Ask Automotive Limited is the largest manufacturer of brake-shoe and advanced braking (“AB”) systems for two-wheelers (“2W”) in India with a market share of approximately 50% in Fiscal 2023 in terms of production volume for original equipment Manufacturers (“OEMs”) and the branded independent aftermarket (“IAM”), on a combined basis.
They have been supplying safety systems and critical engineering solutions for more than 3 decades. Their offerings are powertrain agnostic, catering to electric vehicle (“EV”) as well as internal combustion engine (“ICE”) OEMs. Their brand “ASK” is recognised as the leading brand in the 2W IAM in terms of production volume.
Company’s offerings includes:
- AB systems;
- Aluminium light-weighting precision (“ALP”) solutions, where they are a prominent player for 2W OEMs in India with a market share of 8% in Fiscal 2022 in terms of production volume;
- Wheel assembly to 2W OEMs; and
- Safety control cables (“SCC”) products.
They supply their portfolio of AB systems, ALP solutions, wheel assembly, and SCC products to OEMs in:
- The automotive sector for 2Ws, 3Ws, passenger vehicles (“PVs”) and commercial vehicles (“CVs”), and
- The non-automotive sector for all-terrain vehicles (“ATVs”), power tools and outdoor equipment.
They supplied products to all of the Top-6 2W OEMs (in terms of production volume and value) in Fiscal 2023. In Fiscal 2022, the company commenced commercial supplies to 2W EV OEMs in India, including TVS Motor Company Limited (“TVS”), Ather Energy Private Limited (“Ather”), Hero MotoCorp Limited (“Hero MotoCorp”), Greaves Electric Mobility Private Limited (“Greaves”), Bajaj Auto Limited (“Bajaj”) and Revolt Intellicorp Private Limited (“Revolt”).
ASK Automotive IPO – Details
| IPO Opening Date | 07 November 2023 |
| IPO Closing Date | 09 November 2023 |
| Issue Type | Book Built Issue IPO |
| Issue Size | 2,95,71,390 Shares Worth ₹833.91 Crore Offer For Sale: 2,95,71,390 Shares Worth ₹833.91 Crore |
| Face Value | ₹2 per equity share |
| IPO Price | ₹268 – ₹282 |
| Market Lot | 53 Shares |
| Min Order | 53 Shares (1 Lot) |
| Listing At | BSE, NSE |
| Register | Link Intime India Private Ltd |
| QIB Shares Offered | 50% |
| NII (HNI) Shares Offered | 15% |
| Retail Shares Offered | 35% |
ASK Automotive IPO – Date Schedule
| IPO Open Date | 07 November 2023 |
| IPO Close Date | 09 November 2023 |
| Basis of Allotment Date | 15 November 2023 |
| Initiation of Refund | 16 November 2023 |
| Credit of Shares to Demat Account | 17 November 2023 |
| IPO Listing Date | 20 November 2023 |
| Cut-off time for UPI mandate confirmation | 5 PM on 09 November 2023 |
ASK Automotive IPO – Lots Size & Price
| Application | Lots | Shares | Amount |
|---|---|---|---|
| Retail (Min) | 1 | 53 | 14,946 |
| Retail (Max) | 13 | 689 | 1,94,298 |
| S-HNI (Min) | 14 | 742 | 2,09,244 |
| S-HNI (Max) | 66 | 3498 | 9,86,436 |
| B-HNI (Min) | 67 | 3551 | 10,01,382 |
Competitive Strengths
- Well established manufacturer of safety systems and critical engineering solutions;
- Robust production model driven by R&D and design;
- Technology and innovation-driven manufacturing process, with an extensive suite of systems and solutions for EV and ICE sectors;
- Long-standing customer relationships with OEM players;
- Financial and return metrics demonstrating growth and efficient use of capital.
Company Promoters
- Kuldip Singh Rathee
- Vijay Rathee
Company Financials
| Particulars | Total Revenue | Total Expense | Profit After Tax | Total Borrowing |
|---|---|---|---|---|
| 31 March 2021 | 1567.76 | 1420.39 | 106.20 | 79.89 |
| 31 March 2022 | 2024.26 | 1905.99 | 82.65 | 159.79 |
| 31 March 2023 | 2566.27 | 2390.62 | 122.95 | 318.01 |
Key Performance Indicator
| KPI | Values |
|---|---|
| P/E (x) | 45.63 |
| Market Cap (₹ Cr.) | 5559 |
| Debt/Equity | 0.49 |
| EPS (Rs) | 6.18 |
| RoNW | 19.10% |
Object Of The Issue
- The Promoter Selling Shareholders will be entitled to the entire proceeds of the Offer after deducting their portion of the Offer expenses and relevant taxes thereon. The Company will not receive any proceeds from the Offer.
