Divyadhan Recycling Industries IPO open date is September 26, 2024 and the IPO will close on September 30, 2024. Divyadhan Recycling IPO is a Book Built Issue. The company to raise around ₹24.17 crores via IPO that comprises fresh issue of ₹24.17 crores and offer for sale up to [.] equity shares with face value of ₹10 each.
Divyadhan Recycling IPO price band is ₹60 to ₹64 per share. The retail quota is 35%, QIB is 50%, and HNI is 15%. Divyadhan Recycling IPO to list on NSE on October 4, 2024. The allotment of Divyadhan Recycling IPO date is October 1, 2024.
The company reported revenue of ₹59.13 crores in 2024 against ₹58.16 crore in 2023. The company reported profit of ₹2.38 crores in 2024 against profit of ₹2.16 crores in 2023. As per the financials the IPO investors should apply the IPO for a long term.
About Divyadhan Recycling IPO
Divyadhan Consultants Private Limited was established in 2010 and 2013, the existing promoters of the company acquired the company from its original promoters. in Himachal Pradesh, and as a distressed asset under the provisions of SARFAESI Act, 2002 from Axis Bank Limited. Further in 2023, the name of the company was changed from Divyadhan Consultants Private Limited to Divyadhan Recycling Industries Private Limited, under which the ROC, Mumbai has issued a Certificate of Incorporation dated November 10, 2023.
Afterward, The company was turned into a public company namely, Divyadhan Recycling Industries Limited, according to the shareholders’ resolution dated December 13, 2023, vide new Certificate of Incorporation dated March 02, 2024. The company engenders Hollow and Solid Recycled Polyester Staple Fibre, which provides satisfactory resilience properties and is used to make premium pillows, cushions, and quilts. The recycled fiber is supplied to various industries such as Packaging, home furnishing, and Textiles
The company is also engaged in the production of Recycled Pellets, which have cautious applications across various industries like automotive, packaging, fiber, etc. However, we are in the trail stage of production of Recycled pellets. Moreover, The company has substantial and genuine motives for the future such as To be a pioneering leader in the realm of collection, segregation, recycling, and treatment of PET waste for environmental sustainability to promote larger well-being of mother earth and to set new standards for responsible PET waste management while inspiring positive change across industries.
Divyadhan Recycling Industries IPO Business
Our Company was incorporated on May 03, 2010 Our company is into the business of manufacturing of Recycled Polyester Staple Fibre (R-PSF) and Recycled Pellets.
- SPINNING FIBER
- CARPET YARNS
- NON-WOVEN
- FILLING FIBER
- Micro Fiber
- GEOTEXTILES
The recycled fibre and pellets are produced from post-consumer PET bottles also known as Polyethylene Terephthalate bottles.
Our company started its operations in the financial year 2018-19, by manufacturing Recycled Polyester Staple Fibre (R-PSF) at their manufacturing facility based in Baddi, Himachal Pradesh with a capacity of 8030 Metric tons per annum.
Our Company also started manufacturing of Recycled Pellets. However, our company is in the trial stage of manufacturing the recycled pellets.
We produce Hollow and Solid Recycled Polyester Staple Fibre, which gives good resilience properties and is used to make premium pillows, cushions and quilts.
The recycled fibre is supplied to various industries such as Packaging, home furnishing and Textiles.
Its hollow structure adds to its insulating properties, making it suitable for use in a wide range of products including clothing, home furnishings, automotive components, non-woven fabrics, and insulation materials.
The recycled pellets are used to manufacture food grade and non-food grade bottles.
FSSAI has issued latest instructions dated June 15, 2022, for acceptance criteria for recycled PET for food packaging.
Our Company is also involved in the producing of Recycled Pellets, which has various applications across various industries like automative, packaging, fiber etc. However, we are into the trail stage of production of Recycled pellets.
Our company source raw material (post-consumer PET bottles) from various junk collectors and recycle them to produce Recycled Polyester Staple Fibre and Recycled Pellets at our factory.
