Victory Electric Vehicles IPO Opens Jan 7: ₹35 Crore Issue at ₹41 Per Share
Victory Electric Vehicles International Limited launches ₹35 crore IPO on NSE SME from January 7-9 at ₹41 per share with 0% grey market premium. The electric vehicle manufacturer operates across 12 states with diverse product portfolio including e-rickshaws and cargo vehicles, reporting ₹51.06 crore revenue and ₹5.17 crore PAT in recent financials.
*this image is generated using AI for illustrative purposes only.
Victory Electric Vehicles International Limited has announced its Initial Public Offering (IPO) worth ₹35.00 crores, scheduled to open on January 7 and close on January 9. The NSE SME-bound IPO is priced at ₹41 per share with a grey market premium (GMP) of 0%, indicating muted investor expectations for listing gains. The company will complete allotment on January 12, with listing scheduled for January 14 on NSE SME.
IPO Structure and Investment Requirements
The IPO comprises entirely of fresh issue, offering 84.30 lakh shares at ₹41 apiece, valuing the business at a pre-IPO market cap of nearly ₹99.00 crores. The fixed price issue has specific investment requirements for different investor categories.
| Parameter: | Details |
|---|---|
| Issue Size: | ₹35.00 crores |
| Share Price: | ₹41 per share |
| Shares Offered: | 84.30 lakh shares |
| Pre-IPO Market Cap: | ₹99.00 crores |
| Grey Market Premium: | 0% |
| Lot Size: | 3,000 shares |
Retail investors are required to invest a minimum of ₹2.46 lakh for one application, as they must apply for two lots totaling 6,000 shares. High net-worth individuals need to bid for at least three lots, translating to an investment of ₹3.69 lakh.
Business Operations and Product Portfolio
Incorporated in 2018 and converted to a public limited company in 2020, Victory Electric Vehicles International Limited specializes in designing and manufacturing electric mobility solutions. The company's product portfolio includes electric two-wheelers, three-wheelers, and small commercial EVs such as e-rickshaws, electric cargo loaders, and customized three-wheelers for food vending and cold storage transport applications.
| Business Metrics: | Details |
|---|---|
| Manufacturing Capacity: | 6,000 electric vehicles |
| Geographical Presence: | 12 states |
| Incorporation Year: | 2018 |
| Public Company Conversion: | 2020 |
| International Presence: | Select markets |
The company operates across 12 states in India including Uttar Pradesh, Rajasthan, Haryana, Bihar, Madhya Pradesh, Jharkhand, Delhi, Chandigarh, Uttarakhand, Jammu & Kashmir, Gujarat, and Maharashtra, with established dealer networks in all operational states.
Financial Performance Analysis
The company has demonstrated sharp growth in profitability over the last two years, though revenue has been uneven. Total income stood at ₹51.06 crores, compared with ₹48.76 crores a year earlier. Profit after tax rose to ₹5.17 crores from ₹4.89 crores in the previous year.
| Financial Metrics: | Current Year | Previous Year | Change |
|---|---|---|---|
| Total Income: | ₹51.06 crores | ₹48.76 crores | +4.72% |
| Profit After Tax: | ₹5.17 crores | ₹4.89 crores | +5.73% |
| PAT Margin: | 10.13% | 10.03% | +0.10% |
For the six months ended September, the company reported revenue of ₹16.90 crores and profit after tax of ₹1.62 crores, indicating continued operational performance.
Fund Utilization and Market Sentiment
Proceeds from the issue will primarily be used to fund capital expenditure, working capital requirements, and general corporate purposes. The company plans capital expenditure of ₹5.00 crores for equipment installation including Optical CNC Cutting Machine and Conveyorized Liquid Painting Plant.
| Fund Utilization: | Amount (₹ Crores) | Percentage |
|---|---|---|
| Capital Expenditure: | 5.00 | 14.29% |
| Working Capital: | 18.00 | 51.43% |
| General Corporate Purposes: | 12.00 | 34.29% |
Despite the EV theme, market sentiment around the IPO appears cautious. The absence of a grey market premium suggests investors are not expecting near-term listing gains. The IPO's subscription response over the next three days will determine whether institutional and retail investors see value beyond the subdued grey market indicators.
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