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Bikewo Green Tech Ltd IPO
Status: Closed
Overview
IPO date
20 Sept 2024 to 24 Sept 2024
Face value
₹ 0 per share
Price
₹ 59 to ₹62 per share
Issue Size
3,886,000 shares
(aggregating up to ₹ 24.09 Cr)
(aggregating up to ₹ 24.09 Cr)
Allotment Date
25 Sept 2024
Listing at
NSE
Issue type
Book Building - SME
Sector
Automobile
Objectives of Bikewo Green Tech Ltd IPO
Initial public offer of upto 38,86,000 equity shares of face value of
Rs. 10/- each ("Equity Shares") of the company at an issue price of Rs. 62 per equity share (including a share premium of Rs. 52 per equity share) for cash, aggregating up to Rs. 24.09 crores ("Public Issue") out of which 1,96,000 equity shares of face value of Rs. 10/- each, at an issue price of Rs. 62 per equity share for cash, aggregating Rs. 1.22 crores will be reserved for subscription by the market maker to the issue (the "Market Maker Reservation Portion"). The public issue less market maker reservation portion i.e. issue of 36,90,000 equity shares of face value of Rs. 10/- each, at an issue price of Rs. 62 per equity share for cash, aggregating up to Rs. 22.87 crores is hereinafter referred to as the "Net Issue". The public issue and net issue will constitute 37.52 % and 28.29 % respectively of the post-issue paid-up equity share capital of the company.
Bikewo Green Tech Ltd IPO Strategy
- Continue to increase sales at its existing dealerships.
- Expand reach across select geographies and deepen the footprint in our existing markets.
- Expansion of its network and diversification of its products offered.
- Strengthen its marketing network.
- Improving operational efficiencies.
- Leveraging its Market skills and Relationships.
- Value proposition for consumers.
- Penetration into domestic markets.
About Bikewo Green Tech Ltd
Bikewo Green Tech Limited was incorporated on December 9, 2016 as Right Choice Automobiles Private Limited', a Private Limited Company, pursuant to a Certificate of Incorporation issued by the Deputy Registrar of Companies, Registrar of Companies Central Registration Centre. Subsequently, the Company name was changed to Right Automobiles Private Limited' dated February 14, 2017 issued by the Registrar of Companies, at Hyderabad. Again, the Company name changed to Bikewo Green Tech Private Limited' and a fresh certificate of incorporation dated March 25, 2022 was issued by the Registrar of Companies, Telangana at Hyderabad. As a result of this, Company got converted into a Public Limited Company and the name of Company was changed to Bikewo Green Tech Limited' and a fresh Certificate of Incorporation dated December 14, 2023 was issued by the Registrar of Companies, Telangana at Hyderabad.
The Company is an electric two wheeler retailer in India. It started business operations in 2016 and since its incorporation, the Company had been engaged in the business of buying and selling of used four wheelers from authorised dealers of reputed automobile brands. In 2022, with the advent of electrical vehicles in India, it diversified the business operations by venturing into marketing and selling of electric vehicles and sold franchise of the brand to ten dealers during the first quarter of FY 2022, for opening and operating stores in Andhra Pradesh and Telangana. The electric vehicle business focuses on capturing the opportunity arising out of electrification of mobility in India by creating a multi-brand channel for EV two wheelers by offering franchise under brand in the Tier - I, Tier-II and Tier-III cities. The business model focuses on creating a dealership chain across Tier-II and Tier-III cities for setting up retail spaces which ensures high visibility and easy accessibility to customers.
Apart from this, the Company act as an intermediate channel between the New Car Dealers and designated park and sell used car lots, by supplying the used cars for sale and earning a margin during the sale of such cars. It has created a small network which undertakes every element of automobile buying from searching for a vehicle, creating buying requirements, price discovery, booking, certification to purchase and financing and doorstep delivery. It operate business activities through dealership models. It offer three types of dealerships to dealers; (i) State Dealership; (ii) Diamond Dealership; and (iii) Platinum Dealership.
The Company is proposing the Public Issue of 38,86,000 Fresh Issue Equity Shares.
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Strengths vs Risks of Bikewo Green Tech Ltd
Know the pros & cons
Strengths
Leading EV dealership for major OEMs with a strong focus on high growth segments.- Its existing Network and Storage Capabilities.
- Dealership network and presence across various states.
- Growing presence in after-sales segment leading predictable growth in revenues and superior margins.
