IPO ANALYSIS

R.No-58
Zennia Viegas
 NIRMITEE ROBOTICS INDIA LIMITED
Company was incorporated as “Nirmitee Robotics India Private Limited” on August
12,2016 under the Companies Act, 2013 with the Registrar of Companies.
Subsequently, the status of this Company was changed to public limited company and
the name of it was changed to “Nirmitee Robotics India Limited” dated February 19,
2020.

It is a tech based company making robots using robotic technology and are engaged in
providing HVAC (Heating, Ventilation and Air Conditioning) Duct Cleaning and Ozone
sterilization services. These robots clean the inside of HVAC Air Ducts by scrubbing,
polishing, scraping and removal of the accumulated contaminants like dust, bacteria,
dead pests and rodents.

The do business with customers on tender basis/ contract basis and do not enter into
long term contracts with most of them.
 IPO Objective
The net proceed from the IPO issue will be utilized for the following purposes:

• To utilize the funds for the redemption of preference shares.

• To acquire registered office, R&D facility and assembling unit on a long-term

sustainable basis.

• To meet the general corporate purposes .

• Promoters- Mr. Jay Prakash Motghare , Mr. Kartik Eknath Shende and Mr.
Rajesh Narendra Admane.

• IPO Date- Basis of Allotment Finalization 16-Apr-20

Refunds Initiation 17-Apr-20
Credit of Shares to Demate Account 20-Apr-20
Share Listing Date21-Apr-20

• Issue Type- Fixed Price Issue

• IPO Issue- Size 175,200 Eq Shares of ₹10(aggregating up to ₹3.24 Cr)

• Face Value- ₹10 per equity share

• IPO Price- ₹185 per equity share

• Market Lot- 600 Shares

• Shares Listing- At BSE SME

 Promoters Background
• Mr. Jay Prakash Motghare, aged 39 years is the founder Promoter and also a
Wholetime Director of our Company. He holds Bachelors of Arts. He was previously
associated with Progeon Limited, ADFC Private Limited, GE Money, Citi Corporation
Limited. He later founded Nirmitee Robotics to carry out the activities for providing
HVAC.

• Mr. Kartik Eknath Shende, aged 47 years is Co-Promoter and Non-Executive Director
since July, 2017. He is an Undergraduate. He was engaged in Snacks Manufacturing
and distribution venture. Currently he is a founding member and Director of our Group
Company - Vithobha Industries Limited.

• Mr. Rajesh Narendra Admane, aged 50 years is Co-Promoter and Non-Executive

Director of our Company since October, 2016. He holds Bachelor’s in Science
(Technology) with specialization in Petroleum Refining and Petrochemical
Technology. He was previously associated with Central India Chemicals as Chief
Chemist
 Industry Background
• The surging infrastructure spending in India is driving the growth of the Indian HVAC
market. There are several infrastructure projects, such as for airport and metro
railway construction and expansion, underway across the country.

• Some of the players operating in the Indian HVAC market are Havells India Limited,
Whirlpool Corporation, Daikin Industries Ltd., Johnson Controls International plc,
Ingersoll-Rand plc, Mitsubishi Electric Corporation, LG Electronics Inc., Fujitsu
Limited, Gree Electric Appliances Inc. of Zhuhai, Panasonic Corporation, Blue Star
Limited, Voltas Limited, and United Technologies Corporation
 Key Facts
1. There is Unsecured loans from Director Promoter of the company, which may be
repayable on demand or on a short notice which will affect the working capital of the
business.

2. IPO comprises of
a) Minimum fifty percent to retail individual investors; and

b) Remaining to: (i) Individual applicants other than retail individual investors; and (ii)
Other investors including corporate bodies or institutions.

3. Offices are in India, Hong Kong, and Dubai.

4. They provide services to a large number of customers from the Government

organizations like Railways in various states, Indian Oil Corporation Limited etc…
They also provide service to various industries housing Data centre, convention
centre etc
 IPO Threats/Weaknesses
• Inability to win new projects and contracts.

• Rely upon the third party robotics fabrication.

• Difficulties to anticipate project cost and work complexities.

• Substantial revenue dependence on few clients.

• To compete with domestic and international market players, NRIL may need to
reduce prices that will shrink margins.

• Directors and Group Companies are parties to certain legal proceedings. Any
adverse decision in such proceedings may have a material adverse effect on our
business, results of operations and financial condition.

• They require certain approvals and licenses in the ordinary course of business and
are required to comply with certain rules and regulations to operate the business.
Failure to do so will affect the business.
 Financial Data
• Revenue from operations, Total assets and PAT for fiscals are as follows-
RATIOS
Their revenue from operations has grown at a CAGR of 487.73 % from
Rs.5.88 lakhs in 2018 to Rs.203.11 lakhs in 2020.

Further their Operating profits (EBIDTA) has grown at CAGR of 528.05 %

from Rs.0.81 lakhs in 2018 to Rs.31.95 lakhs in 2020.

Share Price
 Conclusion
The ratios and the sales are in a better position.
However, Its financial performance indicates inconsistency.

Superb performance in Pre-IPO year raises concern.

Company has an average performance.