Gabriel Pet Straps Limited IPO Message Board (Page 5)

​@Admin @ Chittorgarh.com 
Pls correct the eps and Pe of the company...

Yes shud not be missed... Decent ipo

Applied one application of 14 lots

Hello, SME ipo jo ache hote hain wo kabhi allot kyu ni hote ????? Kya kare ki allot ho kabhi toh

Sirf apply kartey raho.. Bina salary wali duty samajh kar.. waqt jaroor badlega..!!

anyone with 30/35 lot HNI application?

Major concern is too high valuation. Positive hints are Shreni+Rajkot+small Issue size, Khel ho sakta hai. Will try my luck.

LATEST GMP?

Did funds unblock ??!

Sorry, it was for Megatherm

Very highly priced. Apart from LM there is no spark. High risk taker are going to apply. Lets see till 2 o cock today and then decide after looking at GMP. High risk with low gain is possible as subscription will be high

LM with blockbuster record
Company is engaged in the manufacturing and selling “Gabriel” brand of Pet Straps, having distributor network in 10 states. Around 90% of company’s production is used in strapping of cotton bales.
Material cost as % of sales has gone up from 76% for 22-23 to 82% for H1FY24. This indicates a commoditized business.
High Debt Equity ratio of 3.1 however interest coverage ratio is reasonable at 2.6.
Company intends to utilize IPO proceeds for buy land which will house a solar plant, investing in solar plant and repayment of borrowings. Borrowings to be repaid are from NBFC and carry interest rate between 16.50% to 17.25%. All NBFC repayments carry prepayment penalty of 4-5%. Large NBFC borrowing for a commoditized business should be a concern.
Land to be purchased is from 1 seller Mr Hasmukh Varsada while 1 of the directors is Mr Vimal Varsada. Management says the seller is not related to the company or its promoters or its Directors.
The land to be purchased, 1.86 acres, is @ Rs 244 per square feet which appears to be reasonable. However while government and all agencies are promoting roof top solar installations why the company is buying land for solar plant is not explained. And the factory, measuring 22,346 square feet is not having any roof top solar plant currently.
Company had 26 employees as o 31-Oct-23 while it has deposited PF for 10 employees for Oct-23.
Poor cash flow. PBT for 3 ½ years is Rs 131 lacs while CFOB4T is Rs (-ve) 250 lacs
While promoters seem to be having hands on experience, 2 of the Directors, Mr Vimal Varasada and Mr Vivek Kavathiya are not even graduates. One of the director Mr Sandip Patidar is based Neemuch, wonder how may times he would be visiting the company office for any worthwhile contribution.
While company intends to pay off NBFC borrowings, it had given advance of Rs 69.5 lacs to Gabriel Tradlinks, a related party.
Capacity utilisation YTD FY24 is 88.6% which leaves little scope for further production increase. Whether company plans to expand capacity in future and how it will be funded is not disclosed. IPO proceeds are not going be used for buying plant & machinery.
No significant litigation involving company or its directors.
High level of inventory and receivables although all receivables as on 5-Oct-23 are less than 6 months.

Is there something left on the table which I am not able to see apart from Shreni magic? It seems to be garnering some interest..

Small size of issue @Sanchit Jain 

In terms of absolute interest, Retailers had committed 82 Cr with 1 day to go in Baweja, and have committed 72 Cr with 1 day to go here

NIIs had committed 16 Cr with 1 day to go in Baweja, and have committed 17 Cr with 1 day to go here. So overall very similar, and Baweja was a a very tepid subscription.

I'll take a deeper look at this issue tomorrow afternoon

SME company with PE ratio = 90. Too much expensive. Avoiding this one.

100% avoid candidate for me. Not applying even if the GMP gets bumped up later.

A very small issue, allotment will be difficult. These days, SME IPOs are coming up with more volume issues

Valuation looks expensive

90% GMP ka condident h or aap bol rhe ho expansive h

SHRENI.............Minimum 20% listing gain ......guaranteed.

Bach ke rehna re baba...

Pet straps..will put a strap around retail investors like a pet.

Land acquisition ke liye ipo.. ..👻