The company Macro Cables & Conductors Limited is coming up with an IPO of INR 18.73 crores. The offer consists of a fresh issue of equity shares.The company intends to utilise the raised funds towards the purchase of solar power system,1+12 rigid stranding machine and meeting the working capital requirements of the company.
Marco Cables & Conductors Ltd IPO – Important Details
| Marco Cables & Conductors IPO Date | September 21, 2023 to September 25, 2023 |
| Marco Cables & Conductors IPO Listing Date | September 28, 2023 |
| Marco Cables & Conductors IPO Price | INR 36-per share |
| Marco Cables & Conductors IPO Lot Size | 3000 Shares |
| Marco Cables & Conductors IPO Total Issue Size | INR 18.73 crores |
| Marco Cables & Conductors IPO Basis of Allotment | September 28, 2023 |
| Marco Cables & Conductors IPO Initiation of Refunds | September 29, 2023 |
| Marco Cables & Conductors IPO Credit of Shares to Demat | October 3, 2023 |
| Marco Cables & Conductors IPO Issue Type | Fixed Price Issue IPO |
| Marco Cables & Conductors IPO Listing At | NSE SME |
Marco Cables & Conductors IPO – Company Profile
The company was incorporated on April 13, 1989 and is engaged in the business of manufacturing and selling of wires, cables wires and conductors in India, with an operating history of over 34 years in the power cable industry in India.
Over the years the company has developed expertise and upgraded the technology by adding several automatic machines and equipment to the plant, which has helped us boost the production capacity and the quality of the products.
One of the Promoters, Mr. Sumit Sugnomal Kukreja and Mr. Sugnomal Mangandas Kukreja, have extensive experience in the power cable industry and has been intimately involved in the business for over 18 years and 34 years respectively.
Majority of the products are supplied to electricity boards of different states like Maharashtra, Gujarat, Tamil Nadu, Telangana, Haryana, Chhattisgarh, Madhya Pradesh etc. and turnkey contractors of India.
Marco Cables & Conductors Limited IPO Objective
- Funding purchase of plant and machinery: The company plans to purchase a solar power system and 1+12 Rigid Stranding machine for capacity expansion and reduction of the cost of production. The Company intends to utilise INR 1.86 crores from the net proceeds to purchase these machineries.
- Funding working capital requirement: The company requires additional working capital for funding future growth requirements of the company and for other business purposes. The company plans to utilise INR 5 crores for the said purpose.
Marco Cables & Conductors IPO Risks And Challenges
The company’s reliance on the wires and cables market makes it vulnerable to market changes. Its major sales come from specific regions like Gujarat, Telangana, Maharashtra, and Madhya Pradesh, so issues there can affect revenue. Additionally, heavy dependence on the top 10 customers poses a risk. The Revamped Distribution Sector Scheme (RDSS) has contributed to revenue, but changes or delays in the scheme could impact future growth and profitability.
- The company is dependent on the performance of the wires and cables market. Any adverse changes in the conditions affecting the wires and cables market can adversely impact the business, financial condition, results of operations, cash flows and prospects.
- The company generates major portion of sales from the operations in certain geographical regions especially, Gujarat, Telangana, Maharashtra and Madhya Pradesh. Any adverse developments affecting the operations in these regions could have an adverse impact on our revenue and results of operations.
- The company generated almost 96% of the revenue from top 10 customers for the year 2023.If one or more of such customers choose not to source their requirements from the company, the business, financial condition and results of operations may be adversely affected.
- The government of India has approved the Revamped Distribution Sector Scheme (RDSS) to help DISCOMs improve their operational efficiencies.During the financial year 2023, Revenue from operation of Rs. 5.52 crores have been generated through RDSS. Further, the company is having orders in hand of Rs. 178 crores from various vendors out of which approx. Rs. 145 crores orders are of RDSS. Any change in the scheme or any deferment of the scheme may affect the future growth revenue from operations and profitability.
