The company Hi-Green Carbon Limited is coming up with an IPO of INR 52.80 crores. The offer consists of a fresh issue of equity shares and an offer to sell shares of existing shareholders. The company intends to utilise the raised funds towards setting up a new manufacturing unit and to meet working capital requirements.
Hi-Green Carbon Limited IPO – Important Details
| Hi-Green Carbon IPO Date | September 21, 2023 to September 25, 2023 |
| Hi-Green Carbon IPO Listing Date | September 28, 2023 |
| Hi-Green Carbon IPO Price | INR 71 to INR 75 per share |
| Hi-Green Carbon IPO Lot Size | 1600 Shares |
| Hi-Green Carbon IPO Total Issue Size | INR 52.80 crores |
| Hi-Green Carbon IPO Basis of Allotment | September 28, 2023 |
| Hi-Green Carbon IPO Initiation of Refunds | September 29, 2023 |
| Hi-Green Carbon IPO Credit of Shares to Demat | October 3, 2023 |
| Hi-Green Carbon IPO Issue Type | Book Built Issue IPO |
| Hi-Green Carbon IPO Listing At | BSE, NSE |
Hi-Green Carbon IPO – Company Profile
The company was established with a mission to create wealth from waste. The company is engaged in the business of waste tyres recycling. The manufacturing plant operates on a continuous pyrolysis process. It is an uninterrupted working method with a continuous feeding and discharging system controlled by the program logic controller system. The process is fully automatic and requires almost no human intervention.
The major products are Recovered Carbon Black (rCB) and Steel Wires under Raw Material Category, Fuel Oil and Synthesis Gas under Energy components category. In order to utilise the energy in an efficient manner, the company utilises synthesis gas, produced as a by -product of the pyrolysis process, for also manufacturing sodium silicate commonly known as raw glass.
Hi-Green Carbon Ltd IPO Objective
Hi-Green Carbon Ltd’s IPO will fund the expansion of its manufacturing facility in Maharashtra with INR 17.83 crores and address working capital needs of INR 16.53 crores for FY 2023-24.
- Setting up a new manufacturing plant in Maharashtra: At present, manufacturing facility of the company is located in Bhilwara, Rajasthan having installed capacity of 24000 MT per annum for Tire Processing and 12000 MT per annum for Sodium Silicate Production respectively. The company is planning for expansion of the Manufacturing Facility at Dhule District in the state of Maharashtra.The company plans to utilise INR 17.83 crores from the net proceeds raised for the said purpose.
- Meeting working capital requirement: THe Company is engaged in the business of waste tires recycling. The company funds a majority of the working capital requirements in the ordinary course of business from the internal accruals and financing from banks and financial institutions. The company requires working capital requirement to achieve expected turnover for FY 2023-24 by providing goods on credit to customers, to avail benefits of better pricing and discounts from vendors. The Company will meet the requirement to the extent of INR 16.53 crores from the Net Proceeds of the Issue.
Hi-Green Carbon IPO Risks And Challenges
Hi-Green Carbon faces risks from ongoing legal disputes involving promoters, heavy dependence on Rajasthan for revenue (79.73%), and potential adverse impacts on reputation, business, and finances.
- The promoters are party to certain litigation and claims. These legal proceedings are pending at different levels of adjudication before various regulatory authorities. Any adverse decision may make the company liable to liabilities/penalties and may adversely affect the reputation, business and financial status.
- The revenue is highly dependent on the operations in the geographical region of state of Rajasthan. As on 31.03.2023, 79.73% of the revenue is generated from Rajasthan. Any adverse development affecting the operations in this region could have an adverse impact on our business, financial condition and results of operations.
Hi-Green Carbon Ltd IPO Peer Comparison
The company does not have a comparable listed peer, therefore information related to peer group has not been provided.
