Platinum Industries Limited
listed
₹14,094Min. investment
Platinum Industries Limited IPO Details
Issue size
₹235.32Cr
IPO type
Mainboard
Price range
₹162 – ₹171
Lot size
87 shares
RHP/DRHP
Read
Price range₹162 – ₹171
IPO type
Regular
Lot size87 shares
Issue size₹235.32Cr
RHP/DRHP
Read
Checklist
Risk analysis
Debt to Equity ratio
Promoter holdings
Shares pledged
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About Platinum Industries Limited
Incorporated in 2016, Platinum Industries Limited manufactures PVC stabilizers, CPVC additives, and lubricants. It is India’s third largest PVC stabilizer player in terms of sales with an ~13% market share in FY23. PVC stabilizers are used to produce polyvinyl chloride (PVC) based products to enhance their performance and durability so that they can withstand heat without significant loss of physical properties. They are used in PVC pipes, PVC profiles, PVC fittings, electrical wires and cables, SPC floor tiles, Rigid PVC foam boards, packaging materials, etc.
The company provides customized products and solutions as well as trades commodity chemicals such as titanium dioxide and PVC/CPVC resin. They are directly offered to its customers or through its network of 10 distributors spread across India as of Q2 FY24. It also exports its products to other countries. It has served 273 and 171 customers as of FY23 and Q2 FY24, respectively. Its manufacturing and R&D facilities are strategically located at Palghar in Maharashtra near the JNPT port. Moreover, the company plans to set up a new manufacturing facility at Palghar and intends to establish a project in Egypt through its subsidiary Platinum Stabilizers Egypt LLC.
Between FY21 and FY23, it saw a CAGR rise of 37% in its revenue from operations and 98% in its profit. Additionally, the Indian specialty chemical industry is expected to grow at a CAGR of 8% between FY23 and FY26, which could be beneficial for the company. And now, Platinum Industries Limited is coming out with its initial public offer (IPO). The IPO will be a fresh issue and the money raised will be utilised to set up the manufacturing facilities in Egypt and Palghar, to fund working capital requirements, and for general corporate purposes. Its shares will be listed on the NSE and the BSE.
Here are key details about the Platinum Industries Limited IPO:
| Company Name | Platinum Industries Limited | Company Type | Private | |
|---|---|---|---|---|
| Company Established On | 2016 |
Financial snapshot
| Particulars | FY21 | FY22 | FY23 | Q2FY24 |
|---|---|---|---|---|
| Revenue | ₹ 89.2 crore | ₹ 188 crore | ₹ 231 crore | ₹ 122 crore |
| Net Profit/Loss | ₹ 4.8 crore | ₹ 17.7 crore | ₹ 37.5 crore | ₹ 22.9 crore |
Here’s a quick look at Platinum Industries Limited IPO’s strengths, weakness, opportunities and risks (SWOT analysis)
Strengths and opportunities
- Consistent financial performance with a rising EBITDA margin of 8%, 13%, 23% and 26% in FY21, FY22, FY23 and Q2 FY24, respectively.
- Strong R&D infrastructure along with technical collaboration agreement with HMS Concept E.U., which is a sole proprietorship of Dr. Horst Michael Schiller, an internationally renowned scientist with over three decades of experience in the PVC industry.
- Varied product portfolio of 400 grades and multiple product categories such as low lead based stabilizer, calcium zinc based stabilizer and organic based stabilizer.
- Caters to diverse applications such as pipes and fittings, rigid and semi-rigid films, window profiles, wires and cables, as well as medical and consumer goods.
- Operates in an industry with high entry barriers created due to R&D requirements, technical know-how, capital intensity, customer relationships, and engineered or regulated specifications.
- Provides quality products by checking quality at every stage such as receipt of raw materials, intermediate and final products.
Risks and threats
- Expansion in regions where it already doesn’t have a significant presence or experience could significantly affect its business if it is unable to establish a network of distributors and customers.
- Does not have long term agreements with its customers which could be detrimental as revenue from its top 5 customers accounted for 81% of its total sales in Q2 FY24.
- Delays and cost overruns in the setting up of its proposed facilities could adversely affect its financials.
- Operates in a regulated and evolving industry wherein legal uncertainties can impact its business.
- Has consistently experienced negative cash flows from investing activities between FY21 and Q2 FY24 because of the purchase of property, plant and equipment and due to transfer of credit balance in current account to Bank's Fixed deposit account.
- Insufficient cash flows from operations might negatively affect its future operations as it is a capital intensive business with working capital requirements of ₹57 crore as of 30 September 2023.
Platinum Industries Limited IPO details
**** Platinum Industries Limited IPO date
According to the offer document filed by the company with the SEBI, the Platinum Industries IPO’s opening date – in other words, the Platinum Industries IPO launch date – will be 27th February 2024. The Platinum Industries IPO closing date is 29th February 2024. After this, investors will be updated about the allotment status on 1st March 2024.
