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

]

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.

Read all the Latest News, Breaking News and Coronavirus News here

]

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 - Good News From IRCTC: Now You Can Celebrate Birthdays on Moving Train, Just Book Tickets With Tejas Express

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 Makes Stellar Stock Market Debut, Lists At Premium Of 39%

]

Rolex Rings received 74.16 crore bids for a little over 56.85 lakh shares on the offer.

Rolex Rings shares made a stellar stock market debut on Monday. Rolex Rings shares opened for trading at Rs 1,250, up 39 per cent from issue price of Rs 900 per share. The stock rose as much as 40 per cent to hit an intraday high of Rs 1,263 per share. Rolex Rings shares were in very high demand during the three-day share sale via initial public offering which ended July 30. The country’s 28th IPO of the year was subscribed 130.44 times.

Rolex Rings received 74.16 crore bids for a little over 56.85 lakh shares on the offer. A total of 5.47 crore bids were received at the cut-off price. Rolex Rings IPO received stupendous response from non-institutional investors as the portion reserved for them was subscribed 294.18 times.

Rolex Rings' Rs 731 crore IPO consisted of fresh issue of Rs 56 crore and an offer for sale of up to Rs 675 crore. The company sold shares in the price band of Rs 880-900 per share and retail investors were allowed to buy shares in minimum 1 lot of 16 shares up to maximum of 13 lots. At the upper end of the price band one lot of Rolex Rings IPO was priced at Rs 14,400.

Ahead of the IPO, Rolex Rings raised Rs 219 crore from anchor investors, including ICICI Prudential MF, Axis MF, HDFC Mutual Fund, Aditya Birla Sun Life MF, SBI MF, Kotak MF, L&T MF and HDFC Life Insurance Company, at a price of Rs 900 per share.

Rolex Rings, based at Rajkot in Gujarat, is among top five forging companies in India. It is a manufacturer and global supplier of hot rolled forged and machined bearing rings and offers components for two-wheelers, passenger vehicles, commercial vehicles, off-highway vehicles and electric vehicles.

As of 10:03 am, Rolex Rings shares were trading at Rs 1,200, up 33 from issue price but down 4 per cent from opening price.