Automobile Products BSE RI review - (Not Rated)

•    The company is engaged in the business of manufacturing, assembling, distributing, trading of automotive spares and components.
•    The company has posted huge losses on minuscule top lines for the reported periods.
•    It has huge carried forward losses resulting in its NAV of Rs. – (31.99) per share as of December 31, 2025.
•    The only plus point is above 84% promoter’s holding.
•    No trades on this counter since October 13, 2000.
•    The company is realizing only Rs. 0.03 cr. as the net proceeds from the RI worth Rs. 0.14 cr.
•    Simply stay away from this at par issue which bears “High Risk/No Return”.

PREFACE:
What a mockery of the capital market. The company has proposed RI worth Rs. 0.14 cr. and spending Rs. 0.11 cr. (around 80% of the issue size) for its process and getting just Rs. 0.03 cr. as net proceeds which will be utilized for general corporate purposes. What is more, there are no trades on the counter since October 13, 2000, but the designated exchange has given permission for its fresh issue, which is very strange. Will watch dog look in to the matter? The offer documents are prepared half-heartedly.

ABOUT COMPANY:
Automobile Products of India Ltd., (APIL) is in the business of: A) Manufacturing, assembling, distributing, buying, selling, importing and exporting automobiles, automotive components, spare parts, accessories and allied products. B) Dealing in motor vehicles of all kinds including cars, commercial vehicles, two-wheelers, three-wheelers, tractors and other mechanically propelled vehicles. C) Manufacturing and trading in engines, machinery, tools, equipment, electrical and mechanical parts required for automobiles and transport vehicles. And, D) Designing, research, development, testing and improvement of automotive products and components and other ancillary and incidental activities connected with the automobile and engineering industry

The Company provides vehicle management consultancy services on a very small scale and its operations are limited in size, resources and client base. As it does not own or operate any vehicles, its role is confined solely to offering advisory inputs based on the information made available. The offer document is silent on its employees’ strength data.

ISSUE DETAILS:
The company is coming out with its Rights Issue (RI) of 1400000 equity shares of Re. 1 each at par value to mobilize Rs. 0.14 cr. The RI opens for subscription on April 15, 2026, and will close on April 24, 2026. The company is offering RI in the ratio of 19 for 10 to its eligible stakeholders as of the record date of April 09, 2026, (other than the promoter/promoter group). The company is asking for full money on application for number of shares applied. Post allotment, RI shares will be listed on BSE. The company is spending Rs. 0.11 cr. for this RI process, and from the net proceeds, it will utilize Rs. 0.03 cr. for general corporate purposes. 

The RI is solely lead managed by the company itself., and MUFG Intime India Pvt. Ltd. is the registrar to the issue. 

Post-RI, company’s current paid-up equity capital of Rs. 0.48 cr. will stand enhanced to Rs. 0.62 cr. Based on the RI pricing, the company is looking for a market cap of Rs. 0.62 cr. 

FINANCIAL PERFORMANCE:
On the financial performance front, for the last two fiscals, the company has posted total income / net profit, - (loss), of Rs. 0.17 cr. / Rs. - (1.24) cr. (FY24), Rs. 0.17 cr. / Rs. – (1.90) cr. (FY25). For 9M of FY26 ended on December 31, 2025, it posted a loss of Rs. – (1.50) cr. on a total income of Rs. 0.13 cr. Its NAV stood at Rs. – (31.99) as of December 31, 2025. It has huge carried forward losses and reported losses for 9M-FY26 as well. 

DIVIDEND POLICY:
The company has not paid any dividends for the reported periods of the offer document. It will adopt a prudent dividend policy, based on its financial performance and future prospects. The offer document is silent on its dividend policy.

SCRIP PERFORMANCE: BASED ON BSE WEBSITE DATA: SCRIP CODE: 505032 (FV Re. 1).
The scrip last closed on cum-right basis at Rs. NA on April 08, 2026, and opened on an ex-right basis at Rs. NA on April 09, 2026. Since then, it has marked a high/low of Rs. NA / Rs. NA. The scrip last closed at Rs. NA as of December 26, 2001. For the last 52 weeks’ it has posted a high/low of Rs. NA / Rs. NA. As per BSE Website date, the last trade took place at Rs. 4.50 per share as of October 12, 2000 (for Rs. 10 face value).

The promoters’ holding has been constant at 84.71% for the last three quarters ended with December 31, 2025. There are no trades reported on the counter since December 2001.