Victory Electric Vehicles International Limited is a growing manufacturer in the electric vehicle sector, offering a broad range of products including E-rickshaws, E-Cargo/Loader E-Rickshaws, scooters, and a specialty in customized E-Three Wheelers like Food Three Wheelers and Ice Cream Three Wheelers. This diversification addresses niche market needs and showcases the company’s innovation in electric mobility.

The company’s Fixed Price IPO consists entirely of a fresh issue of 56.47 lakh shares, priced at ₹ 72 per equity share, targeting a capital raise of approximately ₹ 40.66 crore. The IPO subscription opens on May 20, 2025, and closes on May 23, 2025. The allotment is scheduled for May 27, 2025, with shares expected to list on the NSE SME platform around May 28, 2025.

At the IPO price, Victory Electric Vehicles International will have a market capitalization of ₹ 153.41 crore. The minimum lot size is 1,600 shares, equating to a minimum investment of ₹ 1,15,200 for retail investors. High-Net-Worth Individuals (HNIs) must subscribe to at least two lots (3,200 shares), with a minimum investment of ₹ 2,30,400.

Leadership and Experience

The company is led by Mr Sanjay Kumar Popli, Managing Director, who brings 3 years of experience in marketing and communications within his own partnership firm. Alongside him is Ms Seema, with experience in operations, administration, and commerce education, strengthening the management team’s capability to handle rapid growth and operational challenges in the evolving EV sector.

Financial Performance Highlights

Victory Electric Vehicles International has demonstrated consistent revenue growth over recent years:

• Revenues: ₹ 3,967.68 Lakh (9 months ended Dec 31, 2024), ₹ 4,876.36 Lakh (FY 2024), ₹ 5,213.63 Lakh (FY 2023), ₹ 4,813.55 Lakh (FY 2022)

• EBITDA: ₹ 623.24 Lakh (9M FY 2024), ₹ 735.04 Lakh (FY 2024), ₹ 205.83 Lakh (FY 2023), ₹ 194.55 Lakh (FY 2022)

• Profit After Tax (PAT): ₹ 389.12 Lakh (9M FY 2024), ₹ 489.22 Lakh (FY 2024), ₹ 78.80 Lakh (FY 2023), ₹ 64.55 Lakh (FY 2022)

These figures reflect improving profitability and operational efficiency.

Valuation Metrics

• Pre-issue Earnings Per Share (EPS): ₹ 18.95

• Post-issue EPS: ₹ 2.30

• Pre-issue Price/Earnings (P/E) ratio: 3.80x

• Post-issue P/E ratio: 31.36x (Industry average 24x)

• Return on Capital Employed (ROCE) for FY24: 44.78%

• Return on Equity (ROE) and Return on Net Worth (RoNW): 70.19%

• Annualised EPS based on latest data: ₹ 4.41 with a P/E ratio of 16.31x

The valuation indicates the IPO is fully priced, with post-issue P/E above the industry average.

Grey Market Premium (GMP)

The IPO’s Grey Market Premium is ₹ 0, suggesting no anticipated listing gains. Given the company's current financials and pricing, investors should have tempered expectations about immediate profits from trading the IPO shares.

Use of IPO Proceeds

The company plans to deploy funds as follows:

1. ₹ 5.00 crore for capital expenditure to expand production capabilities.

2. ₹ 22.00 crore to meet working capital needs, supporting day-to-day operations.

3. ₹ 7.54 crore for general corporate purposes, including administrative and growth initiatives.

Subscription and Allotment Process

• IPO Subscription: May 20-23, 2025

• Allotment Date: May 27, 2025

• Investors can check allotment status online via the registrar’s website using application number, PAN, or DP Client ID.

The Upcoming IPOs in this week and coming weeks are Victory Electric Vehicles International, Borana Weaves, Dar Credit and Capital,Belrise Industries, Wagons Learning.

The Current active IPO are Accretion Pharmaceuticals.

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