- Diverse market presence.
- Robust business processes leveraging digitalization.
- Experienced Promoter and professional management team with technical expertise.
Risks
- As part of its growth strategy, the company intend to expand the company's business operations to geographical areas in which the company has limited operation history. Its cannot assure you that the company expansion plans will be profitable or that such expansion will not adversely affect its business, results of operations and financial condition.
- The company significantly relies on trading and dealerships of multi-brand Electric Vehicles, and any interruption in the said business segment may adversely affect its business and results of operations.
- The company depends on its dealers for a significant portion of the company revenue, and any decrease in revenues or sales from any one of its key intermediaries may adversely affect its business and results of operations.
- The company propose to use a part of the Net Proceeds of the Issue towards funding capital expenditure proposed to be incurred towards setting up of eleven dealership stores in various states in India. The company is yet to purchase real estate or enter into long-term leasehold arrangements or enter into rental agreements at locations suitable for new stores for its expansion in relation to setting up and operation of its proposed new stores. In case the company is unable to open the stores in a timely manner as mentioned in the chapter "Objects of the Issue", its may fall short of the revenue targets of the Company and this would have an adverse effect on its business, financial condition, results of operations and growth prospects.
- The company plan to expand into new geographies and may be exposed to significant liability and could lose some or all of its investment in such regions, as a result of which the company's business, financial condition and results of operations could be adversely affected.
- The Company is dependent on external suppliers for its product requirements. Any delay or failure on the part of the external suppliers to deliver products, may materially and adversely affect its business, profitability and reputation.
- A large part of its revenues is dependent on a limited number of brands. The loss of any of its major brands or a decrease in the supply or volume from such brands, will materially and adversely affect its revenues and profitability.
- The company operates in a competitive industry and its market share may be adversely impacted in case the company does not keep ourselves appraised of the latest consumer trends and technology and if the company fail to compete effectively in the markets in which the company operates.
- Its inability to promptly identify and respond to changing customer preferences or evolving trends may decrease the demand for its merchandise among its customers, which may adversely affect the company's business.
- Its stores are concentrated mainly in Telangana and Andhra Pradesh, and the company generate majority of its retail sales from the company stores in these states. Any adverse developments affecting its operations in these states could have an adverse impact on its revenue and results of operations.
- The company may in the future faces potential liabilities from lawsuits or claims from third parties, should they perceive any deficiency in the products the company sells in its stores. The company may also faces the risk of legal proceedings initiated against the Company which may result in loss of business and reputation.
- Any failures to maintain quality of customer service, products and deal with customer complaints and to further attract and retain customers and maintain consistency in customer service could materially and adversely affect
its business and operating results.
- The Company's business relies on the reliable performance of its information technology systems and any interruption or abnormality in the same may have an adverse impact on its business operations and profitability.
- Its inability to continue to implement the company marketing and advertising initiatives and brand building exercises could adversely affect its business and financial condition.
- The company retail sales largely depends on its brand reputation and any harm to the company brand or reputation may adversely affect its business, financial condition, cash flows and results of operations.
- The company purchase inventory in anticipation of sales, and if the company fail to manage its inventory effectively during that period, the company's business and results of operations could be adversely affected.
- The company depends on third parties for a major portion of its transportation needs. Any disruptions may adversely affect its operations, business and financial condition.
- The company does not have in-transit insurance for the products that are delivered to its customers by the transport agent.
- The company intend to utilise a portion of the Net Proceeds for funding purchase of electric two wheeler vehicles and funding of capital expenditure of the Company. Its yet to place orders for such vehicles.
- There have been instances of delays in payment of statutory dues, i.e. GST by the Company. In case of any delay in payment of statutory due in future by the Company, the Regulatory Authorities may impose monetary penalties on it or take certain punitive actions against the Company in relation to the same which may have adverse impact on its business, financial condition and results of operations.
- There have been instances of delays in payment of statutory dues, i.e. EPF by the Company. In case of any delay in payment of statutory due in future or the Company, the Regulatory Authorities may impose monetary penalties on it or take certain punitive actions against the Company in relation to the same which may have adverse impact on its business, financial condition and results of operations.
- Its Whole-Time Director, Rama Mohan Thammineni was a director on the board of K-Prize Solutions Private Limited, which was struck off by MCA due to non-filing of Financial Statements and Annual Returns. The company cannot assure you that such instances would not occur in the future.
