What you must know about Yash Optics & Lens IPO?

About Yash Optics & Lens IPO

Yash Optics & Lens Limited, established in July 2010 primarily focuses on manufacturing, trading, distributing and supplying a wide variety of spectacle/optical lenses. Their product range spans from basic single vision lenses to advanced progressive lenses including customized and personalized options. Yash Optics & Lens also offer various coatings to enhance lens functionality. Catering to diverse customer segments, they serve everyone from budget conscious consumers to luxury clientele.

Operating from their manufacturing facility in Kandivali (West), Mumbai, India. They handle the entire lens production process based on customer orders and prescriptions. In addition to manufacturing, they also market lenses under their own brands through wholesalers and retail channels. Their manufacturing facility is well equipped with machinery and handling equipment ensuring smooth operations and logistics. Safety is a priority, with the company adhering to safety norms outlined in its internal health and safety manual and conducting regular safety meetings.

For raw materials like semi-finished lenses (CR-39), plastic lenses and blanks, Yash Optics & Lens Limited relies on a network of dependable suppliers. While they maintain strong relationships with these suppliers they typically do not engage in long term supply contracts allowing for flexibility in sourcing materials according to their requirements.

Key Highlights of the Yash Optics & Lens IPO

Here are some of the highlights of the Yash Optics & Lens IPO

• Yash Optics & Lens IPO will be open from 27 Mar 2024 to 3 Apr 2024. Yash Optics & Lens IPO has a face value of ₹10 per equity share and the price band for the Yash Optics & Lens IPO has been fixed between ₹75- ₹81 per share.
• The IPO of Yash Optics & Lens IPO Ltd comprises solely a fresh issue component, with no portion allocated for offer for sale (OFS).
• As part of the fresh issue portion of the IPO, Yash Optics & Lens IPO will issue a total of 65.62 lakh shares, at the upper price band of the IPO of ₹81 per share to raise fresh funds of ₹53.15 crores.
• Since Yash Optics & Lens IPO does not include an offer for sale (OFS) component, the total IPO size is equivalent to the fresh issue size of the IPO, which amounts to ₹53.15 crore.
• Mr. Tarun Manharlal Doshi,  Mr. Chirag Manharlal Doshi and Mr. Dharmendra M Doshi are the promoters of the company. Before the listing, promoter holding in the company stands at 97.45%, post listing on 8 April, promoter holding will be diluted to 71.63%.
• The raised funds will be used for various important purposes. This includes setting up a new manufacturing unit for backward integration, purchasing plant and machinery for our existing manufacturing unit, repaying or prepaying certain loans the company has taken, fulfilling the working capital needs of the company and general corporate requirements and initiatives.
• Shreni Shares serves as the book running lead manager for the Yash Optics & Lens IPO, while Bigshare Services has been appointed as the registrar for the issue. Rikhav Securities will act as a market maker for the Yash Optics & Lens IPO.

Yash Optics & Lens IPO Allocation

In the Yash Optics & Lens IPO, the net offer will be distributed among different categories of investors, including QIB, retail investors and Non Institutional Investors or High Net Worth Individuals (HNIs). The allocation breakdown for the IPO of Yash Optics & Lens is as follows

Lot sizes for investing in the Yash Optics & Lens IPO

The minimum lot size for Yash Optics & Lens IPO investment is 1600 shares, equivalent to ₹129,600 (1600 shares x ₹81 per share), which is also the maximum limit for retail investors to apply. For Yash Optics & Lens IPO HNI/NII investors can invest in a minimum of 2 lots, totaling 3,200 shares with a minimum value of ₹2,59,200. Check the breakdown of lot sizes, share and amounts for retail and HNI categories.

Key Dates for Yash Optics & Lens IPO?

Yash Optics & Lens IPO will open for subscription on Wednesday, 27 March 2024 and close on Wednesday, 3 April 2024. The bidding period for the Yash Optics & Lens IPO will be from 27 Mar 2024, starting at 10:00 AM, until 3 April 2024, closing at 5:00 PM. For Yash Optics & Lens IPO cut off time for UPI Mandate confirmation is 5:00 PM on the closing day of the IPO, which falls on 2 Apr 2024.

Financial Highlights of Yash Optics & Lens IPO

Here's a summary of the key financial figures of Yash Optics & Lens IPO for the last three completed financial years:

Profit After Tax for Yash Optics & Lens IPO has shown good growth over the past three fiscal years. In FY21 PAT stood at ₹106.31 Lakhs. In FY22 PAT jumped to ₹681.67 Lakhs indicating an improvement compared to FY21. In the recent financial year, FY23, there was a surge in PAT to ₹806.58 Lakhs representing a multifold jumap from FY21.

Yash Optics & Lens IPO Vs Peer Comparison

When we compare Yash Optics & Lens with its peer Gkb Ophthalmics Limited, Yash Optics & Lens seems to be in a stronger position. This is because Gkb Ophthalmics Limited has negative earnings per share (EPS) and a negative price-to-earnings (P/E) ratio, indicating financial difficulties. On the other hand, Yash Optics & Lens has a positive EPS, although it might be slightly below the industry average. Nonetheless, having a positive EPS means that Yash Optics & Lens is making profits, which is generally seen as positive by investors.