Stove Kraft IPO is opening for subscription from 25 January 2021. the company aims for a total issue size of ₹ 412 crores (approx) through this IPO.
Also read: IPO List 2021: a complete list of IPOs in 2021
Stove Kraft Limited
SK is a kitchen solutions and home solutions brand. The company is one of the dominant players for pressure cookers and amongst the market leaders in the sale of free-standing hobs and cooktops. It is engaged in the manufacture and retail of a wide and diverse suite of kitchen solutions under its Pigeon and Gilma brands and proposes to commence manufacturing of kitchen solutions under the BLACK + DECKER brand, covering the entire range of value, semi-premium, and premium kitchen solutions, respectively.
As of 31 October 2019, its Pigeon branded products contributed 80.86% to its overall sales and were amongst the leading brands in the market for certain products such as free-standing hobs, cooktops, non-stick cookware, LPG gas stoves, and induction cooktops. In 2016, the company further diversified the Pigeon brand by launching LED products under it and in 2019, it commenced manufacturing LED products at its Bengaluru facility.
Its flagship brands, Pigeon and Gilma, have enjoyed a market presence of over 14 years and enjoy a high brand recall amongst customers for quality and value for money. The company also entered the premium segment in 2016 by signing an exclusive BLACK + DECKER Brand Licensing Agreement with Stanley Black & Decker, Inc. and The Black and Decker Corporation. The agreement allows it to sell and provide post-sales services in relation to, a wide range of products such as blenders and juicers, breakfast appliances, small cooking appliances, and small domestic appliances.
Objective of the Issue
- To make the repayment or prepayment payment of the company’s borrowings fully or partially.
- to meet general corporate purposes.
Competitive strength
- One of the largest kitchen appliance company in India.
- Diversified product portfolio.
- Strong brand name.
- Strong distribution network.
- Well-equipped manufacturing facility.
Basic details about the company
| Full name | Stove Kraft Limited |
| Sector | Consumer durables |
| Industry | Consumer durables-domestic appliances |
| Company Website | www.stovekraft.com |
Dates to remember
| IPO Opening date | 25 January 2021 |
| IPO Closing date | 28 January 2021 |
| Basis of Allotment date | 02 February 2021 |
| Initiation of Refunds | 03 February 2021 |
| Credit to Demat Account | 04 February 2021 |
| Listing Date | 05 February 2021 |
IPO details
| Issue type | Book Built Issue IPO |
| IPO issue size | ₹ 412 crores (approx) |
| Number of shares offered | 18,443,920 Shares |
| Face value | ₹10 per equity share |
| Price band | ₹384 to ₹385 per equity share |
| Retail portion | 35% |
| Lot size | 38 Nos |
| Minimum application | 1 lot – 38 shares |
| Maximum application | 13 lot – 494 shares |
| Minimum application amount | ₹14,630 |
| maximum application amount | ₹190,190 |
| Listing Exchange | BSE, NSE |
Financial summary
| Stove Kraft’s financial performance (in INR crore) | ||||
| FY2018 | FY2019 | FY2020 | H1 FY2021 | |
| Revenue | 534.6 | 642.6 | 672.9 | 329.5 |
| Expenses | 547.1 | 641.4 | 669.4 | 300.7 |
| Net income | -11.7 | 0.9 | 2.9 | 30.1 |
| Margin (%) | -2.2 | 0.1 | 0.4 | 9.1 |
Valuation of Stove Kraft (as of FY2020)
| Earnings Per Share (EPS) | ₹1.05 |
| Price/Earnings (PE ratio) | To be updated |
| Return on Net Worth (RONW) | 2.51% |
| Net Asset Value (NAV) | ₹41.84 per share |
Company Promoters
- Rajendra Gandhi
- Sunita Rajendra Gandhi
Stove Kraft IPO Lead Managers
- JM Financial Consultants Private Limited
- Edelweiss Financial Services Limited
Registrar of Stove Kraft IPO
KFin Technologies Private Limited
Selenium Tower B, Plot 31-32,
Gachibowli, Nanakramguda,
Hyderabad – 500 032, Telangana
Phone: +91 40 6716 2222
Fax: +91 40 2343 1551
Email: einward.ris@kfintech.com
Website: www.kfintech.com
Company Contact Details
Stove Kraft Limited
81/1, Medamarana Halli Villagee
Harohalli Hobli, Kanakapura Taluk
Ramanagar District, 562 112, Karnataka
Phone: +91 80 2801 6222
Email: cs@stovekraft.com Website: www.stovekraft.com
Stove Kraft IPO Subscription Status
| Category | Day 1 | D 2 | D 3 |
| QIB | 0.00x | 0.08x | 8.02x |
| HNI | 0.05x | 1.85x | 32.72x |
| RII | 5.37x | 13.80x | 26.04x |
| Total | 0.99x | 2.93x | 18.03x |
Stove Kraft IPO Allotment Status
Stove Kraft IPO allotment status will be available on KFin Technologies’ website.
Click on this link to get allotment status.
Final thoughts
Stove Kraft IPO is going to hit Dalal street soon. applying for IPO is purely a personal choice. study well about the company and do subscribe if you are feeling good about the company. I hope this post gave you enough details to make a fundamental study of the company. learn well and make a wise decision.
Happy Investing
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