Paramount Speciality Forgings IPO Details

Incorporated in 1994, Paramount Speciality Forgings Limited (PSFL) is a leading manufacturer of steel forgings in India, catering to a diverse range of industries with its wide array of forged products. With a strong focus on meeting national and international standards, the company’s products serve critical applications across various sectors such as petrochemicals, oil and gas, fertilizers, nuclear power, heavy engineering, and more. Over the years, the company has built a reputation for excellence in forging technology and quality management.

Manufacturing Facilities and Product Portfolio

Paramount Speciality Forgings Limited operates two state-of-the-art manufacturing facilities located in Kamothe and Khalapur in Maharashtra, India. These facilities are equipped with advanced technology that enables the company to produce high-quality forged products tailored to the specific requirements of its clients.

The company’s product range includes:

Tube Sheet Blanks
Forged Rings
Spacers
Girth Flanges
Tyre Rings
Self-reinforced Nozzles
Long Weld Neck Flanges
Seats
Valve Bodies
Bonnets
These products are extensively used in industries where precision, strength, and durability are of utmost importance. The company’s expertise in manufacturing complex and large forgings makes it a preferred supplier for many high-demand industries.

Quality Certifications and Accreditations

The company’s closed dye plant is certified under various international standards, ensuring the highest quality of production. Paramount Speciality Forgings Limited holds certifications such as:

ISO 9001-2008 for Quality Management
ISO 14001-2004 for Environmental Management
BS OHSAS 18001-2007 for Occupational Health and Safety
Moreover, the company is accredited by several reputed oil and gas companies, statutory bodies, and inspection agencies. These certifications highlight the company’s commitment to maintaining high standards of quality, safety, and environmental responsibility.

Competitive Strengths of Paramount Speciality Forgings Limited
Experienced Management Team Paramount Speciality Forgings Limited boasts a highly experienced management team that has extensive knowledge of the forging industry. The leadership team is responsible for driving operational efficiency, innovation, and financial growth, positioning the company as a leader in its field. Their strategic vision has helped the company maintain a strong foothold in the competitive steel forgings market.

Focus on Quality Quality is at the heart of Paramount’s operations. The company has implemented various measures to enhance productivity, reduce waste, and improve product quality. Some of the key initiatives include:

Automation of Manufacturing Processes: This move has significantly increased productivity while reducing manpower costs.
Optimized Machining Lines: The company has designed machining lines to combine multiple processes on a single machine, which has resulted in reduced production costs.
Material Efficiency: Paramount has made efforts to minimize the input weights required for forging products, resulting in substantial material cost savings.
Long-term Customer Relationships Paramount Speciality Forgings Limited has cultivated strong, long-term relationships with its customers by providing expert services and consistently delivering high-quality products. These relationships have fostered customer retention and encouraged repeat business, which is vital for sustained growth in the industrial sector.

Effective Branding and Digital Marketing Paramount places a significant emphasis on brand visibility through multiple marketing channels. The company’s branding efforts extend across retail branding, magazine advertisements, outdoor promotions, web marketing, and digital marketing initiatives. This comprehensive approach has helped the company strengthen its market presence and engage effectively with potential clients.

Objectives of the Paramount Speciality Forgings IPO
Paramount Speciality Forgings Limited has announced its Initial Public Offering (IPO), and the company plans to use the proceeds from this IPO for the following purposes:

Capital Expenditure: A portion of the funds raised will be allocated towards purchasing machinery and equipment necessary for the expansion of the Khopoli plant. This expansion is expected to increase the company’s production capacity, enabling it to cater to a larger customer base.

General Corporate Purposes: The remaining proceeds will be used for general corporate purposes, allowing the company to enhance its working capital and support day-to-day operations.

Paramount Speciality Forgings IPO Details
IPO Date: September 17, 2024, to September 19, 2024
Face Value: ₹10 per share
Price Band: ₹57 to ₹59 per share
Lot Size: 2000 shares
Total Issue Size: 5,482,000 shares (aggregating up to ₹32.34 Cr)
Fresh Issue: 4,802,000 shares (aggregating up to ₹28.33 Cr)
Offer for Sale: 680,000 shares of ₹10 (aggregating up to ₹4.01 Cr)
Issue Type: Book Built Issue IPO
Listing At: NSE SME
Shareholding Pattern Pre and Post IPO
Pre-issue Shareholding: 14,880,000 shares
Post-issue Shareholding: 19,682,000 shares
IPO Reservation
The IPO shares have been reserved as follows:

Qualified Institutional Buyers (QIB): Not more than 50.00% of the net offer
Retail Investors: Not less than 35.00% of the net issue
Non-Institutional Investors (NII): Not less than 15.00% of the net issue
Paramount Speciality Forgings IPO Lot Size
The minimum lot size for retail investors is 2,000 shares, with a corresponding investment amount. Here is the breakdown of minimum and maximum investments:

Application Lots Shares Amount (₹)
Retail (Min) 1 2000 ₹118,000
Retail (Max) 1 2000 ₹118,000
IPO Timeline (Tentative Schedule)
IPO Open Date: September 17, 2024
IPO Close Date: September 19, 2024
Basis of Allotment: September 20, 2024
Initiation of Refunds: September 23, 2024
Credit of Shares to Demat Accounts: September 23, 2024
Listing Date: September 24, 2024
Cut-off Time for UPI Mandate Confirmation: 5 PM on September 19, 2024
Promoter Details of Paramount Speciality Forgings IPO
The company is promoted by a group of experienced individuals:

Aliasgar Roshan Hararwala
Aliasgar Abdulla Bhagat
Mohammed Salim Hararwala
Abdulla Aliasgar Bhagat
Hoozefa Saleem Hararwala
Abbasali Salim Hararwala
Zahid Mohamadi Hararwala
Roshan Alihusain Hararwala
Paramount Speciality Forgings IPO Registrar
The IPO registrar is Purva Sharegistry India Pvt Ltd. Below are the contact details for the registrar:

Phone: +91-022-23018261/ 23016761
Email: [email protected]
Website: Purva Sharegistry

Conclusion
Paramount Speciality Forgings Limited has established itself as a key player in the Indian steel forgings industry with a solid foundation built on quality, efficiency, and customer satisfaction. Its upcoming IPO provides an exciting opportunity for investors to participate in the growth of a company that is well-positioned to capitalize on the expanding industrial demand for forged products. The funds raised through the IPO will help the company expand its operations and continue its journey towards achieving greater milestones in the forging sector.