R M Drip & Sprinklers System Limited IPO is about to debut on 19 September 2017, with an issue size of 11.46CR. R M Drip & Sprinklers System Ltd (RMD) was established in 2004 and is involved in the manufacturing and selling of Micro Irrigation System (MIS) which encompasses drip irrigation system, sprinkler irrigation system, as well as their components, irrigation accessories, and related products. RMD designs and produces high-quality micro irrigation equipment in-house, located in Sinnar, near Nashik. Additionally, the company provides assistance to farmers in the designing and installation of their Sprinkler and Drip Irrigation Systems, tailored to meet their specific needs.
RMD generates its revenue through both open market and project market models, with the majority of its revenue derived from the former through the aid of channel partners. The company operates in various states such as Maharashtra, Gujarat, Karnataka, and MP. RMD’s extensive product range encompasses HDPE Pipes, Pipes Fittings, and Irrigation Equipment including drip/sprinkler systems, Disc filters, Screen filters, Hydro-Cyclone filters, Sand (Gravel) filters, Compression fittings, valves (Electric & Mechanical), Fertilizer Tanks, among others.
Industry Overview
Agriculture is a critical contributor to India’s economy, with over 58% of rural households depending on it as their primary source of income. Agriculture, forestry, and fisheries are among the largest contributors to India’s Gross Domestic Product (GDP). The agriculture and allied sectors are expected to account for 17.3% of the Gross Value Added in 2016-17. India is the world’s largest producer, consumer, and exporter of spices, with the second-largest fruit production globally. The horticulture output is estimated at 287.3 million tonnes, ranking India third in farm and agriculture outputs. Agricultural exports constitute 10% of the country’s exports, making it the fourth-largest exported principal commodity. The agro industry in India is divided into several sub-segments, including dairy, canned, processed, frozen food, fisheries, meat, poultry, and food grains.
R M Drip IPO Details
| IPO Date | Sep 19, 2017 to Sep 25, 2017 |
| Listing Date | Oct 4, 2017 |
| Face Value | ₹10 per share |
| Price | ₹53 to ₹57 per share |
| Lot Size | 2000 Shares |
| Total Issue Size | 2,010,000 shares(aggregating up to ₹11.46 Cr) |
| Issue Type | Book Built Issue IPO |
| Listing At | NSE SME |
Company Financial
| FY2013 | FY2014 | FY2015 | FY2016 | FY2017 | ||
| Total revenue | 258.4 | 310.3 | 578.6 | 1,178.5 | 2,872.6 | |
| Total expenses | 247.0 | 306.5 | 532.1 | 1,130.6 | 2,667.1 | |
| Profit after tax | 7.9 | 2.7 | 24.1 | 32.3 | 136.1 |
Objects of the Issue
The object of the issue are to:
1. Funding the working capital requirements of the company;
2. General corporate purpose.
R M Drip IPO Prospectus
Company Contact Information
R M Drip & Sprinklers Systems Ltd
Gat No.475 Village Gonde,
Taluka Sinnar,
Nashik – 422113
Phone: +91-2551-218919
Email: info@rmdrip.com
Website: http://www.rmdrip.com
R M Drip IPO Registrar
Bigshare Services Pvt Ltd
Phone: +91-22-6263 8200
Email: ipo@bigshareonline.com
Website: https://www.bigshareonline.com/
R M Drip IPO Lead Manager(s)
- Pantomath Capital Advisors Pvt Ltd (Past IPO Performance)
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