Aesthetik Engineers IPO Set to Debut: A New Chapter in Facade Engineering in India
Aesthetik Engineers has revealed that it will be listing its Initial Public Offering (IPO) on the 8 of August 2024 and will be closing on the 12 of August 2024. It is an India-based contractor specializing in the engineering, fabrication and installation of facades. Of the fresh issue, 45,64,000 shares amounting to INR 26.47 crore are offered in the IPO. The price range is INR 55–INR 58 per share and the lot size is 2,000 shares.
Company Overview
Aesthetik Engineers Limited deals primarily in the design, engineering, fabrication, and installation of facade systems and has undertaken projects involving aluminium doors, windows, railings, staircases, GRC among others. Serving the hospitality, residential, commercial, and infrastructure industries, the firm offers an array of turnkey services that encompass design and construction through fit-out and commissioning.
The company has been in the engineering industry for more than two decades and this has given the company extensive experience and knowledge in engineering designs, fabrication services, and material sourcing. This makes the company’s showcased facade solutions superior in terms of both quality and cost when compared to competitors and it offers products with national and international standards.
Details on IPO Date and Price Band
| IPO Open: | August 8, 2024 |
| IPO Close: | August 12, 2024 |
| IPO Size: | Approx INR 26.47 Crores (45,64,000 Equity Shares) |
| Fresh Issue: | Approx INR 26.47 Crores (45,64,000 Equity Shares) |
| Face Value: | INR 10 Per Equity Share |
| IPO Price Band: | INR 55 to INR 58 Per Equity Share |
| IPO Listing on: | NSE SME |
| Retail Quota: | 35% |
| QIB Quota: | 50% |
| NII Quota: | 15% |
IPO Objective:
The main uses of the amount raised through Aesthetik Engineers Limited’s IPO include capital expenditure for business operations, working capital, and other corporate purposes. Also, a fraction of the money from the funds raised will go towards meeting the issue expenses. These strategic financial provisions aimed at proactively funding the company’s development plans, overall performance improvement and strong financial standing to facilitate Aesthetik Engineers Limited to sustain its competitive advantage and address long-range business objectives.
Market Lot Information on Aesthetik Engineers Limited IPO
The lot size and corresponding amounts are as follows:
- Retail Minimum: 1 lot (2000 shares) for INR 1,16,000
- Retail Maximum: 1 lot (2000 shares) for INR 1,16,000
- S-HNI Minimum: 2 lots (4000 shares) for INR 2,32,000
Allotment Dates for Aesthetik Engineers Limited IPO
The Aesthetik Engineers Limited IPO open date is August 8 and the IPO close date is August 12. The IPO allotment date is August 13 and the IPO might list on August 16.
| IPO Open Date: | August 8, 2024 |
| IPO Close Date: | August 12, 2024 |
| Basis of Allotment: | August 13, 2024 |
| Refunds: | August 14, 2024 |
| Credit to Demat Account: | August 14, 2024 |
| IPO Listing Date: | August 16, 2024 |
Application Process of IPO
The IPO can be accessed by submitting an application through the online ASBA (Application Supported by Blocked Amount) facility from the bank through ‘Internet banking’, going to ‘Invest’, and applying for the Aesthetik Engineers Limited IPO. On the other hand, the IPO forms are also available for download on the NSE websites which the candidates can fill and submit.
Financial Analysis of Company
| Year | Revenue (Crore) | Expense (Crore) | PAT (Crore) |
| 2022 | INR 25.93 | INR 25.24 | – INR 0.45 |
| 2023 | INR 40.36 | INR 38.85 | INR 1.13 |
| 2024 | INR 60.80 | INR 54.26 | INR 5.03 |
From the financial analysis of Aesthetik Engineers, it is clearly evident that the company has experienced an encouraging trend in revenue and profitability. According to the company’s data, in 2022, the company’s revenue was INR 25.93 crore, with expenses at INR 25.24 crore, while the loss with PAT (profit after tax) was INR 0.45 crore. Further, it has been reported that, by 2023, the revenue had grown to INR 40.36 crore and the expenditure was 38.85 crore, while it had registered a PAT of INR 1.13 crore.
The trend rose in 2024, with a total revenue increase of INR 60.80 crore. This impressive growth was accompanied by expenses amounting to INR 54.26 crore, with a PAT of INR 5.03 crore, indicating expansion of operations and control of operational costs, attracting investors.
IPO Valuation
The company’s EPS stands at a value of INR 3.97 with Return on Net Worth (RoNW) of 33.48% and a NAV per share of INR 11.87 in the current financial year. The IPO price band ranges between ₹ 55 and ₹ 58 per share and the gross issue is INR 26.47 crores for the specific purpose of financing capital expenditure, working capital requirements, general corporate requirements and issue expenses.
| Earning Per Share (EPS): | INR 3.97 per Equity Share |
| Price/Earning P/E Ratio: | NA |
| Return on Net Worth (RoNW): | 33.48% |
| Net Asset Value (NAV): | INR 11.87 per Equity Share |
Competitor Analysis
Innovators Facade System Limited
Innovators Facade Systems Limited deals in the design and manufacturing of facade systems that comprise ACPs, glass facades, and structural glazing among others. Established in 1999, the company deals with different markets including commercial, residential, and hospitality markets. The implementation of advanced manufacturing facilities and a team of expert personnel guarantees the delivery of quality projects with efficiency. The company executes many projects on a large-scale all-over India and thus the company has earned a good reputation in the field of the facade industry in terms of quality and reliability.
The forthcoming IPO of Aesthetik Engineers Limited represents a significant milestone for the company and a noteworthy opportunity for investors interested in the construction and engineering sector, specifically in the niche of facade engineering. With a price range set between INR 55 and INR 58 per share, the offering underlines the company’s robust financial growth and operational stability over recent years.
Aesthetik Engineers has demonstrated commendable growth in revenue and profitability, as evidenced by its financial progression from 2022 to 2024. The transition from a loss in 2022 to a healthy profit after tax (PAT) by 2024 highlights not only the company’s ability to scale its operations efficiently but also its capacity to manage and optimize operational costs effectively. This financial growth trajectory, combined with a solid plan for the utilization of the IPO funds—targeting capital expenditure, working capital enhancement, and general corporate purposes—positions Aesthetik Engineers favorably in the competitive landscape.
The strategic collaboration with top-tier industry partners and the implementation of cutting-edge technologies in facade design and installation further solidify Aesthetik Engineers’ market position. The company’s emphasis on adhering to national and international standards in its product offerings ensures a high level of quality and reliability, enhancing its appeal to potential investors and clients alike.
Investors considering this IPO should note the company’s promising Return on Net Worth (RoNW) of 33.48% and an EPS of INR 3.97, which suggest a strong return potential. Additionally, the company’s commitment to expanding its reach and capabilities, as reflected in its planned capital expenditures, indicates a forward-looking approach geared towards sustained growth and market leadership.
In conclusion, the IPO of Aesthetik Engineers Limited offers an attractive investment proposition against the backdrop of a growing industry. The company’s proven track record, strategic growth initiatives, and robust financial health are likely to appeal to both individual and institutional investors looking for valuable additions to their portfolios. As the company moves forward with its public offering, the broader market will be watching closely, anticipating the potential impact of this new public entrant on the dynamic landscape of India’s engineering and construction sector.
