Readymix Construction Machinery Limited (RMX), a multidisciplinary manufacturer and supplier in the construction equipment sector, is launching its Initial Public Offering (IPO) on February 6, 2025. The IPO is a Book Built Issue amounting to ₹37.66 Crores, consisting of an entirely fresh issue of 30.62 Lakh Shares. The company, established in Pune in 2008, has built a reputation for providing a wide range of construction machinery and tailor-made solutions to meet the industry's needs.

Readymix Construction Machinery IPO Key Details

• IPO Open Date: February 6, 2025

• IPO Close Date: February 10, 2025

• IPO Price Band: ₹121 - ₹123 per share

• Lot Size: 1,000 shares

• Minimum Investment: ₹1,23,000 for retail investors, ₹2,46,000 for HNIs

• Market Capitalization at IPO Price: ₹134.78 Crores

• Listing Exchange: NSE SME

• Tentative Listing Date: February 13, 2025

• Book Running Lead Manager: HEM SECURITIES LIMITED

• Registrar: BIGSHARE SERVICES PRIVATE LIMITED

• Market Maker: Hem Finlease Private Limited

IPO Objectives and Fund Utilization

The company plans to utilize the net proceeds from the IPO for the following purposes:

• Repayment of Borrowings: ₹525 Lakhs

• Working Capital Requirements: ₹2,405 Lakhs

• General Corporate Purposes

Financial Performance and Growth Indicators

Readymix Construction Machinery has shown consistent financial growth over the years. The revenues from operations for the periods ending on December 31, 2024, FY 2024, 2023, and 2022 are as follows:

• ₹3,550.02 Lakh (Dec 31, 2024)

• ₹6,984.48 Lakh (FY 2024)

• ₹5,500.94 Lakh (FY 2023)

• ₹4,783.43 Lakh (FY 2022)

The company’s EBITDA and Profit After Tax (PAT) also indicate strong performance:

• EBITDA (FY 2024): ₹1,384.29 Lakh

• PAT (FY 2024): ₹928.48 Lakh

Grey Market Premium (GMP) and Subscription Status

The Grey Market Premium (GMP) for Readymix Construction Machinery Limited IPO is currently ₹0, suggesting no speculative gains before listing. Investors should rely on the company’s fundamentals rather than GMP trends.

Subscription status for the IPO will be available starting February 6, 2025, with real-time updates on demand.

Anchor Investor Participation

Readymix Construction Machinery has raised ₹10.71 Crores from Anchor Investors at ₹123 per share, allocating 8,71,000 equity shares to them. This indicates institutional confidence in the company.

IPO Review and Investment Recommendation

Readymix Construction Machinery is a well-established player in the construction equipment sector. However, the IPO valuation appears fully priced, with a post-issue P/E ratio of 14.52x. Despite strong ROCE (48.96%) and ROE (65.90%), the lack of GMP movement suggests minimal listing gains. Investors may avoid subscribing solely for short-term gains but can consider it for long-term investment.

The Upcoming IPOs in this week and coming weeks are Ken Enterprises, Amwill Healthcare, Readymix Construction, Solarium Green, Eleganz Interiors.

The Current active IPO is Chamunda Electricals.

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