Our company holds certifications in ISO 9001:2015 for Quality Management System and ISO 14001: 2015 for Environmental Management System for the manufacturing of Recycled Polyester Staple Fibre.
Divyadhan Recycling Industries IPO Business Verticle
We conduct business in B2B segment, and we are operating in two business verticals:
1) Recycled Fiber : We manufacture synthetic fiber called as Recycled Polyester Staple Fiber (R-PSF) from PET bottles (Polyethylene Terephthalate bottles) of coke, soda, water or other post-consumer PET bottles or post-industrial waste.
The PET bottles are the most commonly used plastic in packaging, carrying, storing.
The process of creating recycled PET fiber involves collecting PET plastic bottles, sorting and cleaning them, then melting it down to form pellets or chips. These pellets are then extruded into thin filaments, which can be spun into yarns or fibers.
These fibers can be further processed and woven into fabrics or used as filling material in various products like pillows, mattresses, and insulation.
Collection of PET Bottles: The very first step in making Recycled Polyester Staple Fiber (R-PSF) is to collect all the waste PET bottles. These PET bottles are the raw material which is used in making solid or hollow fiber or recycled pellets or resins.
We source them from junk collectors, waste collectors or waste management enterprise.
Segregation of PET Bottles: Once these bottles reach at manufacturing facility, they are sorted either manually or by automated machinery based on colour and polymer and all the dispensable part like label, bottle cap and other non-recyclable items are removed.
Cleaning of PET Bottles: following the previous step, these are decontaminated and washed using caustic and detergent water to remove all the dirt, dust, bacteria or residual liquids.
They are washed multiple times in different ways like pre-washing, hot washing, friction washing and rinsed and dried using air blowers or dryers to remove any moisture which is essential so as to maintain the quality of the plastic.
Shredding of PET bottles: Thereafter, these are put into high intensity grinder or shredder which convert these bottles into small pieces called as flakes. These flakes are again washed and dried.
These flakes are of different sizes and measurements as per the requirement.
Melting of Flakes: These clean and dried flakes are first melted at very high temperature to form melted polymer or vicious liquid keeping in mind they don’t get overheated or degraded.
The flakes are melted at very specific temperatures.
Extrusion: The shredded plastic flakes are melted and extruded to form molten plastic. This is typically done in an extruder, where the plastic flakes are heated at specific temperature as per the requirement to form continuous strands or pellets.
Spinning and Drawing: This vicious liquid* is passed through series of spinnerets or small holes of spinnerets at controlled rate and pressure to produce filaments.
The size and shape of the spinneret holes determine the diameter and cross-sectional shape of the filaments.
Once these filaments exit the spinnerets, they are cooled down using air or water to solidify them into solid strands. Then these strands are collected and fed into drawing line where the strands are stretched, crimped and dried.
Cutting: Finally, these thread or yarn are cut into the desired staple length, making recycled staple fiber ready for further processing or textile production.
Bailing: The threads are chopped into the appropriate staple length as soon as they emerge from the spinnerets, readying the recycled staple fiber.
After that, a device known as a baler is used to compress these staple fibers.
The fiber is compressed by the machine so that big, rectangular blocks known as bales are created. After that, in order to keep the bales compact and transport them to our clients, they are packed and secured with wire and straps.
Divyadhan Recycling IPO Details
IPO Open Date: | September 26, 2024 |
IPO Close Date: | September 30, 2024 |
Face Value: | ₹10 Per Equity Share |
IPO Price Band: | ₹60 to ₹64 Per Share |
Issue Size: | Approx ₹24.17 Crores |
Fresh Issue: | Approx ₹24.17 Crores |
Issue Type: | Book Built Issue |
IPO Listing: | NSE SME |
Retail Quota: | Not more than 35% |
QIB Quota: | Not more than 50% |
NII Quota: | Not more than 15% |
DRHP Draft Prospectus: | Click Here |
RHP Draft Prospectus: | Click Here |
Anchor Investors List: | Click Here |
Divyadhan Recycling IPO IPO Market Lot
The Divyadhan Recycling IPO minimum market lot is 2,000 shares with ₹1,28,000 application amount.
