Royal Arc Electrodes Limited, established in January 1996, is a manufacturer of welding consumables, including welding electrodes, flux-cored wires, and MIG/TIG wires. These products are widely used in welding applications for tanks, boilers, heavy structures, beams, pipes, cylinders, and pressure vessels across various industries such as rail and road transportation, airport infrastructure, refineries, shipyards, mines, sugar, telecom, thermal power plants, and pre-engineered building (PEB) sectors.
In addition to welding consumables, the company also deals in by-products like wheels, electroslag, cored wires, electroslag tapes, saw powders, and TIG/MIG wires. Its product portfolio includes copper-coated wires, MS strips, MS wires, SS strips, SS wires, nickel wires, and ferro-alloy powders, all manufactured to international standards. The company operates a sophisticated and technically advanced manufacturing facility located in Zaroli, Umbergaon, Valsad, Gujarat, India.
The Royalarc Electrodes IPO is set to open on February 14, 2025, and will close on February 18, 2025. The price band for the IPO is ₹114 to ₹120 per share, with the allocation divided as follows: 35% for retail investors, 50% for Qualified Institutional Buyers (QIBs), and 15% for High Net-Worth Individuals (HNIs). The shares are expected to be listed on the National Stock Exchange (NSE) on February 21, 2025, with the allotment date scheduled for February 19, 2025.
In terms of financial performance, the company reported a revenue of ₹100.99 crores in 2024, up from ₹98.03 crores in 2023. Its profit also increased, reaching ₹11.93 crores in 2024 compared to ₹9.57 crores in 2023. This growth reflects the company’s steady performance and its strong presence in the welding consumables and related industries.
Royalarc Electrodes IPO Details
| IPO Open Date: | February 14, 2025 |
| IPO Close Date: | February 18, 2025 |
| Face Value: | ₹10 Per Equity Share |
| IPO Price Band: | ₹114 to ₹120 Per Share |
| Issue Size: | Approx ₹36.00 Crores |
| Fresh Issue: | Approx ₹21.60 Crores |
| Offer for Sale: | Approx 12,00,000 Equity Shares |
| IPO Listing: | NSE SME |
| Retail Quota: | Not more than 35% |
| QIB Quota: | Not more than 50% |
| NII Quota: | Not more than 15% |
Royalarc Electrodes IPO Timeline
| IPO Open Date: | February 14, 2025 |
| IPO Close Date: | February 18, 2025 |
| Basis of Allotment: | February 19, 2025 |
| Refunds: | February 20, 2025 |
| Credit to Demat Account: | February 20, 2025 |
| IPO Listing Date: | February 21, 2025 |
Royalarc Electrodes SME IPO Lots
| SME IPO Activity | Date |
|---|---|
| Issue Price | ₹114.00-120.00 |
| Market Lot: | 1,200 Shares |
| 1 Lot Amount: | ₹1,44,000 |
| Min Small HNI Lots(2-10 Lakh): | 2400 shares (2 lots) – ₹2,88,000 |
| Min Big HNI Lots(10+ Lakh): | 8400 shares (7 lots) – ₹10,08,000 |
Royal Arc Electrodes Ltd: Financial Performance & Growth Insights
| Period Ended | 30 Sep 2024 | 31 Mar 2024 | 31 Mar 2023 | 31 Mar 2022 |
| Assets | 55.69 | 52.25 | 43.85 | 42.48 |
| Revenue | 46.06 | 100.99 | 98.03 | 64.82 |
| Profit After Tax | 3.18 | 11.93 | 9.57 | 2.12 |
| Net Worth | 45.45 | 42.27 | 30.35 | 20.78 |
| Reserves and Surplus | 36.15 | 32.97 | 28.53 | 18.96 |
| Total Borrowing | 2.02 | 0.2 | 1.42 | 7.81 |
