Beezaasan Explotech is launching its IPO on February 21, 2025, and closing on February 25, 2025. This SME IPO aims to raise ₹59.93 crores through a fresh issue of 3,424,800 shares. The IPO price band is set at ₹165 to ₹175 per share, with a face value of ₹10 per share. Investors can apply for a minimum lot size of 800 shares, amounting to ₹1,40,000. Beezaasan Explotech specializes in manufacturing and supplying explosives and explosive accessories, serving industries such as cement, mining, and defense.
₹5
₹175
₹146.00
Expert Opinions
Expert opinion on the Beezaasan Explotech IPO highlights a mix of opportunities and considerations for potential investors. Market sentiment may be influenced by the performance of the explosives and accessories sector, as well as the overall SME IPO market. Company strengths include its specialization in manufacturing and supplying a range of explosives and accessories, catering to industries like cement, mining, and defense. Beezaasan Explotech has a licensed manufacturing capacity of 45,000 metric tons for slurry explosives.
Risks and challenges involve factors like competition and regulatory changes within the explosives industry. Valuation analysis for FY24 reveals an EPS of ₹6.04 and a RoNW of 20.89%.The PE ratio is between 27.32 and 28.97. From a long-term investment perspective, Beezaasan Explotech’s growth will depend on its ability to maintain relationships with its customers. Investors should conduct thorough due diligence, focusing on the company’s growth strategy and financial performance.
Investor Considerations
For investors considering the Beezaasan Explotech IPO, opening February 21, 2025, several factors merit attention. Company performance and fundamentals show a revenue of ₹187.9 crores in 2024 and a profit of ₹4.87 crores. The company reported revenue of ₹187.9 crores in 2024 against ₹229.17 crore in 2023. The sector outlook is linked to the growth of industries like cement, mining, and defense, which rely on explosives and explosive accessories. Evaluating the IPO valuation involves considering a Price to Book Value which can be derived from the Net Asset Value (NAV) of ₹28.94. Further, the PAT Margin is 2.61%, and the Debt/Equity ratio is 1.59.
Growth prospects are supported by its licensed manufacturing capacity, established clientele, and increasing demand for industrial explosives. However, key risks include regulatory compliance, safety concerns, fluctuations in raw material prices, and competition from established players. From an investment horizon perspective, Beezaasan Explotech’s strong industry positioning offers long-term potential, but investors should carefully evaluate its financial stability, regulatory landscape, and competitive dynamics before making a decision.
| Date | GMP | Trend |
|---|---|---|
| 23 Feb 2025 13.14 | ₹5 | --- |
| 21 Feb 2025 18.28 | ₹5 | Up |
| 20 Feb 2025 19.20 | ₹00 | --- |
| 19 Feb 2025 10.51 | ₹00 | --- |
| 18 Feb 2025 11.11 | ₹00 | --- |
| 17 Feb 2025 11.13 | ₹00 | --- |
| 15 Feb 2025 11.28 | ₹00 | --- |
| 14 Feb 2025 10.40 | ₹00 | --- |
| 13 Feb 2025 18.15 | ₹00 | --- |
FAQs
The Grey Market Premium showed poor accuracy in predicting Beezaasan Explotech’s listing performance. While the GMP of ₹5 predicted a positive premium of 2.86% over the issue price, the stock actually listed at a significant discount of 16.57%. With a substantial prediction error of 18.89%, the GMP not only failed to predict the magnitude but also completely misread the direction of the listing movement, demonstrating its unreliability as a price predictor in this case.
Beezaasan Explotech IPO Current GMP is ₹5.
Beezaasan Explotech IPO Expected Returns is 2.86%.
Beezaasan Explotech IPO estimated listing price is ₹180.