Application | Lot Size | Shares | Amount |
Retail Minimum | 1 | 2,000 | ₹1,28,000 |
Retail Maximum | 1 | 2,000 | ₹1,28,000 |
HNI Minimum | 2 | 4,000 | ₹2,56,000 |
Divyadhan Recycling IPO Dates
The Divyadhan Recycling IPO date is September 26 and the close date is September 30. The Divyadhan Recycling IPO allotment will be finalized on October 1 and the IPO listing on October 4.
IPO Open Date: | September 26, 2024 |
IPO Close Date: | September 30, 2024 |
Basis of Allotment: | October 1, 2024 |
Refunds: | October 3, 2024 |
Credit to Demat Account: | October 3, 2024 |
IPO Listing Date: | October 4, 2024 |
OBJECTS OF ISSUE
1. To meet out the Capital Expenditure.
2. To meet out the General Corporate Purposes.
3. To meet out the Issue Expenses.
Qualitative Factors
1. Sustainable Business Model
2. Environmentally conscious approach
3. Cordial relations with our customers
4. Quality Deliverables
Divyadhan Recycling Industries Comparison of Accounting Ratios with Peer Group Companies
- Ganesha Ecosphere Limited.
Promoters of Divyadhan Recycling IPO
The promoters of the company are Mr. Pratik Gupta and Mr. Varun Gupta.
Divyadhan Recycling IPO Company Financial Report
The company reported revenue of ₹59.13 crores in 2024 against ₹58.16 crore in 2023. The company reported profit of ₹2.38 crores in 2024 against profit of ₹2.16 crores in 2023.
Amount ₹ in Crores
Period Ended | Revenue | Expense | Profit After Tax | Assets |
2022 | ₹59.82 | ₹59.09 | ₹0.53 | ₹17.68 |
2023 | ₹58.16 | ₹55.15 | ₹2.16 | ₹19.39 |
2024 | ₹59.13 | ₹55.83 | ₹2.38 | ₹24.12 |
Divyadhan Recycling IPO Valuation – FY2024
Check Divyadhan Recycling IPO valuations detail like Earning Per Share (EPS), Price/Earning P/E Ratio, Return on Net Worth (RoNW), and Net Asset Value (NAV) details.
KPI | Values |
ROE: | 18.42% |
ROCE: | 20.76% |
EBITDA Margin: | 10.16% |
PAT Margin: | -% |
Debt to equity ratio: | 0.47 |
Earning Per Share (EPS): | ₹2.41 (Basic) |
Price/Earning P/E Ratio: | N/A |
Return on Net Worth (RoNW): | 18.42% |
Net Asset Value (NAV): | ₹13.06 |
Peer Group Comparison
Company | EPS | PE Ratio | RoNW % | NAV | Income |
Ganesha Ecosphere Limited | 27.90 | 68.36 | 5.74 | NA | – Cr. |
Divyadhan Recycling IPO Registrar
Skyline Financial Services Private Ltd
Phone: 02228511022
Email:
Website: https://www.skylinerta.com/ipo.php
IPO Lead Managers aka Merchant Bankers
- Narnolia Financial Services Ltd
Company Address
Divyadhan Recycling Industries Limited
1803, Lodha Supremus,
Saki Vihar Road, Opp. Telephone Exchange
Powai, Mumbai City – 400072,
Phone: + 91- 8928434702
Email: cs@divyadhan.in
Website: http://www.divydhan.in/
Divyadhan Recycling IPO FAQs
What is Divyadhan Recycling IPO?
Divyadhan Recycling IPO is a SME IPO. The company is going to raise ₹24.17 Crores via IPO. The issue is priced at ₹60 to ₹64 per equity share. The IPO is to be listed on NSE.
When Divyadhan Recycling IPO will open for subscription?
The IPO is to open on September 26, 2024 for QIB, NII, and Retail Investors. The IPO will close on September 30, 2024.
What is Divyadhan Recycling IPO Investors Portion?
The investors’ portion for QIB is 50%, NII is 15%, and Retail is 35%.