Thaai Casting Ltd IPO (Thaai Casting IPO) Detail

Dear experts
Please guide and give us any idea as to when will this biggest ever fall in SME segment will stop....

Healthy correction which rarely took place in SME...also in all small caps and midcaps..
You know such healthy correction is about to create panic among retail and small HNIs and make them to book loss
I think such level correction is not possible without collaboration among each other
It is no doubt... pre-planned

Tomorrow 1 lot add karne ka soch Raha hu.

Tomorrow circuit change

I never seen anything like this that's too only within 10days of circuit restrictions that some company is announced order receiving news of 220 cr under sec 30 of SEBI (LODR)
.. I can only say with my experience it is a trap
I pray God that I might prove myself wrong

can anyone explain basis of allotment for this issue in hni category.

Added more lots today for long term✅

📌 220Cr✅ order for #Thaai casting ltd😲😲🔥🔥

➡️FY23 revenue was 49Cr!
(Order is 4.5 times the last year Rev🔥)

📍Big growth expected in future✅

strong UC in this weak market

Circuit might break by tomorrow.

yes i'm planning to add some lots tomorrow. strong players have entered in this script, may give good returns in short term and long term.

Saturday Market open 9.15 am to 10 am and 11.30 am to 12.30 pm.

Any reason for sudden selling pressure for this script?

LC khulne ke chances hai

Flipper group want to create panic, so retailers sell stock lower rates and they can buy it with the same lower price.

Ekdum se sell order lagane se price girne lag gya tha .. toh slowly slowly 200 ke price par maal nikal rhe jese hi quantity fill hoti hai aur order lga dete hai... Interesting to see where it goes from here . . Mostly UC ! But depends on that one patient seller. Personally I don't have any now but would buy at LC if available today

BULK Deal update:-
▪️Big SME Investor SELVAMURTHY
AKILANDESWARI✅ Bought 1,16,800 shares of Thaai casting ltd at avg Rs.180😮🔥
📌📌 ➡️ ➡️
▪️Incorporated in June 2010, Thaai Casting Limited✅ is an automotive ancillary company specializing in High-Pressure Die Casting, as well as the precision Machining of both Ferrous and Non-Ferrous materials and Induction heating and quenching. The company has three business verticals:-

1)High Pressure Die 90% Rev✅).
2)Machining of Ferrous and Non-Ferrous.💫
3)Induction Heating and Quenching.💫

▪️The company offers a wide range of automotive components, such as engine mounting support brackets, transmission mounts, fork shift and housing, steering wheel armatures, electrical connectors, YFG base frames (both right-hand and left-hand drive side), housing, top cover, and more.💫

▪️They use Aluminium ingot in die #ElectricVehicles require More Aluminium components🚀)

▪️They are also diversifying into making components for green tech like EV components and #Wind Awnings for Turbines. As people move towards more and more Greener and Renewable sources✅, Thaai Casting will pivot and will be ready to supply those industries in more and more quantum.

📌Big Wind Generator manufacturer Flender-German✅ came to India and visited Thaai casting plants😮. In interview, the management said they are supplier for WIND TURBINE GREEN POWER GENERATION industry also.🚀

▪️Manufacturing unit :-Tiruvallur, Tamil Nadu, India.💫

▪️Company has the flexibility to change as per demand. And there is more and more diversification to remove any sectoral downturn impact.✅

📌Thaai Induction and Nitriding Pvt Ltd, a Wholly Owned Subsidiary of Thaai General Engineering) through its tier 1, Flender Drives Pvt Ltd.🔥🔥

▪️Thaai Casting is an IATF 16949: 2016 certified company✅.

📌Awards and Achievements:-🔥🔥

➢2021:-Company received MSIL –GREEN Certification (Maruti Suzuki India Ltd✅) for acknowledge the efforts and achievements of environment-friendly practices and committing to sustainable development.
➢2022:-Company received awards from Hanon and RSB for Best Quality and Best Vendor.🔥
➢2023:-Approved vendor of GE renewable through Flender Drives.🚀
➢2014:-Company received award from Hyundai Motors for fulfilling the Quality Assurance Compliance.
➢2019:-Company received award from Tokai Rubber Auto Parts for Best Quality, Cost and Delivery Company.
➢2019:-received IATF 16949:2016 certificate for recognized as world-class automotive supplier.🔥🔥

📌Capacity:-

➢Capacity Installed For High Pressure Die Casting: 2500 tonnes.
➢capacity utilization: 65-70%
➢Recently Thaai casting increased their products 1kg to 4.5kg component and after current machinery is installed they will make upto 8 kg components soon. Bigger and heavier component capability will be added.✅

📌📌
▪️IPO price: Rs.77
▪️IPO size: 47.2Cr (excluding anchor size is:33.85Cr)
▪️CMP:Rs.195
▪️Market cap: 450Cr
▪️P/E:30✅
▪️EPS:6.38
▪️ROE: 63.59%
▪️ROCE: 35.68%
▪️Employees: 132
▪️Debt/Equity:1.85
▪️Assets:146.38 Cr
▪️Total Borrowing:78.3 Cr (Reserves and Surplus:6.2Cr)

📌FINANCIALS:
▪️FY24-7M Rev: 48.48 Cr🔥
▪️FY24-7M PAT: 8.6 Cr🔥
▪️FY23 revenue is 49.11 Cr as compared to 38.41 Cr(FY22), 28%✅ growth yoy.
▪️FY23 PAT is 5.03 Cr as compared to 1.15 Cr(FY22), 340%✅ growth yoy.
▪️140%🔥 growth in revenue in last 2 years.
▪️1160%🔥 growth in PAT in last 2 years.

