manufacturers
Emerald tyres presents an array of products and services to suit the different needs of consumers around the world. Its product categories include:
Solid Resilient Tyres:
Originally developed for forklift and MHE applications, these tyres provide good resistance and high reliability in rigorous environments.
Press-On Bands:
Forklifts and other industrial vehicles use these kinds of tyres, that provide good grip and long-wearing characteristics.
Direct Bonding Wheels:
These are forms of wheels that are designed for specific operation being that they will be able to handle and perform better when working with large loads.
Industrial Pneumatic Tyres:
If used for agricultural and industrial equipment, these magnificent tyres are well valued for their sturdiness and elasticity.
Butyl Tubes and Wheel Rims:
However, to complete the range of the Emerald Tyres, the company also produces excellent quality butyl tubes and wheel rims for even better performance.
Polyurethane Wheels:
These are employed in some special industrial uses where high wear operation is needed.
Global Footprint of Emerald Tyre Manufacturers
Some of the strengths at Emerald Tyres include international market coverage, having customers in over 70 countries. The company has its exclusive sales companies as well as distribution centres in Belgium and United Arab Emirates and United States of America. This global presence also establishes the quality of its products together with its versatility through diverse market demands.
Emerald Tyre Manufacturers Financial Performance
The performance of Emerald Tyre Manufacturers Ltd. has seen constant and good financial performance with regard to growth and operational freedom. Below is a detailed breakdown of its recent financials:
Key Financial Highlights (FY 2023-2024):
Revenue:
Total revenue for the fiscal year ending March 31, 2024: ₹154.66 crore.
This denotes a positive growth and this has been driven by high demand for off-highway tyres for use by different industries across the world.
Profit After Tax (PAT):
Net profit for the year ending March 31, 2024, stood at ₹11.04 crore.
This was due to the fact that the company was able to transform its sales figures to good profits and maintain a good healthy state of profits line.
Earnings Before Interest, Taxes, Depreciation, and Amortization (EBITDA):
The EBITDA margins can be employed to reason out problems of operation efficiency, costs and resource utilisation.
Expenses:
By controlling total operating expenses the organisation is now viable and profitable without restricting operations or new ideas.
Debt-to-Equity Ratio:
A reasonable amount of more specific financial risk has been acknowledged by Emerald Tyres which aims at the maximum safety for the debt-to-equity ratio and the minimization of threats to investors.
Financial Metric | FY 2022-2023 | FY 2023-2024 | Growth |
Revenue (₹ crore) | ₹140.50 crore | ₹154.66 crore | 10.08% |
Profit After Tax (₹ crore) | ₹9.80 crore | ₹11.04 crore | 12.65% |
EBITDA Margin (%) | 18% | 19% | 1% |
Key Factors Driving Financial Performance
Diverse Product Portfolio:
- Emerald Tyres targets customer service sectors, and thus giving the company a steady flow of revenues from different sectors of the economy.
Global Market Presence:
- The firm has its customers in over 70 countries, and this minimizes the specific location risk, which is a disadvantage when an area slows down economically.
Operational Efficiency:
- Investment in technology and automation in the manufacturing plant in Gummidipoondi, Tamil Nadu, has helped standardize the production process, and cut costs.
Rising Demand:
- Growth in mechanization of agricultural and construction vehicles especially in the developing countries has also helped create demand for off highway tyres thus increasing revenues.
Emerald Tyre Manufacturers IPO Details
The IPOs to be floated for subscription are as follows :
“Emerald Tyre Manufacturers Ltd.’’ The IPO is due for opening from December 5 2024 and close on December 9 2024. The company has also announced the price takers for the IPO as ₹90 to ₹95 per equity share.
Key Details of Emerald Tyre Manufacturers Limited IPO :
Issue Size: The total issue is to the tune of ₹49.26 crore which apart from the fresh issue of up to 4,986,000 equity shares with the employees, there is an offer for sale which is OFS consisting of up to 199200 equity shares by the existing holders.
Lot Size: Minimum lot size that is available for investment is 1,200 equity shares which cost ₹114,000 at upper limit of price band.
Listing: It is proposed that the shares will beMain Page: Delist on the NSE SME platform on the 12th of December 2024.