Hi-Green Carbon Limited IPO Financial Information
| Particular | As at 31 March 2021 | As at 31 March 2022 | As at 31 March 2023 |
| Revenue (₹ in lakhs) | 2,427.09 | 5,110.69 | 7,852.41 |
| Equity (₹ in lakhs) | 806.28 | 1,174.23 | 2,259.02 |
| Expenses (₹ in lakhs) | 2,416.18 | 4,647.14 | 6,290.64 |
| Profit and Loss After Tax (₹ in lakhs) | 9.59 | 367.95 | 1,084.78 |
| RoNW (%) | 1.19% | 31.34% | 48.02% |
| Diluted EPS only (₹) | 0.05 | 1.94 | 5.71 |
| NAV per Equity Share (₹) | 4.24 | 6.18 | 11.89 |
| Total Assets (in lakhs) | 3,310.91 | 3,424.36 | 4,387.83 |
| Total Liabilities (in lakhs) | 2,504.62 | 2,250.13 | 2,128.81 |
Hi-Green Carbon Limited IPO – Fundamental Analysis
Revenue Growth:
Hi-Green Carbon has displayed consistent revenue growth, increasing from ₹2,427.09 lakhs in 2021 to ₹7,852.41 lakhs in 2023, signaling positive momentum.
Profitability:
The company’s profitability has improved significantly, with Profit and Loss After Tax surging from ₹9.59 lakhs in 2021 to ₹1,084.78 lakhs in 2023.
Return on Net Worth (RoNW):
RoNW has experienced remarkable growth, rising from 1.19% in 2021 to 48.02% in 2023, indicating enhanced efficiency.
Earnings Per Share (EPS):
Diluted EPS has shown substantial growth, reaching ₹5.71 in 2023.
Net Asset Value (NAV) per Equity Share:
The NAV per Equity Share has consistently increased from ₹4.24 in 2021 to ₹11.89 in 2023.
Asset and Liability Management:
Total Assets have seen steady growth, reaching ₹4,387.83 lakhs in 2023, highlighting a robust asset base.
Summary:
Hi-Green Carbon demonstrates impressive revenue growth, enhanced profitability, and a strong RoNW. However, as it is in a capital-intensive industry, investors should evaluate the IPO pricing and market conditions carefully. Consulting financial experts is advisable.
Hi-Green Carbon Limited IPO – Industry & Market Potential
India’s economic resilience can be seen in the domestic stimulus to growth seamlessly replacing the external stimuli. The growth of exports may have moderated in the second half of FY23.
The government is supporting the renewable energy sector by implementing various schemes and entering into agreements with various nations. Few of them are listed below:
- In November 2022, India and Sweden entered into a India-Sweden Green Transition Partnership to support the exchange of knowledge in the energy space.
- In June 2021, India launched the Mission Innovation CleanTech Exchange, a global initiative that will create a whole network of incubators across member countries to accelerate clean energy innovation.
- Renewable Purchase Obligations (RPO’s) are a mechanism by which state electricity commissions are obliged to purchase a certain percentage of power from renewable energy sources Also, floor prices of the RPO have been set to provide certainty to companies. The floor price has been set at US$ 144 per MW.
Hi-Green Carbon IPO – Type of Offer
Hi-Green Carbon IPO consists of both fresh issue and offer for sale:
● Fresh Issue: The company will issue new shares to raise capital, aiming to collect INR 44.93 Crores. This fund will be utilised towards setting up a new facility and also to fund the working capital requirement.
● Offer for sale: Existing shareholders, including promoters and early investors, will sell a portion of their stake in the company worth INR 7.88 crores.
Hi-Green Carbon IPO Offer Size
The company Hi-Green Carbon Limited is coming up with an IPO of INR 52.80 crores. The offer consists of a fresh issue of equity shares and an offer to sell shares of existing shareholders. The company intends to utilise the raised funds towards setting up a new manufacturing unit and to meet working capital requirements.
Hi-Green Carbon Limited IPO Allotment Structure
Hi-Green Carbon Limited’s IPO allocation designates 50% for Qualified Institutional Buyers, 15% for Non-Institutional Investors, and 35% for Retail Individual Investors, aligning with SEBI regulations for a diversified investor base.