- Its operations could be adversely affected by strikes, work stoppages, demands for increased wages or any other kind of employee dispute. Such disruptions could lead to loss of business thereby impacting its revenues significantly.
- The company ability to attract customers is dependent on the location of its stores and any adverse development impairing the success and viability of its stores could adversely affect the company's business, financial condition and results of operations.
- Its inability to manage losses due to fraud, employee negligence, theft or similar incidents may have an adverse impact on its profitability and the company reputation.
- The Company has unsecured loans that may be recalled by the lenders at any time.
- There can be no assurance that the objects of the Issue will be achieved within the time frame anticipated or at all, or that the deployment of the Net Proceeds in the manner intended by it will result in any increase in the value of your investment. Further, the plan for deployment of the Net Proceeds has not been appraised by any bank or financial institution.
- The Company had negative cash flows in the past years, details of which are given below. Sustained negative cash flow could impact its growth and business.
- If the company is not able to obtain, renew or maintain its statutory and regulatory licenses, registrations and approvals required to operates the company business, it may have a material adverse effect on its business, results of operations and financial condition.
- There have been instances of delays of certain forms which were required to be filed as per the reporting requirements under the Companies Act, 2013 to RoC. There have also been instances of default in complying with the applicable provisions of the Companies Act, 2013.
- The company Registered Office, its workshop and its warehouse are located on premises which are not owned by it and has been obtained on lease basis. Disruption of its rights as licensee/ lessee or termination of the agreements with its licensors/ lessors would adversely impact the company's operations and, consequently, its business, financial condition and results of operations.
- Any delays and/or defaults in payments could result in increase of working capital investment and/or reduction of the Company's profits, thereby affecting its operation and financial condition.
- The Company requires significant amount of working capital for a continuing growth. The company inability to meet its working capital requirements may adversely affect the company results of operations.
- The Company proposes to utilize part of the Net Proceeds for repayment or pre-payment, in full or in part, of all or certain secured and unsecured borrowings availed by the Company and accordingly, the utilization of that portion of the Net Proceeds will not result in creation of any tangible assets.
- If the Company is unable to protect its intellectual property, or if the Company infringes on the intellectual property rights of others, its business may be adversely affected. In the event, the Company is unable to enforce its rights on the assigned intellectual property, it could have a material impact on its goodwill, business operations, financial condition and results of operations.
- The company Promoter, Directors, Key Managerial Personnel and Senior Management have interests in the Company other than reimbursement of expenses incurred or normal remuneration or benefits.
- Its Promoter and members of the Promoter Group have significant control over the Company and have the ability to direct its business and affairs; their interests may conflict with your interests as a shareholder.
- The average cost of acquisition of Equity Shares held by its Promoter could be lower than the Issue Price.
- The company future fund requirements, in the form of further issue of capital or securities and/or loans taken by it, may be prejudicial to the interest of the Shareholders depending upon the terms on which they are eventually raised.
- The company has in past entered into related party transactions and its may continue to do so in the future.
- The company Promoters have extended personal guarantees and personal properties as collateral security with respect to various loan facilities availed by the Company. Revocation of any or all of these personal guarantees may adversely affect its business operations and financial condition.
- Its agreements with lenders for financial arrangements contain restrictive covenants for certain activities and if the company is unable to get their approval, it might restrict the company scope of activities and impede its growth plans.
- In addition to its existing indebtedness for the company existing operations, its may incur further indebtedness during the course of business. The company cannot assure that its would be able to service the company existing and/ or additional indebtedness.
- The company has not made any alternate arrangements for meeting its capital requirements for the Objects of the Issue. Further, the company has not identified any alternate source of financing the 'objects of the Issue'. Any shortfall in raising / meeting the same could adversely affect its growth plans, operations and financial performance.
- The company success largely depends upon the knowledge and experience of its Promoter, Directors, the company Key Managerial Personnel and its Senior Management. Loss of any of the company Directors and key managerial personnel or its ability to attract and retain them could adversely affect the company's business, operations and financial condition.
- Its Group Company, Mint Mobility Private Limited may have conflict of interest with it as it is engaged in similar business and may compete with the company.
- Any conflict of interest which may occur between its business and any other similar business activities pursued by its Promoter could have a material adverse effect on the company's business and results of operations.
- The company lenders have charge over its movable and immovable properties in respect of finance availed by the company.
