HM Electro Mech IPO Details
The key details of HM Electro Mech’s IPO are outlined below, covering all crucial aspects from price range to investment requirements and regulatory documents.
| IPO Size | ₹27.74 Cr |
| Price Range | ₹71 - ₹75 |
| Retail Quota | 35% |
| QIB Quota | 50% |
| NII Quota | 15% |
| Employee Discount | -- |
| Listing at | BSE |
| Minimum Quantity | 1600 |
| Investment (cut-off price) | ₹1,20,000 |
| Pre IPO Promotor Holding | 99.50% |
| Post IPO Promotor Holding | Update soon |
| DHRP Draft | Click Here |
| RHP Draft | Click Here |
| Anchor Investors List | Click Here |
HM Electro Mech IPO Timelines
The IPO process for HM Electro Mech includes key dates for participants to know. The timeline allows for strategic planning and participation, helping investors stay informed and engaged throughout the entire process.
24/01/2025
Start Date28/01/2025
End Date30/01/2025
Refund Initiation30/01/2025
Credit of Shares to Demat Ac31/01/2025
Listing DateHM Electro Mech IPO Lot Size
The HM Electro Mech IPO has a fixed lot size of 1,600 shares, at an upper price band of ₹75 per share, requiring ₹120,000 per lot for retail investors. For HNI investors, the minimum application is 3,200 shares (2 lots) amounting to ₹240,000.
| Application | Lot Size | Shares | Amount |
|---|---|---|---|
| Retail Minimum | 1 | 1600 | ₹1,20,000 |
| Retail Maximum | 1 | 1600 | ₹1,20,000 |
| HNI Minimum | 2 | 3200 | ₹2,40,000 |
HM Electro Mech IPO Subscription Status
The subscription status for HM Electro Mech IPO shows market demand across different investor categories, providing valuable insights into the offering’s performance. You can track real-time subscription data below.
| QIB | NII | Retail | EMP | Total |
|---|---|---|---|---|
| 16.01x | 183.40x | 93.18x | -- | 90.51x |
IPO Performance on Listing Day
On the listing day (January 31, 2025), HM Electro Mech made a moderate debut on the stock exchange. The stock opened at ₹81, showing a premium of 8% over its issue price of ₹75. During the session, after hitting its day’s high at the opening price, the stock dipped to ₹76.95. The shares closed at ₹77, recording a modest gain of 2.7% over the issue price, indicating a tepid market response to this electrical equipment manufacturer.
| Opening Price | Closing Price | Day High | Day Low |
|---|---|---|---|
| ₹81.00 | ₹77.00 | ₹81.00 | ₹76.95 |
HM Electro Mech IPO Company Financials
HM Electro Mech reports robust performance in FY2024 (December) with Total Income of ₹75.35 crores, managing expenses at ₹68.25 crores, and achieving a strong PAT (Profit After Tax) of ₹5.28 crores, demonstrating significant growth potential ahead of its public offering.
| Year | Total Income | Total Expense | PAT |
|---|---|---|---|
| FY 2021 | ₹47.2 | ₹44.58 | ₹2.02 |
| FY 2022 | ₹62.03 | ₹58.49 | ₹2.58 |
| FY 2023 | ₹101.67 | ₹93.59 | ₹6.01 |
| FY 2024 (9 M) | ₹75.35 | ₹68.25 | ₹5.28 |
About Company
H.M. Electro Mech is a versatile company specializing in turnkey projects related to the supply, installation, testing, and commissioning of pumping machinery, as well as providing comprehensive operation and maintenance services. Initially focused on infrastructure projects for water supply schemes and wastewater management, the company has expanded into electrification projects for Indian Railways, nationalized banks, and municipal corporations. In recent years, they have ventured into the EPC (Engineering, Procurement, and Construction) sector, undertaking large-scale projects that involve cross-country pipeline installation, civil works for water treatment plants (WTPs), and the construction of pump houses, diesel generating sets, and PLC-SCADA systems. These EPC projects are often executed in collaboration with other companies for civil works.
Additionally, H.M. Electro Mech is engaged in the sale of a range of products, including pumps, pipes, transformers, motors, and other electronic accessories. The company is ISO 9001:2015 certified and holds Class ‘A’ and Class ‘AA’ electrical contractor certifications, allowing unlimited bidding capacities for electrical and EPC contracts. They are an approved contractor with the Government of Gujarat, including the Irrigation Division, and are also authorized by the State Government of Rajasthan under the Indira Gandhi Nahar Pariyojana. H.M. Electro Mech has been recognized by the Government of Gujarat Energy and Petrochemicals Department for carrying out electrical installation works in the state.
| Incorporation Date | Sector | Managing Director |
|---|---|---|
| 2018 | Engineering | Dipak Pandya |
Know Before Investing
HM Electro Mech IPO Strengths
- HM Electro Mech has been operational since 2018, successfully completing 12 projects worth ₹116.30 crore, demonstrating proven expertise in the industry.
- The company specializes in turnkey projects for water supply schemes, including pumping machinery and EPC services, catering to various infrastructure needs.
- With a low debt-to-equity ratio of 0.27, HM Electro Mech maintains strong financial health and reduced risk associated with debt obligations.
- HM Electro invests in modern technologies for project execution, enhancing efficiency and competitiveness in the market.
- The growing need for water supply infrastructure positions HM Electro favorably for sustained demand in the coming years.
- The company has demonstrated impressive return on equity (ROE) of 35.64%, reflecting effective utilization of shareholder funds for growth.
HM Electro Mech IPO Risks
- As a relatively new company, HM Electro Mech has a short operational history, making it challenging for investors to evaluate long-term performance.
- The construction and engineering sector is highly competitive, which may pressure profit margins and limit growth opportunities.
- A significant portion of revenue may come from government projects, making the company vulnerable to changes in government policies and funding.
- The company’s performance is closely tied to economic conditions; downturns could adversely affect demand for construction services.
- The company must comply with various regulations; non-compliance could result in legal penalties and operational disruptions.
- A large portion of revenue may be reliant on a few major clients, increasing vulnerability to contract losses or reduced orders.
- Despite recent growth, historical fluctuations in revenue and profits may raise concerns about financial stability.
Swot Analysis for HM Electro Mech IPO
Strengths
Established expertise in water infrastructure, Strong project portfolio, Experienced management team
Weaknesses
Limited brand recognition outside local markets, Dependence on government contracts, Recent financial volatility
Opportunities
Growing demand for water management solutions, Expansion into EPC projects, Government investments in infrastructure
Threats
Intense competition from established firms, Regulatory compliance risks, Economic fluctuations impacting project funding
Company Details
H.M. Electro Mech Limited
305, Ashram Avenue, B/H, Kochrab Ashram, Paldi, Ahmedabad- 380006
Phone: +91 079 40092538
Email: cs@hmelectromech.com
Website: https://www.hmelectromech.com/
IPO Registar Details
Cameo Corporate Services Limited
Phone: +91-44-28460390
Email: ipo@cameoindia.com
Website: https://ipo.cameoindia.com/
FAQs
The key objectives of HM Electro Mech IPO are:
- To Meet Working Capital Requirements
- General Corporate Purposes
Beeline Capital Advisors Pvt Ltd is the book-running lead managers for the HM Electro Mech IPO.