Sah Polymers‘ initial public offering (IPO) was fully subscribed to on the second day of the issue. The subscription period will begin on Friday, December 30, 2022. The issue’s price band, which will end on Wednesday, January 4, 2023, has been set at 61 to 65 cents per share.
According to BSE data, as of 2 p.m. on day 2, the offer had been oversubscribed 1.56 times, with the retail category overbooked 5.10x, NIIs 1.55x, and QIBs 0.38x.
According to market observers, Sah Polymers shares currently command a five premium in the grey market. On Thursday, January 12, 2023, the company’s shares are expected to be listed on the leading stock exchanges, BSE and NSE.
Sah Polymers’ initial public offering (IPO) is a new issue of 1,02,00,000 equity shares with no offer for sale (OFS) component. Sat Industries, the company’s promoter, owns 91.79% of the stock.
“We assign a “Subscribe” button.” “This IPO has a rating because the company has a diverse product portfolio with customers from various geographies and industries. It is also available at reasonable valuations given the company’s future growth potential, “Marwadi Shares and Financial Services stated.
The net proceeds will be used to establish a new manufacturing facility to manufacture new variants of Flexible Intermediate Bulk Containers (FIBC), repay/prepay certain secured and unsecured borrowings in full or part, fund working capital requirements, and for general corporate purposes.
The company, which has its headquarters in Udaipur, manufactures and sells woven sacks, HDPE/PP woven fabrics, woven polymer-based products, and polypropylene (PP)/high-density polyethylene (HDPE) FIBC bags. The company is present in six states and one union territory for the domestic market.
Internationally, the company operates in six regions, including Africa, the Middle East, Europe, the USA, Australia, and the Caribbean.
Despite the company’s strong customer base across geographies and industries, good financials, and wide range of products, Reliance Securities believes the issue is too expensive given the current financials.
The registrar for the public offering is Link Intime India Private Ltd, while Pantomath Capital Advisors is the merchant banker for the initial share sale.