- The deployment of funds raised through this Issue shall not be subject to any Monitoring Agency and shall be purely dependent on the discretion of the management of the Company.
- Any variation in the utilisation of the Net Proceeds or in the terms of any contract as disclosed in the Red Herring Prospectus would be subject to certain compliance requirements, including prior shareholders' approval.
- The requirement of funds in relation to the objects of the Issue has not been appraised.
- The company inability to procure and/or maintain adequate insurance cover in connection with its business may adversely affect the company operations and profitability.
- The company ability to pay dividends in the future may be affected by any material adverse effect on its future earnings, financial condition or cash flows.
- The company has not independently verified certain data in this Red Herring Prospectus.
- The requirements of being a listed company may strain its resources.
- The Equity Shares have never been publicly traded and the Issue may not result in an active or liquid market for the Equity Shares.
- There is no guarantee that the Equity Shares issued pursuant to the Issue will be listed on the SME Platform of National Stock Exchange of India Limited in a timely manner or at all.
- There is no existing market for its Equity Shares, and the company does not know if one will develop to provide you with adequate liquidity. Further, an active trading market for the Equity Shares may not develop and the price of the Equity Shares may be volatile.
- The price of the Equity Shares may be highly volatile after the Issue.
- You will not be able to sell immediately on the Stock Exchanges any of the Equity Shares you purchase in the Issue.
- There are restrictions on daily movements in the trading price of the Equity Shares, which may adversely affect a shareholder's ability to sell Equity Shares or the price at which Equity Shares can be sold at a particular point in time.
- The price of the Equity Shares may be volatile, which could result in substantial losses for investors acquiring the Equity Shares in the Issue.
- Any future issuance of Equity Shares, or convertible securities or other equity-linked securities by the Company may dilute your shareholding and any sale of Equity Shares by its Promoter or members of the company Promoter Group may adversely affect the trading price of the Equity Shares.
- Sale of Equity Shares by its Promoter or other significant shareholder(s) may adversely affect the trading price of the Equity Shares.
- Rights of shareholders under Indian laws may be more limited than under the laws of other jurisdictions.
How to check the allotment status of Bikewo Green Tech Ltd IPO?
Follow the steps
Open link to the registrar using this URL (https://evault.kfintech.com/ipostatus/).
Select company from dropdown menu.
Enter details- PAN, Application number or DP client ID
Get your allotment status
Open link to the registrar using this URL (https://evault.kfintech.com/ipostatus/).
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The IPO opens on 20 Sept 2024 & closes on 24 Sept 2024.
Bikewo Green Tech Limited was incorporated on December 9, 2016 as Right Choice Automobiles Private Limited', a Private Limited Company, pursuant to a Certificate of Incorporation issued by the Deputy Registrar of Companies, Registrar of Companies Central Registration Centre. Subsequently, the Company name was changed to Right Automobiles Private Limited' dated February 14, 2017 issued by the Registrar of Companies, at Hyderabad. Again, the Company name changed to Bikewo Green Tech Private Limited' and a fresh certificate of incorporation dated March 25, 2022 was issued by the Registrar of Companies, Telangana at Hyderabad. As a result of this, Company got converted into a Public Limited Company and the name of Company was changed to Bikewo Green Tech Limited' and a fresh Certificate of Incorporation dated December 14, 2023 was issued by the Registrar of Companies, Telangana at Hyderabad.
The Company is an electric two wheeler retailer in India. It started business operations in 2016 and since its incorporation, the Company had been engaged in the business of buying and selling of used four wheelers from authorised dealers of reputed automobile brands. In 2022, with the advent of electrical vehicles in India, it diversified the business operations by venturing into marketing and selling of electric vehicles and sold franchise of the brand to ten dealers during the first quarter of FY 2022, for opening and operating stores in Andhra Pradesh and Telangana. The electric vehicle business focuses on capturing the opportunity arising out of electrification of mobility in India by creating a multi-brand channel for EV two wheelers by offering franchise under brand in the Tier - I, Tier-II and Tier-III cities. The business model focuses on creating a dealership chain across Tier-II and Tier-III cities for setting up retail spaces which ensures high visibility and easy accessibility to customers.
Apart from this, the Company act as an intermediate channel between the New Car Dealers and designated park and sell used car lots, by supplying the used cars for sale and earning a margin during the sale of such cars. It has created a small network which undertakes every element of automobile buying from searching for a vehicle, creating buying requirements, price discovery, booking, certification to purchase and financing and doorstep delivery. It operate business activities through dealership models. It offer three types of dealerships to dealers; (i) State Dealership; (ii) Diamond Dealership; and (iii) Platinum Dealership.