Investors, who have been allotted shares, can expect them to be credited to their demat account on 4th March 2024. The Platinum Industries IPO listing date is 5th March 2024. The listing date is the date on which the shares of a company get listed on the bourses – NSE and BSE.
**** Platinum Industries Limited IPO Price Band
The IPO is a fresh issue. The Platinum Industries IPO price band has been set between ₹162 and ₹171 per share. Interested investors can choose a price within this band to apply for the IPO.
The Platinum Industries IPO listing price will be determined on 5th March 2024. The listing price is the price at which a company’s shares debut on the stock exchanges.
**** Platinum Industries Limited IPO Lot size
The Platinum Industries IPO details have been declared. The Platinum Industries IPO lot size is set at 87 shares and an investor can apply for a minimum of 1 lot. Meanwhile, the Platinum Industries IPO issue size is approx ₹235 crore.
How to pre-apply for the Platinum Industries Limited IPO?
You can pre-apply for the Platinum Industries Limited IPO on Upstox. The pre-application for this IPO, which means pre-apply open date, usually begins a day before the IPO opens for subscription.
Follow these steps to pre-apply for the IPO:
- Login to your Upstox account, using your six-digit PIN
- After successfully logging in, click on ‘Discover’
- On the Discover tab, you will find the ‘Invest in IPO’ section
- Under the Invest in IPO section, look for the ‘Platinum Industries Limited IPO’ tab and click on it
- Now fill in all the required information, like ‘bid price’ and ‘lot size’
- Confirm and click on ‘Pre-Apply’
- Accept the mandate on your UPI app
How to apply for the Platinum Industries Limited IPO?
If you are interested in this investment opportunity but unsure how to apply for the Platinum Industries Limited IPO, here we are listing out the steps for you.
When the public issue opens for subscription, one can follow this step-by-step guide on how to apply for the Platinum Industries Limited IPO on Upstox:
- Login to your Upstox account, using your six-digit PIN
- After successfully logging in, click on ‘Discover’
- On the Discover tab, you will find the ‘Invest in IPO’ section
- Under the Invest in IPO section, look for the ‘Platinum Industries Limited IPO’ tab and click on it
- Now fill in all the required information, like ‘bid price’ and ‘lot size’
- Confirm and click on ‘Apply’
- Accept the mandate on your UPI app
How to check the Platinum Industries Limited IPO allotment status?
When the allotment process is completed, you can check the status of your application on the Upstox app. Share allotment is generally done around five to six days after an IPO closes.
Here’s a step-by-step guide on how to check the Platinum Industries Limited IPO allotment status:
- Login to your Upstox account, using your six-digit PIN
- After successfully logging in, click on ‘Discover’
- On the Discover page, you will find the ‘Invest in IPO’ section
- Under the Invest in IPO section, you will find the ‘View all’ option
- Once you click on ‘View all’, you will be directed to the ‘IPO’ tab
- In the ‘IPO’ tab, click on ‘My applications’
- In ‘My applications’, under the History section, your Platinum Industries Limited IPO allotment status will be mentioned
Check Allotment Status
Open a demat account with Upstox to apply for the Platinum Industries Limited IPO
To apply for the Platinum Industries Limited IPO, you need to mandatorily have a demat account. A demat account helps you hold the shares you buy in a dematerialised format. If you don’t have a demat account yet, you can open one with Upstox by visiting our website or by downloading the app.
Here is a step-by-step guide on how to open a demat account with Upstox:
- Click here to visit the demat account opening page on the Upstox website.
- Enter your phone number and other essential details to begin opening a demat account.
- Upload the scanned copies of your PAN, Aadhaar card, a cancelled cheque, and your bank statement as needed.
- Complete the e-verification using the OTP sent to your registered mobile number.
This is all it takes to open a demat account with Upstox. Easy and quick, right?
Open Demat Account
Upstox – trading app to apply for the Platinum Industries Limited IPO
Applying for IPOs with Upstox is extremely easy. The user-friendly interface and top-notch security make Upstox one of the leading trading apps in India.
You can apply for the Platinum Industries Limited IPO on Upstox, provided you have a demat account. As mentioned in the previous section, you can simply follow the steps to open a demat account with Upstox. The biggest advantage is that when you apply for an IPO using your Upstox account, the brokerage charges are zero.
In fact, courtesy of its robust features and minimal charges, Upstox is among the most preferred trading apps. Lakhs of Indians trust Upstox as it is a reliable trading platform that makes IPO applications easy.
Frequently asked questions
How to invest in the Platinum Industries Limited ?
Investors can apply for the Platinum Industries Limited through their Demat account via the stock exchange or through their broker.
What is the issue size of Platinum Industries Limited ?
The issue size of the Platinum Industries Limited is 235.32 Cr.
What is 'pre-apply' for Platinum Industries Limited ?
Pre-applying for an IPO allows you to submit your application before the official subscription period begins.
Which exchanges will Platinum Industries Limited shares list on?
The IPO shares will typically list on major stock exchanges such as the National Stock Exchange (NSE) and Bombay Stock Exchange (BSE), as specified in the IPO prospectus.