Aeroflex Industries Ltd IPO

Incorporated in 1983, Kolkata-based Tarsons Products manufactures laboratory products that are used in various research organisations, pharmaceutical companies, academia institutes, hospitals and diagnostic centres.

The company plans to go public and here’s all you need to know about this IPO.

Here’s the consolidated financial information for the last three years:

• Global flexible flow solutions provider operating in huge addressable market, catering to diverse industry segments
• Export oriented business model;
• Primary manufacturer of flexible flow solutions (Make in India with no listed peers with advance manufacturing facility and R&D infrastructure);
• High entry and exit barriers;
• Experienced and dedicated senior team across key functions.

• The company exports its products to various countries and the export operations of the Company contribute more than 80% of Revenue from Operations. On account of the aforesaid, its may be subject to significant import duties or restrictions of the relevant jurisdictions. Further, adverse fluctuation in foreign exchange rate, unavailability of any fiscal benefits or our inability to comply with related requirements may have an adverse effect on our business and results of operations.
• The company in the usual course of business do not enter into long-term contracts with suppliers for its raw materials and an increase in the cost of, or a shortfall in the availability or quality of such raw materials, in a timely manner or at all, could have an adverse effect on its business and results of operations.
• The company business is dependent and will continue to depend on its single manufacturing facility, and its subject to certain risks in that behalf. Any slowdown or shutdown in the company manufacturing operations could have an adverse effect on its business, financial condition and results of operations.
• The Company requires significant amounts of working capital and significant portion of the company working capital is consumed in trade receivables and inventories. Its inability to meet the company working capital requirements including failure to realise receivables and inventories may have an adverse effect on its results of operations and overall business.
• The company in the usual course of business do not have long term contracts with most of its customers and rely on purchase orders for delivery of its product and they may cancel or modify their orders, change production quantities, delay production or change their sourcing strategy. Loss of one or more of its customers or a reduction in their demand for the company products could adversely affect its business, results of operations and financial condition.

• Expand its portfolio of solutions to capitalize on large opportunities across industrial segments
• Scale up its In-house Design and R&D efforts.
• Increase focus on global markets and enhance its international presence.
• Expand its domestic business to leverage the opportunities across industrial segments.
• Focus on Digitisation and Industry 4.0 initiatives to drive operational efficiencies and achieve synergies.