The Company is proposing the Public Issue of 38,86,000 Fresh Issue Equity Shares.
Bikewo Green Tech Ltd IPO will close on 24 Sept 2024.
- Leading EV dealership for major OEMs with a strong focus on high growth segments.
- Its existing Network and Storage Capabilities.
- Dealership network and presence across various states.
- Growing presence in after-sales segment leading predictable growth in revenues and superior margins.
- Diverse market presence.
- Robust business processes leveraging digitalization.
- Experienced Promoter and professional management team with technical expertise.
| S.No | Promoters Name | Pre Issue Shares | Pre Issue Percentage | Post Issue Shares | Post Issue Percentage |
|---|---|---|---|---|---|
| 1 | Katepalli Mandeep | 458750 | 5.01 | 458750 | 3.52 |
| 2 | Satyapoorna Chandra Yalamanchi | 5388125 | 58.84 | 5388125 | 41.31 |
| 3 | N Vidhya Sagar Reddy | 920550 | 10.05 | 920550 | 7.06 |
| 4 | Manvi Talwar | 1382550 | 15.1 | 1382550 | 10.6 |
- As part of its growth strategy, the company intend to expand the company's business operations to geographical areas in which the company has limited operation history. Its cannot assure you that the company expansion plans will be profitable or that such expansion will not adversely affect its business, results of operations and financial condition.
- The company significantly relies on trading and dealerships of multi-brand Electric Vehicles, and any interruption in the said business segment may adversely affect its business and results of operations.
- The company depends on its dealers for a significant portion of the company revenue, and any decrease in revenues or sales from any one of its key intermediaries may adversely affect its business and results of operations.
- The company propose to use a part of the Net Proceeds of the Issue towards funding capital expenditure proposed to be incurred towards setting up of eleven dealership stores in various states in India. The company is yet to purchase real estate or enter into long-term leasehold arrangements or enter into rental agreements at locations suitable for new stores for its expansion in relation to setting up and operation of its proposed new stores. In case the company is unable to open the stores in a timely manner as mentioned in the chapter "Objects of the Issue", its may fall short of the revenue targets of the Company and this would have an adverse effect on its business, financial condition, results of operations and growth prospects.
- The company plan to expand into new geographies and may be exposed to significant liability and could lose some or all of its investment in such regions, as a result of which the company's business, financial condition and results of operations could be adversely affected.
- The Company is dependent on external suppliers for its product requirements. Any delay or failure on the part of the external suppliers to deliver products, may materially and adversely affect its business, profitability and reputation.
- A large part of its revenues is dependent on a limited number of brands. The loss of any of its major brands or a decrease in the supply or volume from such brands, will materially and adversely affect its revenues and profitability.
- The company operates in a competitive industry and its market share may be adversely impacted in case the company does not keep ourselves appraised of the latest consumer trends and technology and if the company fail to compete effectively in the markets in which the company operates.
- Its inability to promptly identify and respond to changing customer preferences or evolving trends may decrease the demand for its merchandise among its customers, which may adversely affect the company's business.
- Its stores are concentrated mainly in Telangana and Andhra Pradesh, and the company generate majority of its retail sales from the company stores in these states. Any adverse developments affecting its operations in these states could have an adverse impact on its revenue and results of operations.
- The company may in the future faces potential liabilities from lawsuits or claims from third parties, should they perceive any deficiency in the products the company sells in its stores. The company may also faces the risk of legal proceedings initiated against the Company which may result in loss of business and reputation.
- Any failures to maintain quality of customer service, products and deal with customer complaints and to further attract and retain customers and maintain consistency in customer service could materially and adversely affect its business and operating results.
- The Company's business relies on the reliable performance of its information technology systems and any interruption or abnormality in the same may have an adverse impact on its business operations and profitability.
- Its inability to continue to implement the company marketing and advertising initiatives and brand building exercises could adversely affect its business and financial condition.
- The company retail sales largely depends on its brand reputation and any harm to the company brand or reputation may adversely affect its business, financial condition, cash flows and results of operations.
- The company purchase inventory in anticipation of sales, and if the company fail to manage its inventory effectively during that period, the company's business and results of operations could be adversely affected.
