Aureate Tradde IPO

About this issue

Aureate Tradde listed at 0.0% against its issue price of ₹70. The book is 1.43 times subscribed overall. The grey market premium is +₹1 (+1.4%), which is an informal figure and not a quoted price. Our call is Not Suggested, on 56% of our checks.

Segment

SME

Price

₹70

Lot size

2,000 shares

One lot costs

₹1,40,000

Issue size

₹26 Cr

Grey market premium

+₹1 (+1.4%)

Subscribed

1.43x

Listed at

0.0%

Our call

Not Suggested

What we checked

• Profitable in the latest yearPAT ₹4.36 Cr
• Profit grew year on yearPAT +70%
• Revenue grew year on yearRevenue -42%
• Margin not collapsingPAT margin 1.5% vs 4.3%
• Borrowing under half of net worthDebt/net worth 2.21
• Return on net worth above 15%RoNW 21.9%
• Post-issue P/E under 40P/E 15.6
• Price to book under 6P/B 0.1
• Majority is fresh capital100% fresh issue
• Promoters keep at least half64.6% held post-issue
• Anchor investors participatedNo anchor book
• Overall book more than 10× covered1.4× overall
• Lead manager above segment medianCorporate Makers Capital Ltd.: 10 past issues, -1% avg vs +8% segment median

2 further checks could not be judged, because the issue did not disclose enough. They count neither for nor against.