● Qualified Institutional Buyers (QIB): As per SEBI regulations, 50% of the shares offered through the IPO will be reserved for Qualified Institutional Buyers. These include entities such as banks, mutual funds, and insurance companies.
● Non-Institutional Investors (NII): 15% of the shares will be reserved for Non-Institutional Investors. These typically include corporate bodies or individuals investing more than Rs. 2 lakhs.
● Retail Individual Investors (RII): The remaining 35% of the shares will be allotted to Retail Individual Investors. These individual investors apply for shares with a total value of less than Rs. 2 lakhs.
How to apply for a Hi-Green Carbon India IPO through Alice Blue?
To apply for the Hi-Green Carbon India IPO through Alice Blue, you would typically follow these steps:
1. Open a Demat and Trading Account: If you don’t have one already, you would need to open a Demat and trading account with Alice Blue.
2. Check for IPO Details: Once your account is active, you can check for the Hi-Green Carbon India IPO details in the IPO section of the Alice Blue platform.
3. Place the Bid: Enter the number of shares you wish to buy and place your bid within the IPO’s price band.
4. Submit the Application: Confirm all your details and submit your application.
You can apply for Hi-Green Carbon India IPO at Alice Blue in just a few clicks!
Check Allotment Status: Post the allotment process, you can check the allotment status to see if you have received any shares.
Please note that the allotment of shares is not guaranteed and will depend on the demand for the IPO.
How to Check Hi-Green Carbon India IPO Allotment Status on Alice Blue?
Checking the allotment status of an IPO in Alice Blue is usually straightforward. Please follow these general steps:
1. Log in to your Alice Blue Account: You can do this through the Alice Blue website or their trading app.
2. Navigate to the Portfolio or IPO Section: This might differ based on the layout of Alice Blue’s platform, but generally, you can find the status of your IPO application under the ‘Portfolio’ or ‘IPO’ section.
3. Find the IPO Allotment Status: Look for a sub-section called ‘IPO Allotment Status’ or something similar. This is where you can see the status of the IPOs you have applied for.
4. Select the Hi-Green Carbon India IPO: If you have applied for multiple IPOs, there might be a dropdown menu or a list where you can select the IPO you are interested in. Select the Hi-Green Carbon India IPO.
5. Check the Status: The status of your application should be displayed here. If the shares have been allocated to you, it would be mentioned here.
If you face any issues, it’s recommended to contact Alice Blue’s customer support for detailed assistance.
Apart from Alice Blue, there are other ways to check the allotment status of the Hi-Green Carbon India IPO:
Registrar’s Website: Visit the website of Link Intime India Private Limited, the registrar of the Hi-Green Carbon India IPO. On the homepage, look for the ‘IPO Allotment Status’ option. You must enter your PAN and application number or Demat account number to check your allotment status. Click on the ‘Submit’ button to view your IPO allotment status.
NSE SME: You can also check the allotment status on the official websites of the National Stock Exchange (NSE) SME Platform. You would need your application number and PAN to check the status.
Please note that the allotment status will only be available after the allotment process has been completed, a few days after the IPO window closes.
Hi-Green Carbon Ltd IPO Offer Registrar
The registrar for the Hi-Green Carbon Limited’s IPO is Link Intime India Private Limited. They are responsible for ensuring the IPO allotment and refund processes are carried out smoothly.
Contact information for the registrar:
Link Intime India Private Limited
Email: [email protected]
Tel. No: +91 810 811 4949
Hi-Green Carbon Limited IPO FAQs
What is the allotment date of the Hi-Green Carbon Limited IPO?
The allotment date is September 21, 2023 to September 25, 2023.
What is the price band of the Hi-Green Carbon Limited IPO?
The price band is INR 71-75 per share.
What is the size of the Hi-Green Carbon Limited IPO?
The company Hi-Green Carbon Limited is coming up with an IPO of INR 52.80 crores. The offer consists of a fresh issue of equity shares and an offer to sell shares of existing shareholders.
What is the listing date of the Hi-Green Carbon Limited IPO?
The listing date is September 28, 2023
