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New Delhi: Rolex Rings IPO share listing has been done today at BSE and NSE. Rolex Rings Shares have made debut in stock market in grand manner. Rolex Rings is a forged and machine bearing rings and automotive components manufacturing company.Also Read - How Virat Kohli Has Changed The Environment of Team India, Former Australian Spinner Brad Hogg Explains

Rolex Rings Share Price Check Direct Links

Rolex Rings Shares have been listed on BSE and NSE on Monday i.e August 9.

If you want to check Rolex Rings Share Price on BSE, you need to go to https://www.bseindia.com/stock-share-price/rolex-rings-ltd/rolexrings/543325/

Rolex Rings Share Price on NSE can be checked at https://www.nseindia.com/get-quotes/equity?symbol=ROLEXRINGS

Rolex Rings IPO Price, Rolex Rings IPO Details

Rolex Rings Share Price: Automaker Sees Strong Debut, Lists at 39% Premium over Issue

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Rolex Rings shares made a healthy listing on the bourses on Monday. The share of Rolex Rings got listed at ₹1,250 on the National Stock Exchange (NSE), registering 38 per cent gains over the issue price of Rs 900 per share. On Bombay Stock Exchange (BSE), the stock started off the day at ₹1,252 per share. Rolex Rings initial public offer (IPO) opened for subscription from July 28-30. The Rs ₹731-crore issue received a bumper response from the investors. The issue was oversubscribed by 130.44 times, fifth highest subscription seen by any IPO. Rolex Rings IPO received bids for 74,16,00,096 shares compared with 56,85,556 shares on offer. The portion for qualified institutional buyers (QIBs) was subscribed 143.58 times. The non-institutional investor category received 360.11 times subscription. The quota reserved for retail individual investors (RIIs) was subscribed 24.49 times.

The automaker aimed to raise Rs 731 crore with the help of a fresh issue of equity shares worth Rs 56 crore and an offer for sale of up to 75 lakh equity stocks by Rivendell PE LLC (formerly known as NSR-PE Mauritius LLC). Rolex Rings proposed to utilise the Net Proceeds from the Fresh Issue towards funding the following objects: 1) Funding long-term working capital requirements (Rs 450 million) and 2) General corporate purposes

Rolex Rings is one of the top five forging companies in India in terms of installed capacity and a manufacturer and global supplier of hot rolled forged and machined bearing rings, and automotive components for segments of vehicles including two-wheelers, passenger vehicles, commercial vehicles, off-highway vehicles, electric vehicles), industrial machinery, wind turbines and railways, amongst other segments. It supply domestically and internationally to large marquee customers including some of the leading bearing manufacturing companies, tier-I suppliers to global auto companies and some auto OEMs. SKF India Limited, Schaeffler India Limited Timken India Limited, NEI and NRB collectively account for 81% of the market share of Indian bearing industry. It is one of the key manufacturers of bearing rings in India and caters to most of the leading bearing companies in India.

“The IPO is valued at 28.2x of FY21 earnings, which appears to be attractive considering peers’ valuations and strong return ratios. Its peers like Bharat Forge and RK Forgings command premium valuations despite generating subpar return ratio compared to RRL. We believe strong outlook for auto ancillary companies especially the forging companies with visible pick-up in demand around the globe should aid RRL to record healthy growth in the ensuing years. Further, possibility of further improvement in balance sheet, industry-leading return ratio and healthy clientele base augur well for the company," Reliance Securities said in a note.

“Rolex Rings Ltd was incorporated in 2003, one of the top five forging companies in India. It has installed 4.7 Mn MTPA forging capacity of India’s forging industry and one of the key supplier of bearing rings in India. Rolex rings is one of the Tier-I supplier, supplies to global auto companies and some auto OEMs across automobile & automotive industry. It has in-house engineering, design tooling and die-making and raw materials are sourced from customer approved vendors. In most of the customer contracts, raw material cost pass through to the customers. The company supplies domestic as well as international automotive companies and having 60 customers across 17 countries including Germany, France, Italy, Thailand, Czech Republic, USA and others. At a upper price band of INR 900 stock is trading at a P/E multiple of 24.8(x). We believe Rolex Rings Ltd is a good long term proven business model with Comprehensive product portfolio, Integrated manufacturing facilities, strong and long term relationship with key customers, experienced management team and recovery in auto & automotive industry will lead the growth for the company," said Arihant Capital.

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Rolex Rings IPO: Shares list at Rs 1200, 33% premium over IPO price

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Leading forging company Rolex Rings shares had a bumper debut as the stock listed with a premium of 33 percent over issue price of Rs 900 per share on August 9.

The stock opened at Rs 1200 on the BSE.

The listing was in line with analyst expectations considering its massive grey market premium of 50 percent, stellar subscription numbers, favourable secondary market conditions, sticky clientele and positive outlook over bearing rings and auto components industry.

The Rs 731-crore public issue of the automotive components manufacturer had seen overwhelming response from investors as it was oversubscribed by 130.44 times during July 28-30. The portion set aside for qualified institutional buyers was subscribed 143.58 times, non-institutional investors portion was booked 360.11 times and the retail portion witnessed 24.49 times subscription.

The offer had comprised a fresh issue of Rs 56 crore and an offer for sale of Rs 675 crore by Rivendell PE LLC. The company will utilise the net proceeds from fresh issue for working capital requirements.

Majority of brokerage houses had recommended a subscribe rating for Rolex Rings IPO. “At the upper band of IPO price of Rs 900, it is valued at a P/E multiple of 35 (on recalculated EPS excluding the Rs 25 crore deferred tax credit) which is lower than the industry average of 83,” said KRChoksey Research.

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Considering the company’s long standing relationships and diverse product portfolio in the wake of not so robust financials, concentrated client base and sub-optimal capacity utilisation, the brokerage recommended a ‘subscribe’ for listing gains.

Nirmal Bang also recommended subscribing to the issue, from a long term perspective.

“Rolex is a proxy play on global growth in the industries of bearings and auto components. With global as well as domestic industrial investment cycle having troughed out last year, we expect a gradual recovery to have a positive rub-off on auto ancillary plays such as Rolex. We observe that Rolex’s financial metrics as well as valuations are broadly in line with that of other players. The historical growth is lagging others which is compensated by the company’s higher return ratios,” the brokerage reasoned.

Rolex Rings is one of the top five forging companies in India, designing, manufacturing and supplying hot rolled forged and machined bearing rings, and automotive components for vehicles including two-wheelers, passenger vehicles, commercial vehicles, off-highway vehicles, electric vehicles, industrial machinery, wind turbines and railways.

Rolex supplies its products to leading bearing manufacturers such as SRF India, Schaeffler India and Timken India which account to 81 percent of the market share of Indian bearings industry.

Rolex has three manufacturing plants in Rajkot with 22 forging lines, from where it supplies its products to over 60 customers in 17 countries, primarily located in India, US and EU countries. Its overseas revenue formed 56 percent of total 70 percent of the 10 largest customers have been with the company for over a decade.

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