Emerald Tyre Manufacturers IPO Details
IPO Date | December 5, 2024 to December 9, 2024 |
Listing Date | December 12, 2024 |
Face Value | ₹10 per share |
Price Band | ₹90 to ₹95 per share |
Lot Size | 1200 Shares |
Total Issue Size | 5,185,200 shares (aggregating up to ₹49.26 Cr) |
Fresh Issue | 4,986,000 shares (aggregating up to ₹47.37 Cr) |
Offer for Sale | 199,200 shares of ₹10 (aggregating up to ₹1.89 Cr) |
Issue Type | Book Built Issue IPO |
Listing At | NSE SME |
Shareholding pre issue | 14,490,512 |
Shareholding post issue | 19,476,512 |
Emerald Tyre Manufacturers IPO Dates and Timeline
IPO Open Date | Thursday, December 5, 2024 |
IPO Close Date | Monday, December 9, 2024 |
Basis of Allotment | Tuesday, December 10, 2024 |
Initiation of Refunds | Tuesday, December 10, 2024 |
Credit of Shares to Demat | Wednesday, December 11, 2024 |
Listing Date | Thursday, December 12, 2024 |
Cut-off time for UPI mandate confirmation | 5 PM on December 9, 2024 |
Emerald Tyre Manufacturers IPO Lot Allotment
Application | Lots | Shares | Amount |
Retail (Min) | 1 | 1,200 | ₹114,000 |
Retail (Max) | 1 | 1,200 | ₹114,000 |
HNI (Min) | 2 | 2,400 | ₹228,000 |
Emerald Tyre Manufacturers IPO GMP
According to the market reports on December 3, 2024, the GMP of Emerald Tyre Manufacturers Ltd. IPO is said to be ₹50 which means that there is a premium of ₹50 over the issue price. This entails an estimate of price per share of ₹145, this being 52.63% higher than the upper price of an issue at ₹95.
Emerald Tyre Manufacturers IPO Expected Listing Gain
Therefore, with reference to the current GMP, investors may expect a listing gain of approximately 52.63% from the upper issue price. However, they should note that GMP is a pre-listing estimate and actual listing gains differ depending on market forces of demand and supply as well as the general market sentiments at the time of listing.
Competitive Advantage
Emerald Tyres enjoys several competitive advantages that set it apart in the market:
Quality Assurance:
It has a policy on quality that the company must follow to meet the quality needs of various sectors in the market.
Diverse Product Range:
Emerald Tyres sell a variety of tyres, tubes and wheels in many sectors; this minimizes reliance on one particular sector.
Global Reach:
It has an international presence thus allows the company to benefit from growth opportunities across both developed and developing regions.
Strong Customer Relationships:
That is how Emerald Tyres, by following a customer-oriented model, has maintained a steady source of orders from the clients.
Innovative Solutions:
Often the company undertakes research and development activities to identify invogue market trends and produce new goods.
Industry Outlook
Thus, it can be stated the off-highway tire will have a steady growth on a global scale, which is experienced in agriculture and construction industries as well as the industrial sector. Indonesia and other ASEAN members andFollowed by, India and China due to increasing infrastructure development and improved agricultural yield.
In this regard, the strategic orientation of Emerald Tyres is to fully leverage opportunities where they currently have competitive strengths based on the established brand name, diversified and deep product offering, and focus on R&D.
Investor Perspective
The IPO of Emerald Tyres presents an attractive investment opportunity for several reasons:
Growth Potential:
Due to the increased usage of off-highway tyres in the market, the company will have huge potential in the future business years.
Strong Financials:
The next two financial ratios demonstrate that the company enjoys substantial revenues and profitability levels.
Strategic Utilization of Funds:
The IPO will be used to improve the manufacturing capacities of the company to provide for future growth of the business.
Experienced Management:
The company has a strong top management team with depth and breadth of experience to support good decisions and strong directions.
Conclusion
This organization profile on Emerald Tyre Manufacturers Ltd provides a best practice on how an Indian firm can compete in the international market. Established, progressive and quality-conscious, the company is well-placed to deal with the opportunities and risks currently active in the off-highway tyre segment.
The planned IPO is not only a success story of the envisaged company but also an organisational way that allows investors to join its success story. As Emerald Tyres moves to this new phase, the company stands to strengthen its hold in the market even further.
Speculative investors should do their homework before investing in fanuc’s IPO and get to grips with its strengths and weaknesses. Having a very good past and future prospect, it can be said that Emerald Tyres is another firm to reckon with when it comes to the off-highway tyre sector.
Also Read : TOP BSE Small Cap Stock List
FAQ'S
What is the Emerald Tyre Manufacturers Limited IPO ?
The Emerald Tyre Manufacturers Limited IPO is an SME IPO listed on the NSE SME platform. The issue price is set between ₹90-95 per share, with a minimum lot size of 1,200 shares, amounting to ₹114,000 per lot. The IPO aims to raise approximately ₹49.26 crores.
When does the IPO open and close ?
The IPO opens on December 5, 2024, and closes on December 9, 2024.
What are the objectives of the IPO ?
The funds raised through the IPO will be used for:
- Capital expenditure.
- General corporate purposes.
- Covering offer expenses.
What is the allotment and listing timeline ?
- Allotment date: December 10, 2024
- Refund initiation: December 11, 2024
- Demat transfer: December 11, 2024
- Listing date: December 12, 2024
How can one apply for the IPO ?
To apply for the IPO:
- Use a trading platform or IPO-related apps (e.g., IPO Ji or your brokerage app).
- Search for Emerald Tyre Manufacturers Limited IPO.
- Enter the desired lot quantity and submit your application.
- Track your application status through your broker