Marco Cables & Conductors IPO Peer Comparison
| Company | Face Value per Equity Share (₹) | P/E | EPS (Basic) (₹) | RoNW (%) | NAV per Equity Share (Basic) (₹) |
| Marco Cables & Conductors Limited | 10 | 20.22 | 1.78 | 17.98% | 9.89 |
| V-Marc India Limited | 10 | 21.92 | 4.58 | 13.11% | 34.97 |
| Ultracab (India) Limited | 2 | 25.92 | 0.61 | 18.19% | 3.35 |
| Relicab Cable Manufacturing Limited | 10 | 53.02 | 1.49 | 13.70% | 10.88 |
| Dynamic Cables Limited | 10 | 41.64 | 14.09 | 17.48% | 80.60 |
Marco Cables & Conductors Limited IPO Financial Information
| Particular | As at 31 March 2021 | As at 31 March 2022 | As at 31 March 2023 |
| Revenue (₹ in lakhs) | 4,239.18 | 5,641.00 | 5,676.79 |
| Equity (₹ in lakhs) | 911.25 | 944.75 | 1,560.86 |
| Expenses (₹ in lakhs) | 4,270.74 | 5,617.58 | 5,381.24 |
| Profit and Loss After Tax (₹ in lakhs) | 12.25 | 33.49 | 280.71 |
| RoNW (%) | 1.34% | 3.55% | 17.98% |
| Diluted EPS only (₹) | 0.08 | 0.21 | 1.78 |
| NAV per Equity Share (₹) | 5.78 | 5.99 | 9.89 |
| Total Assets (in lakhs) | 5,658.84 | 5,954.62 | 6,993.44 |
| Total Liabilities (in lakhs) | 4,747.59 | 5,009.87 | 5,432.58 |
Marco Cables & Conductors IPO – Industry & Market Potential
The last two to three decades are probably the fastest infrastructure growing years of India, and so it is for the Wire & Cable industry. The rapid urbanization and industrial development have contributed to the exponential growth of the electrical cable industry in the country. According to a study – the global wire and cable market is growing at a CAGR of 6.45%. It predicts that the global market size of this industry is expected to reach USD 332.65 bn by 2026 from USD 201.76 bn in 2018.
Apart from the three major segments (Industrial, Commercial, and Domestic) of the wire and cable industry, the other segment products are new and advanced. Though modern machinery and IoT devices will create a new demand line, the rise in energy consumption will continue to influence the product spectrum.
Marco Cables & Conductors Limited IPO – Type of Offer
The company Marco Cables & Conductors Limited is coming up with an IPO of INR 18.73 crores. The offer consists of a fresh issue of equity shares at a price band of INR 36 per share.
Marco Cables & Conductors Ltd IPO Offer Size
Macro Cables & Conductors Limited plans to launch an INR 18.73 crores IPO, involving the issuance of new equity shares. The company aims to use the raised capital to acquire a solar power system, a 1+12 rigid stranding machine, and address its working capital needs.
Marco Cables & Conductors IPO Allotment Structure
Investors are categorized into Retail Individual Investors (up to INR 2 lakhs) and Others (above INR 2 lakhs). Market Makers get 1,48,000 shares, 5.10% of the total issue.
Retail Individual Investors (RII): The application value does not exceed INR 2 lakhs. These individual investors apply for shares with a total value of less than Rs. 2 lakhs.
Other than retail individual investors: Such applications where the value exceeds INR 2 lakhs
Market Maker Reservation: Total of 2,88,000 equity shares are reserved for market makers. This forms 5.54% of the total issue.
How to apply for Marco Cables & Conductors IPO?
To apply for the Marco Cables & Conductors 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 Marco Cables & Conductors 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 the Macro Cables & Conductors IPO at Alice Blue in just a few clicks!
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 Marco Cables & Conductors 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 Marco Cables & Conductors 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 Marco Cables & Conductors IPO:
Registrar’s Website: Visit the website of Bigshare Services Private Limited, the registrar of the Marco Cables & Conductors 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.
Marco Cables & Conductors IPO Offer Registrar
The registrar for the Marco Cables & Conductors Limited’s IPO is Bigshare Services Private Limited. They are responsible for ensuring the IPO allotment and refund processes are carried out smoothly.
Contact information for the registrar:
Bigshare Services Private Limited
Office No. S6 – 2, 6th Floor, Pinnacle Business Park,
Mahakali Cave Road, Andheri – [East], Mumbai – 400093,
Maharashtra, India.
Tel No.: +91 22 6263 8200
Email: [email protected]
Website: www.bigshareonline.com
Marco Cables & Conductors Limited IPO FAQs
What is the allotment date of the Marco Cables & Conductors Limited IPO?
The allotment date is 28th September 2023.
What is the price band of the Marco Cables & Conductors Limited IPO?
The price of the issue is INR 36 per share.
What is the size of the Marco Cables & Conductors Limited IPO?
Macro Cables & Conductors Limited plans to launch an INR 18.73 crores IPO, involving the issuance of new equity shares. The company aims to use the raised capital to acquire a solar power system, a 1+12 rigid stranding machine, and address its working capital needs
What is the listing date of the Marco Cables & Conductors Limited IPO?
The listing date is September 28, 2023.