(PAT margins of 1.97% (FY21), 3.01% (FY22), 10.29% (FY23), 19.28% (7m-FY24)✅)

▪️The reason for big jump is that they had done expansion last year and are adding on more and more machinery✅.

📍With the huge Capex the company is doing, we can estimate an easy 50% jump in topline and bottomline for the next year. As they add more and more heavy casting SKUs, their Margins will increase✅🔥.

📌Revenue Projection:-🔥🔥
(based on available information, sector growth, investor chatter and channel checks)

▪️FY24:- Rev: 100Cr+ and PAT: 16Cr+
▪️FY25:- Rev: 160Cr+ and PAT: 26Cr+
✅Tentative order book: 350Cr +🔥

(➡️As per management commentary, they have a 350+ crore order book in hand. Whatever Capex they will install, will have full utilization from day 1)

📌Revenue bifurcation:-
➢Agriculture Sector : 1.05%
➢Automotive Sector : 77.21%
➢Non-Automotive Sector : 19.86% (they have already added more SKUs and increased non automotive share✅ )
➢Power Sector : 1.88%

📍Their working capital cycle is 85-90 days max.

✔️Their clients pay them in 45-60 days max as per prefixed date. The other 15-20 days is the time it takes them to produce the item via several stages.✅

➡️They also have a running inventory in stock for some parts that are in regular demand as per their analysis so that they can supply the clients immediately.💫

📌IPO funds:
From the net proceeds of the IPO funds, it will utilize Rs. 37.3 Cr for capital expenditure and the rest for general corporate purposes.( purchase of machineries For manufacturing of Aluminium Die Casting product.)

📍The machinery had already been ordered in advance. Mainly Japanese machines and some German machines✅. They expect to complete Capex within 3 months.
"QUICK AND PRODUCTIVE DEPLOYMENT OF IPO FUNDS"🔥🔥

📌PEERS:

As per the offer document, the company has shown Endurance Techno and Electrosteel having PE 43 and 18 resp. However, they are not comparable on an apple-to-apple basis.✅

📌CLIENTS:🔥🔥
Schindler, Hyundai, KIA, Maruti Suzuki, Toyota, Mahindra, Tata Motors, Royal Enfield, PYUNG HWA, Yazaki, HL Mando, UCAL, Harting, etc.✅

▪️They are supplier for German company WIKA group, which is manufacturer for many equipment.🔥
▪️supplier for components to Schindler group which is a Swiss multinational company :- elevator, lift Equipment manufacturer.💫
▪️They are supplier for #SDF group- SDF Group is an Italian agricultural machinery manufacturer - is one of the world's leading manufacturers of tractors, combine harvesters, and diesel engines.🚀
▪️Recently they entered into pick vehicles, and medium truck parts for TATA MOTORS, and Ashok Leyland.
▪️Also Hyundai is major auto client. And they have monopoly, eg. Hyundai makes 1 part of a model from ONLY ONE vendor. So it reduces their quality issues, and order for a particular car part continues for all the years the car is in production.💫
▪️In Maruti Suzuki their parts are in the Grand Vitara and New Baleno via Motherson Sumi. And they will be part of future upcoming models too🔥

📌SECTOR GROWTH:
▪️The Indian die casting industry is expected to grow at a CAGR of 15-20% in the next 2 years, driven by factors such as increasing demand from automotive, electronics, and consumer goods sectors.✅

▪️The industry is also expected to benefit from the government's focus on "Make in India" and "Atmanirbhar Bharat" initiatives. These initiatives are aimed at promoting domestic manufacturing and reducing reliance on imports. The government has also taken steps to improve the infrastructure and business environment in the country, which is expected to further boost the growth of the die casting industry.💫

▪️Auto component exports are expected to grow and reach US$ 30 billion in FY26.🔥

▪️The global aluminum casting market was valued at $72.9 billion in 2022, and is projected to reach $124.9 billion by 2032, growing at a CAGR of 5.6% from 2023 to 2032. Increasing usage of aluminum in various applications, such as transportation and telecommunication, is expected to boost market growth during the forecast period.✅

▪️The future will demand lighter materials as compared to Steel & Cast Iron to compensate for the additional weight of lithium ion batteries.

▪️A US study estimates a 6-8% fuel savings✅ for every 10% weight reduction achieved by switching to aluminium in vehicles.

