DEE Development Engineers announces IPO, aims to raise ₹325 Crore
DEE Development Engineers IPO: Industry Leader in Process Piping Solutions with Strategic Global Presence
BILKULONLINE
Ahmedabad, June 13: DEE Development Engineers Limited has announced its Initial Public Offering (IPO) price band at ₹193 to ₹203 per share, with a minimum lot size of 73 shares for retail investors, amounting to an investment of ₹14,819. The subscription window will be open from June 19 to June 21.
Company Overview
Incorporated in 1988 by Chairman and Managing Director K.L. Bansal, DEE Development Engineers Limited has established itself as a distinguished engineering firm specializing in process piping solutions for industries such as oil and gas, power (both conventional and nuclear), and chemicals. The company excels in engineering, procurement, and manufacturing, offering products like high-pressure piping systems, piping spools, high-frequency induction pipe bends, longitudinally submerged arc welding pipes, and various industrial pipe fittings. Additionally, the firm manufactures pressure vessels, industrial stacks, modular skids, and custom components like boiler superheater coils and de-superheaters.
DEE Development operates seven manufacturing facilities in Palwal (Haryana), Anjar (Gujarat), Barmer (Rajasthan), Numaligarh (Assam), and Bangkok (Thailand). As of December 2023, these facilities boast an installed capacity of 70,875 metric tons (MT), with annual capacities marked at 94,500 MT in Fiscal 2023, 91,500 MT in Fiscal 2022, and 86,500 MT in Fiscal 2021. The company recently ventured into designing, engineering, fabricating, and manufacturing pilot plants at its Palwal Facility III. As of March 31, 2024, DEE Development employs 1,061 individuals, including 54 highly skilled welders with certifications like CSWIP 3.0 and 3.1, AWS-CWI, and CWV, and 53 employees proficient in non-destructive examination with qualifications such as NDE Level II and Level III.
At a press meet in Ahmedabad on Thursday, K.L. Bansal, Chairman and Managing Director; Pankaj Agarwal, Chief Operating Officer; Sameer Agarwal, Chief Financial Officer; Ranjan Kumar Sarangi, Company Secretary; and Lalit Mahajan, Banker Representative, addressed the media.
Strategic Advantages and Industry Outlook
DEE Development Engineers is a leading player in an industry with significant barriers to entry, holding the largest installed capacity for process piping solutions in India. The company’s strategically located state-of-the-art manufacturing facilities and a wide range of specialized product offerings make it a comprehensive solution provider for diversified customers across geographies and sectors. With long-standing customer relationships and a strong order book, the firm maintains a robust focus on automation and process excellence, driven by an experienced engineering team.
India’s National Green Hydrogen Mission plans to develop 5 MMT annual green hydrogen production, involving over ₹8 trillion investment, aiming for a 125 GW renewable energy increase. With 48 projects announced, targeting 3.5 million t/yr capacity by 2030, India’s oil & gas PSUs plan a 38,000 tonnes/year green hydrogen production by next year.
IPO Details
DEE Development Engineers Limited’s IPO comprises a mix of a fresh issue and an offer for sale (OFS), with the company aiming to raise ₹325 crore through the fresh issue and OFS comprising 79,00,000 shares. The IPO is a book-building issue. The proceeds from the IPO will be used for working capital, debt repayment, and general corporate purposes.
As DEE Development Engineers Limited opens its IPO, it stands as a pioneering force in the engineering and process piping industry, both within India and globally. The company’s robust portfolio, strategic manufacturing network, and commitment to operational excellence position it for continued success and growth.
Disclaimer: Investors must thoroughly study the company profile and details before investing.
