Avience Biomedicals SME IPO Review | APPLY or AVOID?
Avience Biomedicals Limited started in 2024. It operates in the Pharmaceutical industry and provides molecular diagnostic solutions to its customers across India and overseas. This business is based in Delhi. This IPO review covers the main facts of the offer. It helps you decide if the issue fits your portfolio. Avience Biomedicals Limited shows steady growth, but the sustainability of bumper profits remains a key point to consider for investors. This business relies heavily on outside suppliers for critical medical materials. However, the company’s profitability improved due to better procurement, supply chain optimisation, and increased in-house manufacturing. The company increases recurring revenue through the medium of maintenance contracts and export business expansion. This further supports profitability and future growth.
✅ Strengths
⚠️ Challenges
Financial Update
The company released its restated financial statements for the year ending March 31, 2025. Total revenue was ₹45.97 crore increased from ₹24.37 in previous year. The net profit for the same period was ₹7.23 crore increased from ₹2.14 in previous year. Assets increased by 63.11% compared to the previous year. The revenue numbers show a clear upward trend over the last two years. The bottom line profit also expanded along with the total asset size. This trend should be carefully studied prior to any investment.
IPO Valuation
The upper price band is ₹208. This price leads to a Price-to-Earnings (P/E) ratio of 15.78. The average P/E for the industry is 19.26. The share price looks fully valued based on recent high earnings. The valuation sits close to matching peers in the medical space. This trend should be carefully studied prior to any investment.
IPO Objective
Company will use Offer proceeds to meet stated objectives:
- New manufacturing unit setup under Yamuna Expressway Industrial Development Authority in Uttar Pradesh
- General workspace operational funds management
- Core enterprise working capital cost balancing
Promoters & Lead Manager
- Dharam Deo Choudhary, Ram Nagina Choudhary, Janardan Pal and Deepa Choudhary are the promoters.
- Promoters possess long-standing operations experience in the medical production fields.
- Lead manager (Fintellectual Corporate Advisors Pvt.Ltd.) brings a clean track record handling multiple recent small enterprise listings.
- Merchant banker managed 4 listings recently with the majority showing premium opening returns.
Peer Comparison
Below is the comparison of the company with its listed peers using data from March 31, 2025. The company faces competition from unlisted and listed operators within this zone.
| Company Name | EPS (Basic) | EPS (Diluted) | NAV (₹ per share) | P/E (x) | RoNW (%) | P/BV Ratio | Financial statements |
|---|---|---|---|---|---|---|---|
| Anubhav Plast | 7.5 | 7.5 | 19 | 47.78 | Restated | ||
| Newmalayalam Steel Limited | 3.19 | 3.19 | 45 | 7.45 | 5.63 | 0.51 | Standalone |
| P S Raj Steels Limited | 9.83 | 9.83 | 86 | 40.53 | 11.41 | 4.63 | Standalone |
Financial data sourced from annual reports and stock exchange data, using restated financial statements for 2024-25. NAV per share (closing net worth divided by weighted average number of paid-up equity shares) and RoNW (net profit after tax divided by closing net worth).
IPO Review & Analyst Rating
The business holds steady fundamentals alongside a small equity base. The company shows steady growth but is fully priced due to its tiny paid-up equity capital.
| Analyst Name | Recommendation |
|---|---|
| Overall Market Experts | “May Apply with Caution” or “Neutral to Positive” |
Disclaimer: The information on the site is informational only. The contents of this blog are not financial advice. You should not invest in any stock market instrument without consulting your Financial advisor.
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