The Chennai-based IPO, Data Patterns IPO was recently available for subscription on December 14, 2021.
Data Patterns IPO is a defense & aerospace electronics solutions group in India.
The company has had stable revenue advancement in the past three and a half years.
Its margins have expanded by 4 times (according to the percentage of their revenues) in the past three years.
“Is it truly worth it to invest in the Data Patterns IPO? What are the risks of investing in this IPO? Did I make the right decision?”
If all these questions are bothering you, then you have stumbled upon the right article.
Here, we are going to provide you with an in-depth Data Patterns IPO review including Data Patterns IPO Date, Data Patterns IPO Price, Data Patterns IPO Lot Size, Data Patterns IPO GMP today, and much more.
After reading this, you will have much better clarity in terms of whether or not Data Patterns IPO is worth your investment.
About Data Patterns IPO
Data Patterns is an Indian defense & aerospace electronics solutions company that was launched in 1985.
It is established in Chennai and is a prominent provider for the indigenously generated defense industry.
The manufacturing building of the company in Chennai, India is essentially a factory that is 100,00 sq ft tall.
This factory has establishments for manufacturing, design, as well as and life cycle aid of high-credibility electronic systems that are utilized in defense & aerospace applications.
The company also aims at further expanding its building by investing in adjacent land that is 2.81 acres large.
Their existing building is scattered across a vast area of 5.75 acres.
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Major Features of Data Patterns Company
- Data Patterns has an ingeniously incorporated as well as a strategically placed provider which is decently established to profit from the opportunity of the Make in India campaign.
- The group has a remarkable business model that concentrates greatly on innovation.
- It is a company that features a modern manufacturing structure of multinational standards.
- The track record of the corporation has been quite consistent and shows positive growth owing to its scalable model.
- It harbors a skilled management team as well as an experienced workforce.
Data Patterns IPO Key Details
- Date of Opening- 14 December 21
- Data Patterns IPO Date of Closing- 16 December 21
- Face Value- ₹2 for an equity share
- Data Patterns IPO price band: The company has set the Data Patterns IPO price band at Rs 555 to Rs 585 for an equity share.
- Lot Size- A bidder is going to apply in specified lots and each lot of Data Patterns IPO includes a total of 25 shares.
- Data Patterns IPO investment limit: A bidder will be able to apply for a minimum of one lot and a maximum of 13 lots. Thus, the minimum amount of investment needed for applying for Data Patterns IPO is Rs 14,625 (585×25) and the maximum limit is Rs 1,90,125 (585x25x13).
- Data Patterns IPO Listing- BSE as well as NSE
- Data Patterns IPO Gross Issue Size- ₹588.22 crore
- Data Patterns IPO Fresh issue- ₹240 crore
- Offer for Sale (OFS) ₹ 348.22 crores: Under Offer for Sale, selling shareholders will be selling their respective shares and the organization would not be able to receive any capital from this IPO revenue.
- Data Patterns IPO subscription status: On the third day of bidding at 2:56 PM, the Data Patterns IPO subscription status for public issue stood at 96.79 times and the Data Patterns IPO subscription status for the issue’s commercial component stood at 21.43 times.
- Data Patterns IPO Promoters: Srinivasagopalan Rangarajan, as well as Rekha Murthy Rangarajan, are currently the two promoters of the Data Patterns group.
- GMP today: According to the market onlookers, Data Patterns IPO GMP today stands at Rs 610 which means that the grey market is anticipating Data Patterns IPO shares to list approximately Rs 1195 (Rs 585 + Rs 610).
Objectives of Data Patterns IPO
The revenue of the this IPO is going to be utilized for:
- Prepayment or/and Repayment of any pending borrowings that were earlier availed,
- Financing the requirements of working capital of the corporation,
- Promoting as well as enhancing its current establishment in Chennai,
- , and for other common corporate reasons.
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Positive aspects of Data Patterns IPO investment
If you are looking for some good enough reasons to invest in Data Patterns IPO, read the following:
- The Data Patterns corporation is a well-established and prominent defense & aerospace electronics solutions group in the country.
- It has an ingenious industry model featuring a credible order book listing prestigious clients.
- Data Patterns also boasts a pretty stable revenue expansion over the past three years. For the fiscal year 2019, their revenues were Rs 132.5 Crores; for the fiscal year 2020, it was Rs 160 Crores; and for the fiscal year 2021, the company’s revenues were Rs 226.5 Crores.
- The institution’s margins have also expanded considerably over the past three years. In the fiscal year 2019, the company was yielding 5.8% profits and in the fiscal year 2021, the digit expanded to 24.5%.
Risk Factors involved in Data Patterns IPO investment
- Under the IPO OFS of Rs 348 crores, selling shareholders will be selling their respective shares and the organization would not be able to receive any capital from this IPO revenue.
- Any sort of decline, cessation of prevailing contracts, or deduction in orders is likely to have a great impact on the business
- Company relies on its exclusive number of clients like BrahMos, MoD, Aerospace as well as the Space Organization of the Indian government for a substantial fraction of its earnings. Any kind of loss of these clients may greatly influence the business.
- The continuing impact of the global pandemic on the company as well as its operations is unpredictable and cannot be anticipated for the near future.
- The association has substantial working capital necessities. Inadequate flows of cash from the company’s operations may influence the association.
- Investors must read all the risk factors that are specified in the Red herring prospectus of the IPO report before they go on to invest in this IPO.
Should I Buy?: Final Data Patterns IPO Review
After a thorough analysis of all the aforementioned points, the main question is whether or not one should invest in Data Patterns.
Or if you already have, did you make the right choice or not?
So as mentioned earlier, Data Patterns is a prestigious Indian group and has had a powerful revenue advancement over the past three years.
In terms of its margins as well, the company has expanded 4 times as compared to the fiscal year of 2019.
Moreover, the main point is that the IPO price band is pretty reasonable.
But well, it is no surprise that the stock market is uncertain and goes through revisions every so often, so investors must take it upon themselves to stay careful while investing in not just Data Patterns but any other IPOs.
Now coming back to this IPO and taking into account all the positive as well as risk factors involved with this IPO, we recommend that investing in the IPO can be fruitful.
Investors can also expand a little more and try investing from a medium to a long-term viewpoint if the shares become available at a discounted rate after listing.
So with this, we wrap up our Data Patterns IPO Review.
The opening and closing date of Data Patterns Initial Public Offering (IPO) is 14-Dec-2021 and 16-Dec-2021 respectively.
For all the potential investors, it is a good idea to go into the details of prospects as well as strengths of the IPO.
So read all the above-mentioned points carefully and make up your mind accordingly. Happy investing!