Unimech Aerospace IPO Details: A Comprehensive Investment Guide

The aerospace and defense sectors are witnessing a significant transformation with the increasing adoption of precision-engineered components. One such trailblazer is Unimech Aerospace, a company with expertise in manufacturing and supplying essential components for critical industries like aerospace, defense, energy, and semiconductors.

With its upcoming IPO, Unimech Aerospace aims to capitalize on its growth momentum and strengthen its financial position. In this detailed blog, we cover every aspect of the Unimech Aerospace IPO, from bidding dates and lot size to the company’s financials and key metrics.

Unimech Aerospace IPO Overview

IPO Open Date: December 23, 2024
IPO Close Date: December 26, 2024
Price Band: ₹745 to ₹785 per share
Lot Size: 19 shares
Total Issue Size: ₹500.00 Crore

• Fresh Issue: ₹250.00 Crore
• Offer for Sale (OFS): ₹250.00 Crore
  Face Value: ₹5 per share
  Issue Type: Book Built Issue IPO
  Listing At: BSE, NSE
  Expected Listing Date: December 31, 2024

The IPO will offer 63,69,424 shares, with half being a fresh issue and the rest offered for sale. The funds raised will be utilized for business expansion, debt reduction, and other corporate purposes.

Also see IPO GMP and Subscription

About Unimech Aerospace

Founded in 2016, Unimech Aerospace has rapidly established itself as a reliable engineering solutions provider. The company specializes in high-precision components and systems for industries like:

• Aerospace: Ground support equipment, assembly platforms, and calibration tools.
• Defense: Critical components for high-performance equipment.
• Energy: Turnkey systems for sustainable energy solutions.
• Semiconductors: Precision tools for advanced manufacturing.

Core Products:

• Engine lifting and balancing beams
• Engine transportation stands
• Mechanical and electro-mechanical turnkey systems
• High-precision tools and components

Under the leadership of Managing Director Mr. Anil Kumar P, Unimech Aerospace has become synonymous with innovation and reliability.

Parent Organization: Unimech Aerospace and Manufacturing Ltd

Also Read More IPO details and Reviews

Unimech Aerospace Financial Highlights

The company has shown remarkable financial growth in the past three years, reflecting its operational efficiency and market demand.

Revenue (₹ Cr)

2022: ₹36.35
2023: ₹94.17
2024: ₹209

Total Assets (₹ Cr)

2022: ₹56.87
2023: ₹93.34
2024: ₹176

Profit (₹ Cr)

2022: ₹3.39
2023: ₹22.81
2024: ₹58.13

Key Financial Ratios Explained

1. Market Capitalization: ₹3,992.27 Crore
   This reflects the total value of the company based on the IPO pricing. It indicates the company’s perceived worth in the market. A market capitalization of nearly ₹4,000 crore positions Unimech Aerospace as a mid-sized player in its industry.
2. Price-to-Book Value: 31.77
   This ratio compares the market price of the shares with the book value (net asset value) per share. A higher value of 31.77 suggests that investors are willing to pay a premium for the company’s growth potential, but it also indicates a high valuation.
3. PAT Margin: 27.85%
   This measures the company’s profitability, showing that 27.85% of its revenue translates into profit. A high PAT margin reflects efficient cost management and robust profit generation.
4. ROE: 53.53%
   The Return on Equity is a key measure of profitability. An ROE of 53.53% demonstrates exceptional efficiency in generating returns for shareholders, making the company an attractive investment.
5. Debt-to-Equity Ratio: 0.32
   This ratio highlights the company’s financial leverage. A low ratio of 0.32 indicates that the company relies less on debt for financing, ensuring financial stability and reducing risk for investors.

Unimech Aerospace IPO Lot Size and Investment Details

Investors can apply for shares in lots of 19 shares. Below is the minimum and maximum investment breakdown:

Retail Investors

• Minimum Lot: 19 shares | ₹14,915
• Maximum Lot: 13 lots (247 shares) | ₹1,93,895

S-HNI Investors

• Minimum Lot: 14 lots (266 shares) | ₹2,08,810
• Maximum Lot: 67 lots (1,273 shares) | ₹9,99,305

B-HNI Investors

• Minimum Lot: 68 lots (1,292 shares) | ₹10,14,220

Unimech Aerospace IPO Timeline (Tentative Schedule)

IPO Open Date: December 23, 2024
IPO Close Date: December 26, 2024
Basis of Allotment: December 27, 2024
Refund Initiation: December 30, 2024
Demat Share Credit: December 30, 2024
Listing Date: December 31, 2024

Why Invest in Unimech Aerospace IPO?

Strengths

1. Diverse Product Portfolio: The company serves critical industries like aerospace, defense, and semiconductors.
2. Strong Financials: High revenue growth, consistent profits, and robust ROE of 53.53%.
3. Low Debt: A debt-to-equity ratio of 0.32 ensures financial stability.
4. Growing Market: Aerospace and defense industries are poised for substantial growth globally.

Risks

1. Industry Dependency: Heavy reliance on aerospace and defense sectors.
2. Valuation: The high price band suggests elevated valuation; investors should carefully assess the investment’s long-term potential.

Unimech Aerospace IPO Registrar

Kfin Technologies Limited

Phone: 04067162222, 04079611000
Email: uaml.ipo@kfintech.com
Website: https://kosmic.kfintech.com/ipostatus/

Conclusion

The Unimech Aerospace IPO offers an exciting investment opportunity, backed by strong financial metrics, a growing market presence, and a focus on innovation. However, investors should carefully analyze its valuation and potential risks before applying.

Stay tuned for more updates on Unimech Aerospace and other IPOs!

FAQs About Unimech Aerospace IPO