Sati Poly Plast IPO to open for subscription on July 12; price band fixed at ₹123 to ₹130 apiece

Sati Poly Plast IPO: The initial public offering of Sati Poly Plast Ltd will began subscription from Friday, July 12, and close on Tuesday, July 16. Sati Poly Plast IPO price band has been set in the range of ₹123 to ₹130 per share of face value of ₹10 each. The floor price is 12.30 times of the face value and the cap price is 13.00 times. A minimum of 1000 shares, as well as multiples of those shares, are up for bid.

15% of the net offer has been assigned for non-institutional investors, 35% for retail investors, and 50% for qualified institutional buyers (QIBs) in the Sati Poly Plast IPO.

The firm makes flexible packaging materials that are multipurpose and meet the needs of different sectors in terms of packaging. The company offers comprehensive solutions for a range of flexible packaging requirements. The company dealt in the trade of flexible packaging materials up to 2015. The company started producing flexible packaging material in 2017.

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The top 10 customers, which include DFM Foods Limited, Osho Trade Services LLP, Charu Overseas Private Limited, First Point Polymers LLP, Pari Food Products LLP, Fena (P) Limited, Ambey Food Products, Mahesh Edible Oil Industries Ltd, Adani Wilmar Ltd, and Vimal Hi-Tech Pvt Ltd, account for more than 50% of their total revenue from operations.

As per the red herring prospectus (RHP), the company's listed peer are Sabar Flex India Ltd (with a P/E of 7.50), and Uma Converter Ltd (with a P/E of 11.81).

Between March 31, 2024, and March 31, 2023, Sati Poly Plast Limited's profit after tax (PAT) increased by 6.39% while its revenue declined by -6.05%.

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Sati Poly Plast IPO details

The Sati Poly Plast IPO, worth ₹17.36 crore, consists of a fresh issuance of 1,335,000 equity shares at face value of ₹10. There is no offer-for-sale component.

The proceeds from the new issuance will be applied to the following goals: general corporate purposes and working capital requirements.

The Sati Poly Plast IPO's book running lead manager is Beeline Capital Advisors Pvt Ltd, and the registrar is Link Intime India Private Ltd. Spread X Securities is the market maker for the Sati Poly Plast IPO.

Sati Poly Plast IPO basis for share allocation is expected to be finalised on Thursday, July 18. The business will start processing refunds on Friday, July 19, and the shares will be credited to the allottees' demat accounts on the same day. Sati Poly Plast shares are likely to be listed on Monday, July 22 on NSE SME.

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