MTAR Technologies IPO Allotment Status: Retail Investors eyeing Bumper returns on listing date
MTAR Technologies IPO Allotment Status: MTAR IPO listing date is likely on 16th March 2021 according to analysts. The initial public offering received a strong response and was subscribed more than 200 times. Retail Investors who got the allotment are extremely excited and are expecting Bumper returns on listing date. HNIs and Fund Houses are looking forward to buying into MTAR Technologies as they are confident in the management and the business model of the company, according to some analysts.
MTAR Technologies IPO Allotment Status: MTAR IPO listing date is likely on 16th March 2021 according to analysts. The initial public offering received a strong response and was subscribed more than 200 times. Retail Investors who got the allotment are extremely excited and are expecting Bumper returns on listing date. HNIs and Fund Houses are looking forward to buying into MTAR Technologies as they are confident in the management and the business model of the company, according to some analysts.
MTAR Technologies: Complex product manufacturing capability with healthy order book
MTAR Technologies manufactures a wide range of critical engineered products and thus enjoys high entry barriers, increased customer dependency and long standing clients’ relationship. Infact, MTAR Technologies has been a sole supplier from India to USbased Bloom Energy (BE). Its revenue is well diversified: clean energy (49% of 9M FY21 sales), nuclear (27%), space and defence (21%) and others (3%). >50% of its revenue comes from the export market. Its order book is healthy at Rs 3.4 bn which is 1.6xFY20 revenues.
See Zee Business Live TV Streaming Below:
MTAR Technologies: New product launches and Indigenization to aid growth
MTAR Technologies is developing hydrogen boxes and electrolyzers to serve BE. Clean energy can be used in multiple sectors to generate power and is expected to grow at 15% CAGR and thus MTAR Technologies is in process to tap existing customers too. It is also building a sheet metal facility and plans to take up specialized fabrication jobs. India has 22 operational reactors and the Government has sanctioned 10 more which would double nuclear capacity to 11.5GW, thus presenting a huge opportunity for MTAR Technologies. Further indigenization in defence space opens a plethora of opportunities for MTAR Technologies given its experience.
MTAR Technologies Healthy Financials:
Over FY18-20, MTAR Technologies Revenue/EBITDA/PAT grew at a CAGR of 16%/35%/140% while EBITDA margins expanded 714bps to 27.1% due to rising export share (higher margin). In 9M FY21, Revenue/EBITDA/PAT grew 16%/22%/25% YoY, while EBITDA margin further improved to 29.9%. It has negligible debt on its books which post IPO will further reduce to zero. However it is working capital intensive (180 days) and its asset turnover stands at 0.8x, thus resulting in RoE of 14% (FY20).
Get Latest Business News, Stock Market Updates and Videos; Check your tax outgo through Income Tax Calculator and save money through our Personal Finance coverage. Check Business Breaking News Live on Zee Business Twitter and Facebook. Subscribe on YouTube.
RECOMMENDED STORIES
PM Modi has invested in this post office scheme; know his total worth as per Lok Sabha elections 2024 affidavit
SRH vs GT IPL 2024 Ticket Booking Online: Where and how to buy SRH vs GT tickets online - Check IPL Match 66 ticket price, other details
Top 7 SWP Mutual Funds: Rs 50 lakh investment, Rs 70K monthly pension for 10 years, and Rs 42.30 lakh balance value; know more details
Gold and Silver rate today (May 13, 2024): Precious metal under pressure; yellow metal near Rs 72,400, white metal above Rs 84,600
SIP Returns: How Rs 3,000, 5,000, and Rs 10,000 SIPs can help you build retirement corpus of Rs 1.06 cr, Rs 1.77 cr, and Rs 3.53 cr
TBO Tek IPO Listing LIVE Update: Bumper Debut! Share list at 55% premium - Buy, sell or hold? Check Anil Singhvi's view
02:33 PM IST