IPO: IKIO Lighting

In a nutshell Quality: Its topline and profit after tax have grown at 25 and 32 per cent per annum, respectively, over FY20-22. In addition, it has maintained the highest ROE in its segment. Growth: Localisation of the supply chain, the emergence of the China + 1 strategy and emerging technologies will fillip growth in the industry. Valuation: The stock will be priced at a P/E of 78.6, which is higher than the peers' median P/E of 52.3. Overview: The IPO proceeds will be utilised to deleverage and expand its existing facilities. The company operates in a growing industry; however, it faces significant competition from its peers. About the company IKIO Lighting primarily provides LED lighting solutions. It manufactures original designs as well as designs of other OEMs for commercial, industrial and residential applications. Strengths