- The company depends on third parties for a major portion of its transportation needs. Any disruptions may adversely affect its operations, business and financial condition.
- The company does not have in-transit insurance for the products that are delivered to its customers by the transport agent.
- The company intend to utilise a portion of the Net Proceeds for funding purchase of electric two wheeler vehicles and funding of capital expenditure of the Company. Its yet to place orders for such vehicles.
- There have been instances of delays in payment of statutory dues, i.e. GST by the Company. In case of any delay in payment of statutory due in future by the Company, the Regulatory Authorities may impose monetary penalties on it or take certain punitive actions against the Company in relation to the same which may have adverse impact on its business, financial condition and results of operations.
- There have been instances of delays in payment of statutory dues, i.e. EPF by the Company. In case of any delay in payment of statutory due in future or the Company, the Regulatory Authorities may impose monetary penalties on it or take certain punitive actions against the Company in relation to the same which may have adverse impact on its business, financial condition and results of operations.
- Its Whole-Time Director, Rama Mohan Thammineni was a director on the board of K-Prize Solutions Private Limited, which was struck off by MCA due to non-filing of Financial Statements and Annual Returns. The company cannot assure you that such instances would not occur in the future.
- Its operations could be adversely affected by strikes, work stoppages, demands for increased wages or any other kind of employee dispute. Such disruptions could lead to loss of business thereby impacting its revenues significantly.
- The company ability to attract customers is dependent on the location of its stores and any adverse development impairing the success and viability of its stores could adversely affect the company's business, financial condition and results of operations.
- Its inability to manage losses due to fraud, employee negligence, theft or similar incidents may have an adverse impact on its profitability and the company reputation.
- The Company has unsecured loans that may be recalled by the lenders at any time.
- There can be no assurance that the objects of the Issue will be achieved within the time frame anticipated or at all, or that the deployment of the Net Proceeds in the manner intended by it will result in any increase in the value of your investment. Further, the plan for deployment of the Net Proceeds has not been appraised by any bank or financial institution.
- The Company had negative cash flows in the past years, details of which are given below. Sustained negative cash flow could impact its growth and business.
- If the company is not able to obtain, renew or maintain its statutory and regulatory licenses, registrations and approvals required to operates the company business, it may have a material adverse effect on its business, results of operations and financial condition.
- There have been instances of delays of certain forms which were required to be filed as per the reporting requirements under the Companies Act, 2013 to RoC. There have also been instances of default in complying with the applicable provisions of the Companies Act, 2013.
- The company Registered Office, its workshop and its warehouse are located on premises which are not owned by it and has been obtained on lease basis. Disruption of its rights as licensee/ lessee or termination of the agreements with its licensors/ lessors would adversely impact the company's operations and, consequently, its business, financial condition and results of operations.
- Any delays and/or defaults in payments could result in increase of working capital investment and/or reduction of the Company's profits, thereby affecting its operation and financial condition.
- The Company requires significant amount of working capital for a continuing growth. The company inability to meet its working capital requirements may adversely affect the company results of operations.
- The Company proposes to utilize part of the Net Proceeds for repayment or pre-payment, in full or in part, of all or certain secured and unsecured borrowings availed by the Company and accordingly, the utilization of that portion of the Net Proceeds will not result in creation of any tangible assets.
- If the Company is unable to protect its intellectual property, or if the Company infringes on the intellectual property rights of others, its business may be adversely affected. In the event, the Company is unable to enforce its rights on the assigned intellectual property, it could have a material impact on its goodwill, business operations, financial condition and results of operations.
- The company Promoter, Directors, Key Managerial Personnel and Senior Management have interests in the Company other than reimbursement of expenses incurred or normal remuneration or benefits.
- Its Promoter and members of the Promoter Group have significant control over the Company and have the ability to direct its business and affairs; their interests may conflict with your interests as a shareholder.
- The average cost of acquisition of Equity Shares held by its Promoter could be lower than the Issue Price.
- The company future fund requirements, in the form of further issue of capital or securities and/or loans taken by it, may be prejudicial to the interest of the Shareholders depending upon the terms on which they are eventually raised.
- The company has in past entered into related party transactions and its may continue to do so in the future.
- The company Promoters have extended personal guarantees and personal properties as collateral security with respect to various loan facilities availed by the Company. Revocation of any or all of these personal guarantees may adversely affect its business operations and financial condition.
