Rishabh Instruments

About Rishabh Instruments IPO

Incorporated in 1982, Rishabh Instruments Limited manufactures and supplies electrical automation, metering and measurement, and precision engineered products. These products are used to measure, control, record, analyse, and optimise energy and processes, mainly in the power, automotive and industrial sectors. 

Rishabh Instruments is a R&D focused enterprise with accredited R&D centres in India, Poland and China staffed with a team of 95 engineers as of 31 March 2023. All its products are manufactured in-house at its five manufacturing facilities in India, Poland and China. 

The company mainly follows a business-to-business model and has a network of 175 authorised distributors across 81 districts in India. Its eight sales and marketing offices in Delhi, Kolkata, Mumbai, Ahmedabad, Pune, Chennai, Bangalore and Hyderabad comprise a team of 53 engineers and 24 sales personnel.

The company has served customers in over 100 countries in the last three years, which generated 67%, 67% and 65% of its total revenue from operations in FY21, FY22 and FY23 respectively. It also saw a 13% CAGR rise in its revenue from operations and an 11% rise in its profit between FY21 and FY23. Moreover, the market for the different products offered by the company is expected to grow between a CAGR rate of 4.8% to 9.1% between 2022 and 2027.

And now, Rishabh Instruments Limited is coming out with its initial public offer (IPO). The IPO will be an offer for sale as well as a fresh issue. The money raised through the fresh issue will be utilised to expand its Nashik Manufacturing Facility I and for general corporate purposes. Its shares will be listed on the NSE and the BSE.

Here are key details about the Rishabh Instruments IPO:

Financial snapshot

A quick look at Rishabh Instruments IPO’s strengths, risks and threats

Strengths 

1. Diversified product portfolio of over 145 product lines and 1.3 crore stock keeping units as of 31 May 2023.
2. Revenue from sales to new customers accounted for 9%, 18% and 11% of the total revenue from operations in FY21, FY22 and FY23 respectively. 
3. Wide customer base, its top 10 global customers accounted for only 31.9% of global sales revenue in FY23.
4. Some of its domestic and overseas customers with long term relationships include Siemens, Lucy Electric India, ABB India, Gama Electrical Trading (LLC), Perel OY, Pronutec S.A. and Lucas-Nulle GmbH. 
5. Global and integrated business model increasing cost competitiveness with a global network of 339 authorised distributors as of 31 May 2023.
6. Well-established and recognised brands like ‘Rishabh’, ‘Lumel’, ‘Sifam’ and ‘Tinsley’ with ‘Rishabh’ being present for over 37 years and ‘Lumel’ for over 55 years. 

Risks and threats

1. Most customers do not commit to long term contracts. They may cancel their orders, change production quantities, delay production or change their sourcing strategy.
2. Conducts a significant portion of its operations through subsidiaries representing 71%, 72% and 67% of its total revenue from operations in FY21, FY22 and FY23 respectively. 
3. Faced a significant shortage of semiconductors in FY21 and FY22, which may happen again and adversely affect its business operations. 
4. Foreign exchange fluctuations may adversely affect earnings and profitability. 
5. Risks associated with international market conditions and regulations due to global sales and multi-location operations in various geographies.

Rishabh Instruments IPO details

| Rishabh Instruments IPO date

According to the offer document filed by the company with the SEBI, the Rishabh Instruments IPO’s opening date – in other words, the Rishabh Instruments IPO launch date – will be 30th August 2023. The Rishabh Instruments IPO closing date is 1st September 2023. After this, investors will be updated about the allotment status on 6th September 2023.

Investors, who have been allotted shares, can expect them to be credited to their demat account on 8th September 2023. The Rishabh Instruments IPO listing date is 11th September 2023. The listing date is the date on which the shares of a company get listed on the bourses – NSE and BSE. 

| Rishabh Instruments IPO price band

The IPO is an offer for sale as well as a fresh issue. The Rishabh Instruments IPO price band has been set between ₹418 and ₹441 per share. Interested investors can choose a price within this band to apply for the IPO. 

The Rishabh Instruments IPO listing price will be determined on 11th September 2023. The listing price is the price at which a company’s shares debut on the stock exchanges.

| Rishabh Instruments IPO lot size 

The Rishabh Instruments IPO details have been declared. The Rishabh Instruments IPO lot size is set at 34 shares and an investor can apply for a minimum of 1 lot. Meanwhile, the Rishabh Instruments IPO issue size is approx ₹490 crore. 

How to pre-apply for the Rishabh Instruments Limited IPO?

You can pre-apply for the Rishabh Instruments 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: 

1. Login to your Upstox account, using your six-digit PIN
2. After successfully logging in, click on ‘Discover’
3. On the Discover tab, you will find the ‘Invest in IPO’ section
4. Under the Invest in IPO section, look for the ‘ Rishabh Instruments IPO’ tab and click on it
5. Now fill in all the required information, like ‘bid price’ and ‘lot size’
6. Confirm and click on ‘Pre-Apply’
7. Accept the mandate on your UPI app

How to apply for the Rishabh Instruments IPO?

If you are interested in this investment opportunity but unsure how to apply for the Rishabh Instruments 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 Rishabh Instruments  IPO on Upstox: 

1. Login to your Upstox account, using your six-digit PIN
2. After successfully logging in, click on ‘Discover’
3. On the Discover tab, you will find the ‘Invest in IPO’ section
4. Under the Invest in IPO section, look for the ‘ Rishabh Instruments  IPO’ tab and click on it
5. Now fill in all the required information, like ‘bid price’ and ‘lot size’
6. Confirm and click on ‘Apply’
7. Accept the mandate on your UPI app

How to check the Rishabh Instruments 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 Rishabh Instruments IPO allotment status:

1. Login to your Upstox account, using your six-digit PIN
2. After successfully logging in, click on ‘Discover’
3. On the Discover page, you will find the ‘Invest in IPO’ section
4. Under the Invest in IPO section, you will find the ‘View all’ option
5. Once you click on ‘View all’, you will be directed to the ‘IPO’ tab
6. In the ‘IPO’ tab, click on ‘My applications’ 
7. In ‘My applications’, under the History section, your Rishabh Instruments IPO allotment status will be mentioned

Open a demat account with Upstox to apply for the Rishabh Instruments IPO

To apply for the  Rishabh Instruments 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:

1. Click here to visit the demat account opening page on the Upstox website. 
2. Enter your phone number and other essential details to begin opening a demat account.
3. Upload the scanned copies of your PAN, Aadhaar card, a cancelled cheque, and your bank statement as needed. 
4. 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? 

Upstox – trading app to apply for the Rishabh Instruments 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 Rishabh Instruments 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.