Laxmi Dental Limited, a leading name in the dental products industry, is approaching the stock market with its IPO scheduled between January 13 and January 15, 2025. With total issue size of ₹698.06 crores, price band is set at ₹407 to ₹428 per share. While the Laxmi Dental IPO GMP Today is trading at 160 per share, this IPO has sparked interest among retail and institutional investors alike.
In this article, we’ll provide a complete Laxmi Dental IPO Review, including details on the issue, financial performance, GMP trends, and whether this IPO is a good investment for short term or long term targets. Whether you’re a first-time investor or a seasoned one, this guide will help you make an informed decision.
Laxmi Dental IPO GMP Today
As of January 12, 2025, Laxmi Dental IPO showing massive grey market premium of 160 per share which showing listing gains of 38% as of now. This indicates that investors in the grey market are excited about the IPO at the moment and there is massive chances of IPO oversubscription.
However, the GMP is just informal way to gauge demand and doesn’t guarantee how the stock will perform when it lists. Better to focus on the company’s financial health, business potential, and market position instead of relying only on grey market buzz to make investment decisions.
Laxmi Dental IPO Review
| IPO Detail | Information |
|---|---|
| IPO Opening Date | January 13, 2025 |
| IPO Closing Date | January 15, 2025 |
| IPO Type | Main Board |
| Price Band | ₹407 to ₹428 per share |
| Lot Size | 33 shares (₹14,124 for one lot) |
| Fresh Issue Size | ₹138 crore |
| Offer for Sale (OFS) Size | ₹560.06 crore |
| Listing Date | January 20, 2025 |
| Exchange Listings | BSE and NSE |
| Allotment Date | January 16, 2025 |
| Refund Initiation | January 17, 2025 |
| Shares Credit to Demat Account | January 17, 2025 |
Laxmi Dental IPO – DRHP
Laxmi Dental IPO Objectives
Laxmi Dental’s upcoming IPO, set to raise ₹698 crore, has clear objectives for the funds raised. The company plans to use the money for:
- Repaying Debts: ₹19.57 crore will be used to pay off some of its borrowings.
- Investing in Subsidiaries: ₹13.37 crore will help its subsidiaries clear their debts.
- Upgrading Equipment: ₹37.57 crore will go towards purchasing new machinery to improve manufacturing.
- Further Investment in Subsidiaries: ₹35.10 crore will be invested in Bizdent Devices Private Limited, its subsidiary, for similar upgrades.
- General Corporate Purposes: The rest will be used for general business activities.
These steps are aimed at strengthening the company’s operations and supporting its growth.
About Laxmi Dental Ltd.
Laxmi Dental Limited, based in Mumbai, India, is a good name in the dental products industry. Founded in 1989, it has grown from a small dental lab into a global player, serving customers in over 90 countries. The company was founded by Mr. Rajesh Khakhar, and today it employs more than 2,100 people worldwide.
Laxmi Dental offers a wide range of dental products, including custom-made crowns and bridges, clear aligners, dental sheets, and products for children’s dental care. Some of its popular brands include Illusion Dental Lab, Illusion Aligners, and Kids-e-Dental, which are known for their quality and innovation in the dental field.
The company is also a leader in digital dentistry, using advanced materials and technologies to improve the precision and efficiency of dental treatments. For example, Laxmi Dental developed Illusion Aligners and is the only supplier in India of thermoplastic sheets and 3D printing dental resins through its Taglus brand.
Laxmi Dental Financial Results
| Year | Revenue (₹ in Crore) | Expense (₹ in Crore) | Profit After Tax (₹ in Crore) |
|---|---|---|---|
| 2022 | ₹1,38.07 | ₹1,43.40 | ₹18.68(Loss) |
| 2023 | ₹1,63.84 | ₹1,67.76 | ₹4.16(Loss) |
| 2024 | ₹1,95.26 | ₹1,86.66 | ₹25.23 |
The company faced financial challenges in 2022 and 2023, reporting losses. However, in 2024, it successfully increased revenue and reduced the gap between expenses and income, resulting in profitability. The improvements in 2024 suggest that the company may have managed its costs better and executed its business strategies more effectively.
Laxmi Dental IPO Good Or Bad For Investment
Laxmi Dental’s IPO shows potential for growth, especially with its strong recovery in FY2024 and solid plans for the future. However, the past two years of losses and the neutral grey market sentiment suggest some caution. If you’re an investor with a medium-to-long-term horizon and are comfortable with some risk due to past performance, this IPO could be a good opportunity. On the other hand, if you are risk-averse or prefer stability, you may want to wait until the company demonstrates more consistent profitability.
Disclaimer – As always, consulting a financial advisor to evaluate your risk tolerance and investment goals is advisable.
Pravin Bhosale
Since stepping into the world of trading in 2019, i have gained valuable experience navigating the markets, have knowldge in indices like Bank Nifty, Nifty IT, Sensex, Bankex, and Finifty. Also have sound knowldge about IPO industry & ipo process. our blog aims to make finance approachable, offering practical insights for readers to better understand and act on market trends.
FAQ
1. What is the price band for Laxmi Dental Limited’s IPO?
The price band for the IPO is set between ₹407 and ₹428 per share.
2. What is the lot size for this IPO?
The minimum lot size for the IPO is 33 shares, which costs approximately ₹14,124 for one lot.
3. What are the key objectives of the IPO?
The funds raised from the IPO will be used for repaying borrowings, investing in subsidiaries, purchasing new machinery, and other general corporate purposes.
4. What are the financial highlights of Laxmi Dental?
In FY2024, Laxmi Dental reported revenue of ₹195.26 crore and a profit after tax of ₹25.23 crore, marking a strong recovery after losses in FY2022 and FY2023.
5. When will Laxmi Dental’s IPO be listed?
The shares of Laxmi Dental Limited are expected to be listed on January 20, 2025, on both BSE and NSE.
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