Racks and Rollers, a brand of Storage Technologies & Automation Pvt. Ltd. is one of the most influential leaders and a coveted name in the Storage, Warehousing, and Automation industry. Storage Technologies & Automation Pvt. Ltd. is coming up with an IPO to raise funds from the public.

Racks and Rollers IPO is based on the Book Built Issue. The Issue size of the IPO is Rs. 29.95 Crores comprising of fresh issue of 38,40,000 shares. Racks and Rollers IPO will be open on 30th April 2024 for subscription and closed on 03 May 2024 for the subscription.

The allotment of Racks and Rollers IPO is expected to be finalized on 06 May 2024 and is expected to be listed on the BSE SME platform on 08 May 2024. The Issue price band of the IPO is set at Rs. 73 to Rs. 78 Per Share. The minimum lot size for an application is 1600 shares and the minimum amount of investment required to subscribe to the Racks and Rollers IPO under the Retail category is Rs. 1,24,800. The Minimum lot size and the minimum amount of Investment required for an application under the HNI category are 3200 shares and Rs. 2,49,600 respectively.

The book-running lead manager of the Racks & Rollers IPO is Oneview Corporate Advisors Private Limited and the registrar is Integrated Registry Management Services Private Limited for the issue. The market maker for Racks & Rollers IPO is Nikunj Stock Brokers.

Refer Racks and Rollers DHRP for more details about the company and the IPO.

The Company was founded in the year 2009 by Mr. Hanif Khatri, who has over 30 years of experience in the warehousing and logistics industry. Currently, the company is among the leading suppliers of Racking, Shelving and Automation solutions and have proudly served PepsiCo International, LDC, Debenhams and Unlimited among 2500 other companies across the globe.

Objectives of Racks & Rollers IPO

We intend to utilize the proceeds of the Issue to meet the following objects : 
1. To meet Working Capital requirements
2. General Corporate Purpose

The Company believes that listing will enhance the corporate image and visibility of brand name of the Company. The main objects clause of company's Memorandum of Association (MOA) enables the Company to undertake its existing activities and these activities which have been carried out until now by the Company are valid in terms of the objects clause of company's Memorandum of Association (MOA).

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About Storage Technologies & Automation (Racks & Rollers) Limited

Racks and Rollers, a brand of Storage Technologies & Automation Pvt. Ltd. is one of the most influential leaders and a coveted name in the Storage, Warehousing, and Automation industry. Racks and Rollers has successfully spearheaded the development of high-quality products and impeccable client services with a proven track record of excellence in an impressively short span of time. With a seamless integration of Sales, Design, Production & Commissioning, and a hard-set focus on growth and development, the company have been investing heavily in R&D and Quality Control using the most front-line technology available in the industry.

Storage Technologies & Automation Pvt. Ltd. has executed 2500+ Projects for 900+ happy customers in 30+ countries. Being a leading consultant in warehousing, shelving, racking, structural works, automation, and avant-garde stainless-steel works, we have positively impacted clients all over the globe ranging from micro warehouse operators to multinational giants, serving industries like Food, Pharma, Chemicals, Retails, FMCG and many others. As a visionary, while delivering solutions, Racks and Rollers eyes the bigger picture of organizational growth rather than just solving the problem at hand. Our consultation is backed by thorough research and comprehensive analysis executed by a highly proficient team of professionals. Every solution offered by us is guaranteed to be in harmony with the organization and management of the company, thus driving the business as a whole.

Notable names trust the company like Samsung, Lenovo, Unilever, Flipkart, Asian Paints, Zomato, Cipla, Polycab, Aditya Birla Group, ITC, Reliance, Bajaj and many more and also the company is among the leading suppliers of Racking, Shelving and Automation solutions and have proudly served PepsiCo International, LDC, Debenhams and Unlimited among 2500 other companies across the globe.

Racks & Rollers' team of dynamic experts consults with organizations across India, Saudi Arabia, Dubai, Turkey, Egypt, Russia, Oman, and Qatar. They've risen to the top with precise guidance, dedication, and hard work. United by a passion for excellence and unparalleled work ethics, they deliver cutting-edge solutions with relentless dedication.

Racks & Rollers Strengths & Strategies

1. Wide range of products : Our design process prioritizes ergonomics and economic feasibility, ensuring we deliver the best solution to our clients, not just a profitable business.
2. Consistent focus on quality
3. Product development and design optimisation capabilities
4. Optimal Utilization of Resources
5. Technological Advancement : Adopting technological advancement as a strategic approach involves leveraging cutting-edge tools and solutions to enhance various aspects of the business.
6. Continue to reduce operating costs and improve operational efficiencies : Offering quality products at attractive prices is a key aspect of maintaining and expanding our relationships with our customers.

Racks & Rollers Risk Factors & Concerns 

1. The Company is dependent on few numbers of customers for sales and loss of any of these large customers may affect the revenues and profitability.
2. The Company have certain outstanding litigation against them, an adverse outcome of which may adversely affect the business, reputation and results of operations : There are outstanding legal proceedings involving the Company, their Directors and their Promoters.
3. Our operations are significantly influenced by the prices, availability, and quality of the raw materials essential for our production processes.
4. The stability and reliability of the logistics and transportation infrastructure are crucial for company's success. Any disruption in these services could hinder their suppliers' ability to deliver materials or their ability to deliver materials to the customers. Additionally, such disruptions may lead to increased transportation costs, adversely affecting our operations.
5. Fluctuating prices of raw materials may affect company's operations.
6. The company have significant working capital requirements. If they experience insufficient cash flows from their operations or are unable to borrow to meet their working capital requirements, it may materially and adversely affect their business, cash flows and results of operations.
7. Our Company has taken unsecured loans that may be recalled by the lenders at any time : The Company has availed unsecured loans which may be called by the lenders at any time. As on October 31, 2023 the unsecured loan amounting Rs. 302.55 lakhs were due to lenders.