Gold Plus Glass Industry Ltd IPO 

Last Updated on October 17, 2023 by BFSLTeam BFSLTeam

The glass manufacturer Gold Plus Glass Industry has filed its initial papers with SEBI to launch an initial public offering. It aims to gather funds and utilise it to pay off its debt and working capital requirements. The IPO will consist of a fresh issue worth Rs. 300 crore and a maximum of 12,826,224 shares offered as an OFS by the promoters and existing shareholders. 

Gold Plus Glass Industry Ltd is the second largest float glass manufacturer in India and holds a manufacturing share of 16% of the entire market as of FY2021. The company caters to diverse industries such as construction, automotive, and various industrial segments.  

Learn more about the Upcoming IPO and the company’s financials to make an informed investment decision. 

About Gold Plus Glass Industry Ltd.

Gold Plus Glass Industry Limited is the country’s second-largest maker of float glass, a type of distortion-free glass used for making laminated and heat-treated glass items. The company’s focus on value-added glass has led to a 30% share in value-added glass sector and 15% in the clear glass sector.

In North India, the company is the largest glass maker with two production lines in one place, a total of 1,250 tonnes every day. It has become a key player since 2009, offering a comprehensive range of clear and value-added glass. Gold Plus Glass Industry Ltd is one of only two manufacturers in this region with such production capacities, giving it a significant competitive advantage. 

The manufacturer’s product line includes clear glass, 22 types of value-added glass and 11 types of processed glass ranging in thickness from 2 mm to 12 mm. 

Operating from a 97.4-acre facility in Roorkee, Uttarakhand, the company operates two interchangeable float glass production lines that produce both clear and value-added glass based on market demand. In addition, its facility at Kala Amb in Himachal Pradesh has specialised in the production of high-quality processed glass products, highlighting its commitment to versatility and quality.

Company Financial 

The table below lays down some crucial financial details. Potential investors might find this integral to their decision-making: 

Parameters As Per the Year Ending On	March 31 2021	March 31 2020	March 31 2019
Total Assets	11,855.17	12,548.39	12,452.66
Total Liabilities	7,566.5	8,837.07	7,942.6
Total Expenses	8,535.02	7,357.18	8,807.17
Total Revenue	8,694.32	6,558.12	8,016.41
Profit After Tax	576.46	(799.06)	(790.76)
EBITDA	1573.16	376.70	470.30
Earnings Per Share (EPS) (Basic) *	7.62	10.56	10.45
Earnings Per Share (EPS) (Diluted) *	6.17	10.56	10.45

*Values in Rs. millions except EPS 

Also Read: How To Apply For An IPO?

Strengths 

Here are some of the distinctive facts about the company that have made it one of the largest float glass manufacturers in India: 

• The company’s product portfolio includes clear glass and value-added glass items. It offers a variety of other products such as frosted glass, mirrors, tinted glass, and solar control reflective glass. 
• It is one of only two manufacturers in North India capable of producing the complete range of clear and value-added glass from a single location while meeting BIS certification requirements. 
• The company’s top management is very involved in resolving its problems. Their strategic marketing initiatives have strengthened the Gold Plus brand and ensured market penetration. 
• Tie-ups with smaller partners have filled market gaps and rapidly deepened penetration, spanning metros, cities, towns and rural areas, even in tier III and IV cities.
• Its glass products are distributed throughout the country and in selected international markets. The company has an expansive network of 1,299 associates, including distributors and retailers, covering 24 Indian states and four Union Territories as of December 31, 2021. Furthermore, it has 59 associates in 8 international markets.

Risks Involved 

Along with the above strengths, there are always some risks that pose a significant threat to a company’s growth and finances. Here are some risk:

• It operates a single manufacturing facility in Roorkee that uses two production lines for all glass products. Any slowdown or interruption of operations of these production lines could materially affect the business and financial performance.
• The company is expanding operations in the southern and western states of India, including setting up a new manufacturing facility in Karnataka. Failure to manage these new facilities or build relationships with local business partners can harm its performance.

Summary of Gold Plus Glass Industry Ltd.

Gold Plus Glass Industry Ltd IPO will offer both a fresh issue and an OFS. For the OFS, there will be a contribution from the promoters. Jimmy Tyagi and Suresh Tyagi will offer up to 10,19,995 equity shares. PI Opportunities Fund-I will offload up to 1,07,86,234 equity shares.

The Gold Plus Glass IPO date is yet to be announced. The company has not announced details of its IPO price band and lot sizes. For the latest updates, you can refer here.

Also Read: Benefits of Investing in IPO

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