The Initial Public Offering(IPO) for the week is –
IPO—– SHIGAN QUANTUM TECHNOLOGIES LIMITED-
Shigan Quantum Technologies Limited is engaged in the business of designing, developing, and manufacturing alternate fuel systems that include CNG, LNG, and hydrogen fuel kit systems for OEMs. It also develops alternate fuel systems for heavy-duty vehicles, light-duty vehicles, and off-highway applications. The company has ventured into the manufacture of fire detection and alarm system and fire detection and suppression system (FDAS & FDSS).
Shigan Quantum Technologies sources its critical technologies from MNC companies with whom it has long-term technology and user agreement. It has technology agreements with companies for developing exclusive products customized for its requirements and exclusive manufacturing rights in India for the products after development. The company has plans to acquire the foreign supplier’s expertise through a joint venture or outright purchase and localize production of gaseous fuel injection technology systems which will enable the company to manufacture products that will meet the upcoming fuel emission norms.
The company is engaged in designing, optimizing, manufacturing, assembling, testing, and kit integration of alternate fuel systems, kits for heavy and light commercial vehicles, buses, forklifts, power generation equipment, etc. It aims to localize components of Euro-VI CNG kits in India that would help to reduce the cost of the system. The company imports its raw materials from Singapore, the USA, Mexico, Switzerland, China, Hong Kong, UAE, Italy, and France and also from domestic suppliers located in India from places like Gurugram, Ghaziabad, and Bangalore. It exports some components of CNG fuel systems to countries like the USA, Australia, Italy, Sweden, and Canada.
Mr. Gagan Agrawal is the promoter of the company. The objects of the issue are to meet working capital requirements, finance the purchase of machinery, and general corporate purposes. Listing on the stock exchange will give more visibility to the brand of the company and will further enhance future growth opportunities.
The total revenue of the company was Rs. 69.07 crores with a net profit of Rs 2.66 crore (Year ended 31 March 2019), the revenue of Rs.72.77 crore with a net profit of Rs. 2.92 crore (Year ended 31 March 2020) and revenue of Rs. 95.65 crore with a net profit of Rs. 3.51 crore (Year ended 31 March 2021).