BikeWo GreenTech Limited IPO: issue date, price and lot size

The highly anticipated BikeWo GreenTech Limited IPO will be held from September 18 to September 20, 2024. As an emerging player in the Indian electric vehicle (EV) retail space, BikeWo GreenTech Limited aims to raise ₹24.09 crores through this public offering. Thanks to the company's growth trajectory and strategic expansion plans, the IPO is catching the attention of both retail and institutional investors. 

Below, we break down all the essential information for your IPO investment. Let’s look at the company’s financials and investment potential.

BikeWo GreenTech Limited IPO synopsis

The BikeWo GreenTech IPO opens for subscription on September 18, 2024, and closes on September 20, 2024. The company aims to raise ₹24.09 crores by offering 38.86 lakh shares. The price band for the IPO is set between ₹59 and ₹62 per share, with a minimum lot size of 2,000 shares, amounting to an investment of ₹1,24,000. 

BikeWo GreenTech Limited IPO GMP, last updated is ₹10 on September 16th, 01:00 PM. The shares will be listed on the NSE SME exchange, making it an exciting opportunity for those interested in small and medium enterprises (SME IPOs). The IPO will offer both retail and institutional investors a stake in BikeWo GreenTech’s growing business.

BikeWo GreenTech Limited IPO details

Here are some key details for one of the upcoming IPOs: 

BikeWo GreenTech Limited IPO timeline

It is important to keep track of the important dates for the IPO:

About BikeWo GreenTech Limited

BikeWo GreenTech Limited, incorporated in December 2006, is an electric two-wheeler retailer in India. The company primarily sells electric scooters from well-known brands like Ola Electric, Quantum e-scooters, Bounce, and GT-Force. BikeWo GreenTech’s business model revolves around dealership-based operations, offering three types of dealership categories: State Dealership, Diamond Dealership, and Platinum Dealership. 

The company is rapidly expanding, with a growing presence in states like Telangana, Andhra Pradesh, Tamil Nadu, Maharashtra, and Gujarat. BikeWo GreenTech plans to open additional stores in key cities like Raipur, Indore, Delhi, Chandigarh, and Lucknow.

As of January 31, 2024, the company employed 36 individuals, which indicates a relatively lean yet focused organisational structure. Its business strategy is centred on expanding dealership networks and strengthening its after-sales services, positioning it as a leading name in India's EV retail market.

BikeWo GreenTech Limited financials

BikeWo GreenTech Limited IPO’s review shows that it has seen a significant upward trajectory in recent years. According to the company’s restated financial statements, revenue has grown by 22% from ₹2,061.86 lakhs in FY23 to ₹2,514.21 lakhs in FY24. 

Moreover, the company’s Profit After Tax (PAT) witnessed a staggering increase of 1606%, jumping from ₹9.8 lakhs in FY23 to ₹167.21 lakhs in FY24. This sharp growth in profitability demonstrates the company's ability to scale its operations efficiently.

Here are some key financial figures:

BikeWo GreenTech IPO lot size

The table below outlines the minimum and maximum investments for both retail investors and High Net Worth Individuals (HNIs).

BikeWo GreenTech Limited IPO strengths

One of the key strengths of BikeWo GreenTech Limited is its strong foothold in India’s rapidly expanding electric two-wheeler market. The company has strategically partnered with premium EV brands, allowing it to capitalise on the growing demand for sustainable transportation. 

Additionally, its unique dealership model has enabled it to expand efficiently across multiple states. With robust revenue growth and an increase in profit margins, BikeWo GreenTech appears to be well-positioned for long-term success in the EV retail sector.

BikeWo GreenTech Limited IPO challenges

Despite its impressive growth, BikeWo GreenTech Limited faces certain challenges. One of the primary concerns is the aggressive pricing of the IPO, which could deter cautious investors. Moreover, while the company’s top-line growth has been commendable, the inconsistency in its profit margins may raise concerns among potential investors.

Should you invest in the BikeWo GreenTech Limited IPO?

For investors looking to invest in the rapidly growing EV retail sector, the BikeWo GreenTech Limited IPO presents a promising opportunity. With its strategic expansion plans, partnerships with premium brands, and strong financial growth, the company has the potential for long-term success. 

However, investors should carefully consider the risks associated with IPO pricing and the volatility of the EV market. It is advisable for well-informed investors to assess their risk tolerance before committing funds to this IPO. 

Key takeaways

The BikeWo GreenTech Limited IPO offers an opportunity for investors to tap into India’s expanding electric vehicle market. With its solid financials, strategic dealership model, and growing presence, the company shows promise. However, like any investment, it comes with its own set of risks. The success of the IPO will likely depend on the company’s ability to maintain its growth trajectory and capitalise on the increasing demand for electric two-wheelers.

FAQs

1. What is the price band of the BikeWo GreenTech Limited IPO?
   The price band is set between ₹59 and ₹62 per share.
2. What is the minimum investment required for retail investors?
   Retail investors need to invest a minimum of ₹1,24,000 for a lot size of 2,000 shares.
3. When will the shares be listed on the exchange?
   The tentative listing date is September 25, 2024, on the NSE SME.
4. What are the key strengths of BikeWo GreenTech Limited?
   The company’s primary strengths are its partnerships with leading EV brands, its dealership model, and strong financial growth.