- The objects of the Offer are to:
- Carry out the Offer for Sale of up to 29,571,390 Equity Shares of face value of ₹ 2 each by the Promoter Selling Shareholders aggregating up to ₹ [●] million; and
- Achieve the benefits of listing the Equity Shares of face value of ₹ 2 each on the Stock Exchanges.
ASK Automotive IPO Peer Comparison
| S. No. | Face Value | Company Name | PE |
| 1 | 10 | Endurance Technologies Limited | 46.36 |
| 2 | 2 | Uno Minda Limited | 52.59 |
| 3 | 1 | Suprajit Engineering Limited | 35.49 |
| 4 | 2 | Bharat Forge Limited | 98.86 |
ASK Automotive IPO Promoter Holding
| Pre Issue Share Holding | 100.00% |
| Post Issue Share Holding | 85.00% |
ASK Automotive IPO Prospectus
Company Contact Information
| ASK Automotive Limited Plot No. 13, 14, Sector 5, IMT Manesar, Gurugram 122 050, Haryana, India Phone: +91 124 439 6907 Email: compliance@askbrake.com Website: www.askbrake.com |
ASK Automotive IPO Registrar
| Link Intime India Private Ltd Phone: +91-22-4918 6270 Email: askauto.ipo@linkintime.co.in Website: https://linkintime.co.in/mipo/ipoallotment.html |
ASK Automotive IPO Lead Manager(s)
| 1. ICICI Securities Limited 2. JM Financial Limited 3. Axis Capital Limited 4. IIFL Securities Limited |
ASK Automotive IPO FAQs
| What is ASK Automotive IPO? ASK Automotive IPO is a main-board IPO. The issue is priced at ₹268 to ₹282 per equity share. The IPO is to be listed on BSE & NSE. |
| When ASK Automotive IPO will open? The IPO is to open on 07 November 2023 for QIB, NII, and Retail Investors. |
| What is ASK Automotive IPO Investors Portion? The investors’ portion for QIB – 50%, NII – 15%, and Retail – 35%. |
| How to Apply the ASK Automotive IPO? You can apply ASK Automotive IPO via ASBA online via your bank account. You can also apply for ASBA online via UPI through your stock brokers. You can also apply via your stock brokers by filling up the offline form. |
| How to Apply the ASK Automotive IPO through Angle One? Log in to Angle One Application with your credentials. Select the IPO. You will see the IPO Name “ASK Automotive”. Click on Bid Button. Confirm your Application. Now go to your UPI App on Net Banking or BHIM App to Approve the mandate. Open Demat Account with Angle One. |
| How to Apply the ASK Automotive IPO through 5 Paisa? Log in to 5 Paisa Application with your credentials. Select the IPO. You will see the IPO Name “ASK Automotive”. Click on Bid Button. Confirm your Application. Now go to your UPI App on Net Banking or BHIM App to Approve the mandate. Open Demat Account with 5 Paisa. |
| How to Apply the ASK Automotive IPO through Upstox? Log in to Upstox Application with your credentials. Select the IPO. You will see the IPO Name “ASK Automotive”. Click on Bid Button. Confirm your Application. Now go to your UPI App on Net Banking or BHIM App to Approve the mandate. Open Demat Account with Upstox. |
| How to Apply the ASK Automotive IPO through IIFL? Log in to IIFL Application with your credentials. Select the IPO. You will see the IPO Name “ASK Automotive”. Click on Bid Button. Confirm your Application. Now go to your UPI App on Net Banking or BHIM App to Approve the mandate. Open Demat Account with IIFL. |
| What is ASK Automotive IPO Size? ASK Automotive IPO size is ₹843.91 Crore. |
| What is ASK Automotive IPO Price Band? ASK Automotive IPO Price Band is ₹268 to ₹282. |
| What is ASK Automotive IPO Minimum and Maximum Lot Size? The minimum bid is 53 Shares with ₹14,946 amount while the maximum bid is 689 Shares with ₹1,94,298. |
| What is the ASK Automotive IPO Allotment Date? ASK Automotive IPO allotment date is 15 November 2023. |
| What is the ASK Automotive IPO Listing Date? ASK Automotive IPO listing date is 20 November 2023. The IPO is to list on BSE and NSE. |
