Sona Comstar IPO
Sona Comstar IPO — date, price band, lot size & details 2021
Sona Comstar listed on 24 Jun 2021 at ₹301, 3.4% above the ₹291 issue price.
Sona Comstar designs and makes mission critical automotive parts such as differential assemblies, gears and starter motors for customers in India and abroad. Its total income was Rs 1,568.64 crore in FY2021.
Stock price
Sona Comstar is listed — here is the live share price.
Researched & reviewed by
Abhishek Vohera,
Founder, IPO Guru
Last updated
Figures sourced from the RHP, BSE & NSE
Timetable
Key dates from opening to listing. Today is 10 November.
- Open 14 Jun 2021
- Close 16 Jun 2021
- Allotment 21 Jun 2021
- Refund/credit 22 Jun 2021
- Listing 24 Jun 2021
Issue summary
The terms of the offer, as filed.
| IPO Dates | 14 to 16 Jun, 2021 |
|---|---|
| Price Band | ₹285 – ₹291 |
| Face Value | ₹10 |
| Lot Size | 51 Shares |
| Issue Size | ₹5550 Cr |
| Sale Type | Fresh capital cum OFS |
| Listing On | BSE, NSE |
| Registrar | KFin Technologies Limited |
| Min Investment | ₹ 14,841 |
Share of the offer set aside for each investor category, as stated in the offer document.
What will it cost me?
Bidding is in multiples of 51 shares at the ₹291 cut-off. Drag to size your application.
| Application | Lots | Shares | Amount |
|---|---|---|---|
| Retail (min) | 1 | 51 | ₹14,841 |
| Retail (max) | 13 | 663 | ₹1,92,933 |
| S-HNI (min) | 14 | 714 | ₹2,07,774 |
| S-HNI (max) | 67 | 3,417 | ₹9,94,347 |
| B-HNI (min) | 68 | 3,468 | ₹10,09,188 |
Strengths & risks
Drawn from the offer document — the case for and against, side by side.
Strengths · 6
- 01Total income rose from Rs 702.50 crore in FY2019 to Rs 1,568.64 crore in FY2021.
- 02EBITDA rose from Rs 200.20 crore in FY2019 to Rs 441.02 crore in FY2021.
- 03It was among the top 10 global players in differential bevel gears in 2020, as per CRISIL.
- 04Total borrowing was Rs 366.26 crore on 31 March 2021, against net worth of Rs 1,303.90 crore.
- 05Rs 241.12 crore of the fresh issue was planned for repaying borrowings.
- 06Its 9 plants across India, the USA, China and Mexico spread the customer base across regions.
Risks · 6
- 01Rs 5,250.00 crore of the Rs 5,550 crore issue was offer for sale, so almost all the money went to the selling shareholder.
- 02The pre-issue P/E was 77.39 at the upper band of Rs 291, based on FY2021 EPS of Rs 3.76.
- 03Profit after tax fell from Rs 360.34 crore in FY2020 to Rs 215.17 crore in FY2021.
- 04The business changed with the Comstar acquisition in Fiscal 2020, so earlier years are not fully comparable.
- 05Demand depends on global auto production, and sales in the US, Europe and China add currency risk across its 9 plants.
- 06Promoter holding fell from 100% before the issue to 67.3% after it.
Three years of numbers
All figures in ₹ crore, as reported in the Sona Comstar offer document.
| Metric | 31 Mar 2021 | 31 Mar 2020 | 31 Mar 2019 |
|---|---|---|---|
| Assets | 2,174.83 | 1,850.68 | 1,632.56 |
| Total Income | 1,568.64 | 1,043.77 | 702.50 |
| Profit After Tax | 215.17 | 360.34 | 173.18 |
| EBITDA | 441.02 | 242.28 | 200.20 |
| NET Worth | 1,303.90 | 1,177.94 | 173.78 |
| Reserves and Surplus | 730.92 | 1,130.19 | 146.06 |
| Total Borrowing | 366.26 | 306.78 | 146.00 |
See how this IPO compares — view listing performance of all mainboard IPOs.
