Laxmi Dental Limited IPO (Laxmi Dental IPO) Detail Review –
Laxmi Dental Limited IPO (Laxmi Dental IPO) is set to open for subscription from 13th Jan 2025 to 15th Jan 2025. In this article we will analyze the financials , strengths and weaknesses of the Laxmi Dental Limited IPO (Laxmi Dental IPO). Keep scrolling below to read more!
Laxmi Dental Limited IPO (Laxmi Dental IPO) Overview –
Established in 2004, Laxmi Dental Limited is an integrated dental products company. The company offers custom crowns and bridges, branded dental items like clear aligners and thermoforming sheets, aligner-related products as part of its aligner solutions, and pediatric dental products.
Their product portfolio includes custom crowns and bridges, clear aligners, thermoforming sheets, pediatric dental products, and more.
The company offers thermoforming sheets, bio compatible 3D printing resins, and machines for manufacturing clear aligners under the brand name Taglus.
The company operate a fully integrated model, meaning they handle the entire process from design and manufacturing to distribution of dental products.
As of September 30, 2024, the company has six manufacturing facilities: three in Mira Road, Mumbai, two in Boisar, and one in Kochi, along with five supporting facilities in Mumbai, Delhi, Bengaluru, and Ahmedabad.
As of September 30, 2024, the company’s dental network includes over 22,000 clinics and dentists across more than 320 cities nationwide.
The company has significant presence in both domestic and international markets, exporting to over 90 countries.
As of September 30, 2024, the company had 2,372 employees in various departments.
Competitive strengths
- The only integrated dental products company in India, well-positioned to capture industry tailwinds;
- Second largest player in domestic laboratory business and largest export laboratory with increasing adoption of digital dentistry;
- Vertically integrated diverse branded product portfolio;
- Large Dental Network provide a competitive advantage in the market;
- Robust technologically advanced capabilities with stringent regulatory compliance ensuring high quality standards.
Laxmi Dental Limited IPO (Laxmi Dental IPO) Synopsis –
Laxmi Dental Limited IPO (Laxmi Dental IPO) is set to be open for subscription from 13th Jan 2025 to 15th Jan 2025, offering combination of fresh issue of 0.32 crore shares aggregating to Rs 138.00 crores and offer for sale of 1.31 crore shares aggregating to Rs 560.06 crores. This NSE,BSE IPO follows a Book Built Issue IPO with tentative listing date fixed as Monday, January 20, 2025.
The total issue size of this IPO amounts to Rs. 698.06 Crores. The company has allocated shares 10% to retail investors, 75% to institutional and 15% to non institutional investors.
| Particulars | Details |
| Opening Date | 13th Jan 2025 |
| Closing Date | 15th Jan 2025 |
| Lot Size | 33 Shares |
| Face Value | Rs 2 |
| IPO Size | Rs. 698.06Cr |
| Fresh Issue | Rs. 138.00 Cr |
| IPO Price Range | Rs. 407 – 428 |
| Min. Investment | Rs. 14,124 |
| Offer for Sale (OFS) | Rs. 560.06 Cr |
| Employee Discount | — |
| Basis of Allotment | 16th Jan 2025 |
| Refunds | 17th Jan 2025 |
| Listing Date | 20th Jan 2025 |
| DRHP Draft Prospectus: | Click Here |
| RHP Draft Prospectus: | Click Here |
Laxmi Dental Limited IPO (Laxmi Dental IPO) Market Lot –
Laxmi Dental Limited IPO (Laxmi Dental IPO) minimum market lot is 33 shares with ₹14,124 application amount. The retail investors can apply up to 13 lots with 462 shares or ₹1,97,736 amount.
| Application | Lot Size | Shares | Amount |
| Retail Minimum | 1 | 33 | ₹14,124 |
| Retail Maximum | 13 | 462 | ₹1,97,736 |
| S-HNI Minimum | 14 | 495 | ₹2,11,860 |
| S-HNI Maximum | 70 | 2,310 | ₹9,88,680 |
| B-HNI Minimum | 71 | 2,343 | ₹10,02,804 |
Laxmi Dental Limited IPO (Laxmi Dental IPO) Book Running Lead Managers –
Nuvama Wealth Management Limited
Motilal Oswal Investment Advisors Limited
SBI Capital Markets Limited.
Laxmi Dental Limited IPO (Laxmi Dental IPO) Promoters –
Rajesh Vrajlal Khakhar
Sameer Kamlesh Merchant
Dharmesh Bhupendra Dattani.
Pre-Issue Promoter Shareholding | 46.56% |
Post-Issue Promoter Shareholding | — |
Laxmi Dental Limited IPO (Laxmi Dental IPO) Registrar to the offer –
The registrar for the Laxmi Dental Limited IPO (Laxmi Dental IPO) is Link Intime India Pvt Ltd. They are responsible for ensuring the IPO allotment and refund processes are carried out smoothly.
The Objective Of The Issue –
The company desires to use the Net Proceeds from the Issue to fulfill its following goals:
- Repayment/prepayment, in full or in part, of certain outstanding borrowings availed by our Company.
- Investment in certain Subsidiaries for the repayment/prepayment, in full or in part, of certain outstanding borrowings
- Funding the capital expenditure requirements for purchase of new machinery for our Company.*
- Investment in our Subsidiary, Bizdent Devices Private Limited, for the capital expenditure requirements for the purchase of new machinery
- General corporate purposes.
