Lamosaic India Ltd is a trusted name among architects, interior designers, and homeowners. The company specializes in decorative laminates, plywood, and wooden furniture accessories, offering end-to-end solutions including concept creation, design, and custom fabrication for doors and furniture.

The IPO is a Fixed Price Issue valued at ₹61.2 Crores, with a Fresh Issue of 30.6 lakh shares. The subscription period spans from November 21 to November 26, 2024, with listing expected on the NSE SME platform by November 29, 2024.

Key IPO Details

1. Price and Market Capitalization:
   The share price is fixed at ₹200 per equity share, translating to a market capitalization of ₹206.76 Crores.

2. Investment Requirements:
   Retail investors need a minimum lot of 600 shares, requiring an investment of ₹1,20,000. HNIs must purchase a minimum of two lots (1,200 shares), amounting to ₹2,40,000.

3. Key Managers:
   Inventure Merchant Banker Services Pvt. Ltd. is the lead manager, and KFin Technologies Ltd. is the registrar. SVCM Securities Pvt. Ltd. serves as the market maker.

Financial Performance

Lamosaic India has exhibited robust growth:

• Revenue: Rose from ₹1,003.45 Lakhs in FY22 to ₹5,565.72 Lakhs in FY24.
• EBITDA: Increased from ₹95.96 Lakhs in FY22 to ₹1,417.20 Lakhs in FY24.
• Profit After Tax (PAT): Improved from ₹50.89 Lakhs in FY22 to ₹822.94 Lakhs in FY24.

This consistent growth reflects the company’s strategic expansion and operational efficiency.

Grey Market Premium (GMP)

As of now, the Grey Market Premium (GMP) for Lamosaic India IPO is ₹0, indicating no anticipated listing gains based on current demand and supply dynamics. GMP is often speculative and should not be the sole criterion for investment decisions.

Allotment and Listing

The allotment date is November 27, 2024. Investors can check their allotment status online by:

1. Visiting the registrar's website.
2. Selecting Lamosaic India IPO from the dropdown.
3. Entering the application number, PAN, or DP Client ID.

Use of IPO Proceeds

The proceeds will be allocated as follows:

1. ₹445.77 Lakhs: Repayment of certain borrowings.
2. ₹3,500 Lakhs: Meeting incremental working capital needs.
3. ₹600 Lakhs: Pursuing inorganic growth opportunities.
4. ₹1,400 Lakhs: General corporate purposes.

Valuation and Recommendation

The IPO is issued at a pre-issue EPS of ₹11.31 and a post-issue EPS of ₹7.96, with P/E ratios of 17.68x (pre-issue) and 25.12x (post-issue). Compared to the industry P/E ratio of 121.99x, the IPO appears fully priced, with limited upside potential for listing gains.

Key financial ratios:

• ROCE (FY24): 42.25%.
• RoE (FY24): 53.94%.

These metrics highlight operational strength but indicate that the IPO is fairly valued, leaving little room for significant listing gains.

Conclusion

While Lamosaic India demonstrates strong revenue and profit growth, its valuation metrics suggest limited scope for short-term gains. Investors looking for long-term opportunities in the decorative laminates and plywood industry may consider this IPO, but those seeking immediate listing gains are advised to avoid.

This detailed review provides all essential information to help investors make an informed decision regarding the Lamosaic India IPO.