Valuation & key ratios
Ratios are for the latest full financial year reported in the Sona Comstar RHP. EPS and P/E are post-issue — the table below carries the pre-issue comparison.
Sona Comstar IPO Valuation
How the issue prices the company before and after the fresh shares are created.
| Valuation Metric | Pre-Issue | Post-Issue |
|---|---|---|
| EPS (₹) | ₹3.76 | ₹3.69 |
| P/E Ratio (x) | 77.39 | 78.86 |
| Market Cap at Offer Price (₹ Cr) | ₹16,652.78 | ₹16,968.69 |
Pre-issue figures use the shareholding reported in the RHP; post-issue figures use the shareholding once the fresh issue has created new shares. The two differ because of that dilution and because post-issue earnings per share are often annualised, so the change can run in either direction. Market capitalisation is calculated at the ₹291 offer price. Compare the post-issue P/E against listed peers before deciding — a premium there is growth you are paying for in advance.
Where the money goes
₹293.32 Cr of the issue is earmarked to named objects.
About the company
In Fiscal 2020 it completed the acquisition of the Comstar entities, which make starter motors, and the combined business trades as Sona Comstar. As per the CRISIL report, it was among the top 10 global players in differential bevel gears in 2020 and among the largest exporters of starter motors from India.
It sells to customers in India, the US, Europe and China. It has 9 manufacturing and assembly facilities, 6 of them in India and the others in the USA, China and Mexico.
The IPO was Rs 5,550 crore, of which Rs 300.00 crore was fresh issue and Rs 5,250.00 crore was offer for sale by Singapore VII Topco III Pte. Ltd. Rs 241.12 crore of the fresh issue was planned for repaying borrowings.
Interested in this IPO? Check the live subscription status or browse all upcoming mainboard IPOs.
The bankers & the filings
Who is running the book, and the documents this page is built from.
Sona Comstar IPO Documents
Read the filings this page is built from.
Lead Manager Track Record
How the book-running lead managers on this issue have priced their past IPOs, measured on listing day.
JM Financial Ltd.
74 issues handledBest listing: Tempsens Instruments (India) (+111.3%). Weakest: Turtlemint Fintech Solutions (-10.4%).
Kotak Mahindra Capital Company Limited
49 issues handledBest listing: G R Infraprojects (+105.0%). Weakest: Rategain Travel Technologies (-15.3%).
JP Morgan India Pvt. Ltd
6 issues handledBest listing: Anthem Biosciences (+26.9%). Weakest: Nuvoco Vistas Corporation (-14.9%).
Nomura Financial Advisory & Securities (India) Pvt. Ltd
11 issues handledBest listing: Nazara Technologies (+80.7%). Weakest: Shriram Properties (-23.7%).
Credit Suisse Securities (India) Pvt. Ltd
6 issues handledBest listing: Zomato (+52.6%). Weakest: Star Health and Allied Insurance Company (-6.1%).
Listing gain compares the listing-day opening price with the issue price, using the IPOs on IPO Guru that this lead manager has taken to market. A strong record reflects how the banker has priced past issues — it is not a forecast for this one. See every issue they have handled on the lead managers page.
Company contact
Frequently asked
What is the GMP of Sona Comstar?
The current Grey Market Premium is ₹0.
What is the Sona Comstar IPO price band?
₹285 to ₹291, on a face value of ₹10.
When is the allotment?
The basis of allotment is 21 June 2021, with listing on 24 June 2021.
How do I check allotment status?
On the IPO Guru allotment page or on the registrar's site — KFin Technologies Limited.
Every number here traces back to a filing.
IPO Guru tracks GMP, subscription and allotment for every Mainboard and SME issue. Every number on this page is sourced from the RHP, BSE & NSE.
Not investment advice. Grey market premium is an unofficial, unregulated indicator and is not a forecast.
