Stove Kraft Limited
IPO Size
`412.62 Cr
Price Band
`384-385 Per Share
Minimum Lot Size
38 Share
Face Value
`10 Per Share
Employee Discount
NA
Retail Allocation
35%
Issue Open Date
25 Jan 21
Issue Close Date
28 Jan, 21
Listing Date
IPO Size
Price Band
Minimum Lot Size
Face Value
Employee Discount
Retail Allocation
Issue Open Date
Issue Close Date
Listing Date
Stovekraft Limited was incorporated in 1994 with the aim of manufacturing kerosene wick stoves. The company started manufacturing houseware products under the brands like BPL, Marlex and Inalsa. As company started gaining traction in the Indian kitchen market, the company enjoyed capital infusion from private equity firm Sequoia capital that fueled the firm for next stage of growth. In 2013, the company set up an automated Italian Plant to manufacture non-stick cookware, with annual capacity of 7.2 million units. Currently, the flagship brands of the company: Pigeon and Gilma have unique proposition and different go-to-market strategies across the country. The company offers premium kitchen solutions through wide range of products including pressure cookers, non-stick cookware, gas and induction cook tops, mixer grinders, chimneys and hobs among others.
| S.No. | 1 - Company | 2 - Directors | 3 - Promoters | |||
| Entity Name | By the Company | Against the Company | By the Director | Against the Director | By the Promoter | Against the Promoter |
| Criminal cases | 15.94 | - | - | - | - | - |
| Material civil cases | - | 8.09 | - | 6.8 | - | 6.8 |
| Taxation matters | - | 95.15 | - | - | - | - |
| Regulatory Procedings | - | 56.4 | - | - | - | - |
| Amt. (In Million Rs.) | 15.94 | 151.55 | - | 6.8 | - | 6.8 |
| Income Statement (in millions) | FY20 | FY19 | FY18 | |
| Gross Operating Income | 6729.14 | 6425.98 | 5345.85 | |
| Cost of Employee & Inventory | 5238.79 | 5084.57 | 4179.69 | |
| Other Expenses | 1121.9 | 1026.59 | 1010.11 | |
| EBITDA | 368.45 | 314.82 | 156.05 | |
| Depreciation | 124.1 | 123.38 | 112.25 | |
| Interest | 209.01 | 179.2 | 169.35 | |
| Profit Before Tax | 35.34 | 12.24 | -125.55 | |
| Exceptional Items | - | - | - | |
| Tax | 3.64 | 4.88 | -5.37 | |
| Profit After Tax | 31.7 | 7.36 | -120.18 | |
The promoters of the company are Rajendra Gandhi and Sunita Rajendra Gandhi.
The houseware industry seems to be more promising in the upcoming years. The rising culture of nuclear family in Indian economy will continue to put an uptick in the sales numbers. As people are getting more conscious towards building a modular kitchen in their home, trend will continue to remain strong for houseware industry. The rising income of the people will bend their favor towards more houseware products too. In the listed space, the company will face tough competition from TTK Prestige and Hawkins.
The object of the Offer for Sale is to allow the shareholders to sell an aggregate of up to 82,50,000 equity Shares held by them. The company will not receive any proceeds from the Offer for Sale. Offer for Sale Size is of 8.25 million equity Shares aggregating up to ₹317.52 Cr (at an upper price band of Rs. 385).
The company has planned to raise fresh capital comprising an aggregate of 24,67,532 equity shares having Face Value ₹10 aggregating up to Rs. 95 Cr at the upper price band of Rs. 385. The net proceeds will be utilized for payout of certain borrowings amounting Rs. 76 crores while rest could be utilize for augmenting general corporate purposes.