Kanishk Aluminium India IPO

Issue:₹73

List:₹-

CMP:₹55.48

BSELot: 200Construction

LISTEDSME

Issue Price₹73

Listing₹-

Current₹55.48

Price Band

₹73 - ₹73

Lot Size

200

Issue Size

₹29 Cr

GMP

₹0

Subscription

Content

IPO Schedule

Open

28 Jan

30 Jan

Allotment

2 Feb

Listing

4 Feb

About Kanishk Aluminium India

Kanishk Aluminium India Limited is a manufacturing company engaged in the production of aluminium extrusions and profiles that are primarily used in infrastructure, construction, renewable energy, and industrial applications. The company focuses on supplying customized aluminium solutions tailored to meet the specific requirements of its customers across different sectors. The company operates a manufacturing facility located in Rajasthan, equipped with aluminium extrusion presses and supporting fabrication infrastructure. Its operations include procurement of raw aluminium billets, extrusion processing, surface finishing, quality inspection, and dispatch of finished products. By maintaining strict quality control systems and adopting efficient production practices, the company aims to ensure consistency and reliability in its product offerings. Kanishk Aluminium India Limited caters mainly to domestic customers, serving industries such as real estate, solar energy, engineering, and transportation. The company emphasizes building long-term relationships with clients by providing timely delivery, technical support, and product customization. The management team brings industry experience in aluminium processing and business operations, enabling the company to manage manufacturing efficiency and market expansion. Over the years, the company has focused on strengthening its operational capabilities, expanding its customer base, and improving its financial performance. With increasing demand for aluminium products driven by infrastructure development, renewable energy projects, and urbanization, the company aims to leverage its existing manufacturing setup and industry knowledge to achieve sustainable growth and enhance shareholder value.

Business Overview

Aspect	Description
Core Activity	Manufacturing aluminium extrusions and profiles for industrial and infrastructure applications.
Products	Aluminium sections used in construction, solar structures, transport and engineering sectors.
Manufacturing	Operates a production facility in Rajasthan with extrusion presses and fabrication units.
Customers	Supplies to domestic industrial customers and project-based clients.
Strengths	Quality control, customization capability and operational experience.

Risk Factors

Risk Category	Description
Market Risk	Dependence on infrastructure and construction sector demand cycles.
Raw Material	Aluminium and metal inputs makes margins sensitive to price volatility and supply disruptions.
Industry Cyclicality	Demand is tied to economic activity and capex cycles.
Competition	Intense competition from organized and unorganized players.
Customer Concentration	Revenue dependence on limited number of customers.

Industry Overview

Factor	Industry Insight
Sector	Aluminium & Metal Products
Growth Drivers	Infrastructure development, renewable energy projects and urbanization.
Competition	Fragmented market with SMEs and large players.
Demand Outlook	Positive due to solar energy and construction demand.
Risks	Commodity price fluctuations and import competition.

Promoters & Promoter Group

Name	Role
Mr. Parmanand Agarwal	Promoter & Managing Director
Mr. Ashish Agarwal	Promoter
Mrs. Khushboo Agarwal	Promoter

Management & Key Personnel

Position	Responsibility
Managing Director	Business strategy and operations
Chief Financial Officer	Financial planning and control
Company Secretary	Compliance and governance
Production Head	Manufacturing and quality management
Sales Head	Marketing and customer relations

Litigation & Regulatory Matters

Type	Status
Tax Matters	Routine statutory disputes with no major financial impact expected.
Corporate Filings	No material non-compliance reported.
Risk Impact	Not expected to materially affect business operations.

Financials

Parameter	Trend
Revenue	Consistent growth over recent years.
Profitability	Positive and improving margins.
Net Worth	Strengthening due to retained earnings.
Borrowings	Moderate and manageable levels.

Cash Flows

Activity	Observation
Operating Cash Flow	Generated from core business activities.
Investing Cash Flow	Primarily used for capital expenditure on plant and machinery.
Financing Cash Flow	Includes borrowings and equity funding.

Key Ratios

Ratio	Interpretation
EBITDA Margin	Indicates operational efficiency.
Return on Equity (ROE)	Reflects shareholder returns.
Earnings Per Share (EPS)	Shows profitability per share.
Net Asset Value (NAV)	Represents asset backing per share.

Objects of the Issue

Use of Funds	Purpose
Capital Expenditure	Expansion of manufacturing capacity.
Working Capital	Funding inventory and receivables.
General Corporate Purposes	Support overall business growth.

Offer Structure

Feature	Details
Issue Type	100% Fresh Issue
Listing Platform	BSE SME
Price Mechanism	Fixed Price
Investor Categories	Retail and other eligible investors
Market Maker	Included

Valuation

Basis	Explanation
Financial Performance	Revenue and profit growth considered.
Industry Outlook	Strong demand in aluminium and infrastructure sectors.
Peer Comparison	Limited SME-listed peers.
Risk Profile	Medium risk investment profile.

Capital Structure

Stage	Shareholding
Pre-Issue	Majority held by promoters.
Post-Issue	Promoter stake diluted.
Instruments	Only equity shares outstanding.

Related Party Transactions

Nature	Comment
Purchases & Services	Conducted in ordinary course of business.
Compliance	Transactions at arm’s length basis.
Risk	Limited related party exposure.

Material Contracts

Contract Type
Lead Manager Agreement
Registrar Agreement
Market Making Agreement
Banker to the Issue Agreement

Corporate Governance

Committee	Purpose
Audit Committee	Financial oversight and control.
Nomination & Remuneration Committee	Board appointments and compensation.
Stakeholders Relationship Committee	Investor grievance handling.

Management Discussion & Analysis (MDA)

Area	Commentary
Growth	Driven by infrastructure and solar sector demand.
Challenges	Raw material cost fluctuations.
Strategy	Capacity expansion and customer diversification.
Outlook	Positive long-term business prospects.