Ecoline Exim Launches Rs 76.42 Crore IPO for Sustainable Packaging Products
Ecoline Exim, a sustainable packaging manufacturer, opens its IPO to raise Rs 76.42 crore, comprising a fresh issue of Rs 61.19 crore and an offer-for-sale of Rs 15.23 crore. The IPO has a price band of Rs 134-141 per share, with a minimum bid of 2,000 shares. Subscription closes on September 25, with listing on NSE SME platform on September 30. The company specializes in cotton and jute packaging bags, exporting to over 27 countries. Ecoline Exim plans to use Rs 50.00 crore for a new manufacturing facility in Ahmedabad. Recent financials show a slight decline in total income and profit after tax from FY24 to FY25.
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Ecoline Exim, a manufacturer of sustainable packaging products, has opened its Initial Public Offering (IPO) for subscription. The company aims to raise Rs 76.42 crore through this public issue, which comprises a fresh issue of Rs 61.19 crore and an offer-for-sale of Rs 15.23 crore.
IPO Details
- Price Band: Rs 134-141 per share
- Minimum Bid: 2,000 shares
- Subscription Period: Closes on September 25
- Listing Date: September 30 on NSE SME platform
- Grey Market Premium: Approximately 7% over the upper price band
Company Overview
Ecoline Exim specializes in manufacturing sustainable cotton and jute packaging bags. The company operates three manufacturing units and exports its products to over 27 countries, including the United States, European Union nations, Japan, and Mexico.
Financial Performance
| Fiscal Year | Total Income | Profit After Tax |
|---|---|---|
| FY25 | 273.00 | 18.80 |
| FY24 | 281.00 | 22.60 |
The company's financial data shows a slight decline in both total income and profit after tax from FY24 to FY25.
Utilization of Funds
Ecoline Exim plans to use Rs 50.00 crore from the fresh issue to establish a new manufacturing facility in Ahmedabad, which will contribute to the company's expansion plans.
Conclusion
The IPO presents an opportunity for investors interested in the sustainable packaging sector, with Ecoline Exim's established presence in both domestic and international markets. However, potential investors should carefully consider the company's recent financial performance and growth prospects before making any investment decisions.
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