- Its agreements with lenders for financial arrangements contain restrictive covenants for certain activities and if the company is unable to get their approval, it might restrict the company scope of activities and impede its growth plans.
- In addition to its existing indebtedness for the company existing operations, its may incur further indebtedness during the course of business. The company cannot assure that its would be able to service the company existing and/ or additional indebtedness.
- The company has not made any alternate arrangements for meeting its capital requirements for the Objects of the Issue. Further, the company has not identified any alternate source of financing the 'objects of the Issue'. Any shortfall in raising / meeting the same could adversely affect its growth plans, operations and financial performance.
- The company success largely depends upon the knowledge and experience of its Promoter, Directors, the company Key Managerial Personnel and its Senior Management. Loss of any of the company Directors and key managerial personnel or its ability to attract and retain them could adversely affect the company's business, operations and financial condition.
- Its Group Company, Mint Mobility Private Limited may have conflict of interest with it as it is engaged in similar business and may compete with the company.
- Any conflict of interest which may occur between its business and any other similar business activities pursued by its Promoter could have a material adverse effect on the company's business and results of operations.
- The company lenders have charge over its movable and immovable properties in respect of finance availed by the company.
- The deployment of funds raised through this Issue shall not be subject to any Monitoring Agency and shall be purely dependent on the discretion of the management of the Company.
- Any variation in the utilisation of the Net Proceeds or in the terms of any contract as disclosed in the Red Herring Prospectus would be subject to certain compliance requirements, including prior shareholders' approval.
- The requirement of funds in relation to the objects of the Issue has not been appraised.
- The company inability to procure and/or maintain adequate insurance cover in connection with its business may adversely affect the company operations and profitability.
- The company ability to pay dividends in the future may be affected by any material adverse effect on its future earnings, financial condition or cash flows.
- The company has not independently verified certain data in this Red Herring Prospectus.
- The requirements of being a listed company may strain its resources.
- The Equity Shares have never been publicly traded and the Issue may not result in an active or liquid market for the Equity Shares.
- There is no guarantee that the Equity Shares issued pursuant to the Issue will be listed on the SME Platform of National Stock Exchange of India Limited in a timely manner or at all.
- There is no existing market for its Equity Shares, and the company does not know if one will develop to provide you with adequate liquidity. Further, an active trading market for the Equity Shares may not develop and the price of the Equity Shares may be volatile.
- The price of the Equity Shares may be highly volatile after the Issue.
- You will not be able to sell immediately on the Stock Exchanges any of the Equity Shares you purchase in the Issue.
- There are restrictions on daily movements in the trading price of the Equity Shares, which may adversely affect a shareholder's ability to sell Equity Shares or the price at which Equity Shares can be sold at a particular point in time.
- The price of the Equity Shares may be volatile, which could result in substantial losses for investors acquiring the Equity Shares in the Issue.
- Any future issuance of Equity Shares, or convertible securities or other equity-linked securities by the Company may dilute your shareholding and any sale of Equity Shares by its Promoter or members of the company Promoter Group may adversely affect the trading price of the Equity Shares.
- Sale of Equity Shares by its Promoter or other significant shareholder(s) may adversely affect the trading price of the Equity Shares.
- Rights of shareholders under Indian laws may be more limited than under the laws of other jurisdictions.
The Issue type of Bikewo Green Tech Ltd is Book Building - SME.
The minimum application for shares of Bikewo Green Tech Ltd is 2000.
The total shares issue of Bikewo Green Tech Ltd is 3886000.
Initial public offer of upto 38,86,000 equity shares of face value of
Rs. 10/- each ("Equity Shares") of the company at an issue price of Rs. 62 per equity share (including a share premium of Rs. 52 per equity share) for cash, aggregating up to Rs. 24.09 crores ("Public Issue") out of which 1,96,000 equity shares of face value of Rs. 10/- each, at an issue price of Rs. 62 per equity share for cash, aggregating Rs. 1.22 crores will be reserved for subscription by the market maker to the issue (the "Market Maker Reservation Portion"). The public issue less market maker reservation portion i.e. issue of 36,90,000 equity shares of face value of Rs. 10/- each, at an issue price of Rs. 62 per equity share for cash, aggregating up to Rs. 22.87 crores is hereinafter referred to as the "Net Issue". The public issue and net issue will constitute 37.52 % and 28.29 % respectively of the post-issue paid-up equity share capital of the company.