Key Performance Indicator –
The market capitalization of Laxmi Dental Limited is Rs 2,352.38 Cr.
KPI as of March 31, 2024.
| KPI | Values |
| ROE: | 78.78% |
| ROCE: | 19.97% |
| EBITDA Margin: | 12.29% |
| PAT Margin: | 13.03 |
| Debt to equity ratio: | 0.94 |
| Earning Per Share (EPS): | ₹5.11 (Basic) |
| Price/Earning P/E Ratio: | N/A |
| Return on Net Worth (RoNW): | 78.78% |
| Net Asset Value (NAV): | ₹8.63 |
Financial Status –
The company reported revenue of ₹195.26 crores in 2024 against ₹163.84 crore in 2023. The company reported profit of ₹25.23 crores in 2024 against loss of ₹4.16 crores in 2023.
Below is the synopsis of the company’s financial data for the financial year that concluded on 31 Sep 2024.
The company’s total assets are Rs. 158.22 crore.
The company’s total revenue is Rs. 117.9 crore.
The company’s PAT is Rs. 22.74 crore.
The company’s net worth is Rs. 67.09 crore
| Period Ended | 30 Sep 2024 | 31 Mar 2024 | 31 Mar 2023 | 31 Mar 2022 | ||||||||||||||||||||||||||||||||||||
| Total Assets | 158.22 | 134.52 | 96.54 | 102.75 | ||||||||||||||||||||||||||||||||||||
| Revenue from operations | 117.9 | 195.26 | 163.84 | 138.07 | ||||||||||||||||||||||||||||||||||||
| Profit After Tax | 22.74 | 25.23 | -4.16 | -18.68 | ||||||||||||||||||||||||||||||||||||
| Net Worth | 67.09 | 44.57 | 19.48 | 22.94 | ||||||||||||||||||||||||||||||||||||
| Reserves and Surplus | ||||||||||||||||||||||||||||||||||||||||
| Total Borrowing | 40.91 | 42.03 | 31.44 | 29.63 | ||||||||||||||||||||||||||||||||||||
| Amount in ₹ Crore | ||||||||||||||||||||||||||||||||||||||||
Evaluation of P/E Ratio :
Considering the FY ended 31 Mar 2024 with an EPS of Rs.4.80 from the last year, the resulting P/E ratio is 89.17x.
Considering the weighted EPS of Rs.1.55 for the last three years, the P/E ratio is 276.13x.
Comparative Analysis with Listed Peers
The average P/E Ratio of the industry is 94.02x.
In simple words, the P/E ratio of this IPO (89.17x), compared with the industry’s average P/E of 94.02x, has an undervaluation (on a P/E ratio basis only). Hence the price of the Share seems fully priced for the investors when considered based on the average P/E ratio of the industry.
Peers of Laxmi Dental Limited IPO (Laxmi Dental IPO) –
Laxmi Dental Limited peer comparison with similar listed entities.
| Company Name | EPS | NAV | P/E (x) | RoNW (%) | P/BV Ratio |
|---|---|---|---|---|---|
| Laxmi Dental Limited | 4.8 | 8.63 | 78.78 | ||
| Poly Medicure Ltd. | 26.92 | 153.22 | 94.02 | 19.05 | 16.53 |
Dividend Policy –
The company has not paid a dividend in the last three FYs.
Laxmi Dental Limited IPO (Laxmi Dental IPO) Strengths –
This is the only fully integrated dental products company in the country that is well-poised to capture the opportunities of future tailwinds in the industry.
Second-largest player in the domestic laboratory business, and largest export laboratory besides witnessing strong adoption for digital dentistry.
Vertically integrated diverse branded product portfolio.
Large Dental Networks provide a market competitive advantage.
Robust technologically advanced capabilities and strict regulatory compliance supervision for excellent quality standards.
Laxmi Dental Limited IPO (Laxmi Dental IPO) Weakness –
Declining Financial Figures and Negative Returns: The company has reported losses after tax in consolidation and negative earnings per share for the Fiscals 2023 and 2022, and it has written off assets over the last three fiscal years. There is no guarantee that these challenges are likely to continue in the future.
Reliance on Reputation and Brand Image: This business is hugely dependent on its reputation and brand image. Any such publicity, damage to the brand, failure to retain and build an image, or not being able to uphold quality standards would add negativity to the operations of the business.
Concentrated Manufacturing Facilities: All critical manufacturing assets reside in Mumbai and the surrounding areas. So, any problem in this region can affect the business, financial health, and profit and loss account of the company severely.
Laxmi Dental Limited IPO (Laxmi Dental IPO) Status –
Laxmi Dental Limited IPO (Laxmi Dental IPO) allotment status will be available on the Link Intime India Pvt Ltd website. Click on this link to get allotment status.
Disclaimer –
- Don’t decide to subscribe to an IPO just based on the initial price, as it can change before the listing. Subscribe only after considering fundamentals of the companies.
Conclusion –
Hope the details presented in this blog will assist you in learning about the financial performance of the company. Before making an investment in the company’s upcoming initial public offering (IPO), thoroughly research the company, its finances, business prospects, and market trends.
Also, investors should consult their financial advisor, conduct further due diligence, analyze industry trends and the competitive landscape, and consider risk factors before making an investment decision.
For all such latest information on upcoming IPOs, keep visiting our website.