▪️Production Linked Incentive (PLI) schemes on automobile and auto components are expected to bring a capex of Rs. 74,850 crore (US$ 9.58 billion) in the next five years.💫

📌STRENGTH:
➢ Continuous Improvement (KAIZEN Process✅).
➢ Workforce Expertise.
➢ Leadership Excellence.( MD has 30 years✅ of experience and worked with Japanese technologies💫. Hands on man who breathes and dreams his work🔥)
➢ Production Scalability.
➢ Advanced Inspection Systems.🔥
➢ Delivery Commitment.
➢ Specialized Talent Retention.

📌FUTURE PLAN:

▪️Effectively investing in Industry 4.0 technologies to streamline operations, enhance productivity, and drive innovation across all facets of the business.✅

▪️Expanding the offerings to include sub-assemblies and assemblies, leveraging the existing customer base.

▪️Focusing on developing new products that align with the division's core competencies.✅

▪️Focus on consistently meeting quality standards.

▪️Integrating and upgrading the systems for improved efficiency and effectiveness.🔥

📌Disclosure: Not a buy recommendation. only for study and education purpose. Please consult your financial advisor before investing. Please stop investing blindly.🙏🙏

Also some big players bought for long term. LC will open tomorrow and i will add some lots.

may hit UC today.

Yes sec. not allowing to sell SME stocks on day 1 or even after that due to some technical issues

Please reply if problem solved or not?
And how and when u can sold it?

​@Denim  I agree with your concern. But, from big investors point of view, no one would reveal before hand that they are purchasing if they do so, they may not be able to grab good pie of it at lower prices.
In either case, for small investors like us, it will take time to understand the fundamentals, if we do so, we can buy irrespective of big investors opinions. Sometimes we have to move along with herd!!.
Another problem - many people recommends but mostly they do not come forward when they are exiting!!

My frnd (luckily alottee) who is not on chittorgarh recd this msg , wt does this amount mean as he applied for retail 1 lot only

23-Feb-2024      TCL      Thaai Casting Limited      
SELVAMURTHY AKILANDESWARI.       BUY      1,16,800.       180.41      -

​@ManishDwiv  Nicely spotted, and a great buy by MRavi sir! Next week, other big bulls expected to buy into this..keep the tabs open.

Looks like more UCs coming..too many HNis name coming in this stock.

Anyone's amount still blocked. I had applied through Gpay and amount is still blocked. Because of this, yesterday I was not able to apply other two SMEs which were closed yesterday. Whom I need to mail. Already mailed to registrar and bank but no response from bank.

Actually I am staying abroad, that's the main problem...

Hmm, then may be some friend or family member can help you with that by visiting the branch..

How about posting detailed analysis before listing ??? Everyone was asking but Suddenly Select people (Same name Always) bought after it hit LC and posts are flying everywhere about how great company is.. Panic create Kiya jata hai silence se ..phir LC par badi quantity utha lete hai and after buying they post.. it's a pattern nowadays !
They Got enough Money to Manipulate From LC to UC but if they have conviction and want others to get benefitted they should share before listing if they would hold , sell or buy and in what range !
No harsh feelings

​@Mr. Agrawal 
Bro you are spot on!!!
I completely agree with your thoughts. I have also observed the same from past few days.
Posting fancy fancy detailed analysis after he buy!!! for what? for chittorgarh community benefit or for his own benefit?
Why not post your analysis atleast by last day of the subscription the way @newgen consultancy does. Why creating hype for your own benefit?

Sir u are absolutely right.
Phir mein apko yaha kuch jayada nahi bata sakta.
Forum k limit hai nahi toh block kar Diya jayugaa.

bought 1 lot at lc, will post detailed analysis on sunday.

Bought 4 lot at uc

good company, good clients, superb financials, sector is growing.

Thaai Cast > Kalyani Cast Tech

Now gping towards UC

Lag gayi 💞

I sold 1 lot of 1600 shares during the pre-open market session through Zerodha at a price of ₹185 per share. My demat account is currently showing an available margin of ₹2,37,952.00.
The initial issue price was ₹77 per share. Calculating the sale proceeds (1600 shares * ₹185), the total should be around ₹296,000.
I'm curious about the difference 58K between the sale proceeds and the available margin. Could you help me understand where the remaining amount has been deducted?

Got my first SME IPO, so not aware of all the deductions.

It's the delivery margin which will reflect in your account tomorrow. Don't worry. No deductions.

Appreciate the prompt response!
I am aware of the SEBI 80-20% rule for margins but it slipped my mind today.
So thanks for the reminder.

It's a valuable lesson that in the market, staying fully attentive is crucial; even minor details like this can't be missed.

​@Tejas Pandya  Many claim that they weren't able to sell their lots in both Thaai & Esconet. But placing order in the pre-open market would do the job na.!? Why aren't they able to do so? could you help in this regard

There can be many reasons..
1) Technical glitch
2) GREED
3) Slow Decision making.

Sold in preopen.....