Manas Polymers and Energies Set for NSE SME Debut: IPO Details and Market Response
Manas Polymers and Energies, a manufacturer of food-grade PET products and solar power producer, is scheduled to list on the NSE SME platform on October 6. The company's Rs 23.00 crore IPO received a lukewarm response, with an overall subscription of 1.24 times. Institutional investors showed strong interest with 6.66 times subscription, while retail participation was weak at 0.19 times. The issue price was set at Rs 81.00 per share, and the grey market premium stands at 0%. The company plans to use the IPO proceeds for setting up a solar power plant, purchasing fixed assets, and general corporate purposes. Recent financials show a 65% YoY growth in total income to Rs 33.06 crore and a 152% increase in profit after tax to Rs 4.29 crore.
*this image is generated using AI for illustrative purposes only.
Manas Polymers and Energies, a manufacturer of food-grade PET products and a solar power producer, is set to make its debut on the NSE SME platform on October 6. The company's initial public offering (IPO) of Rs 23.00 crore, which concluded on September 30, received a lukewarm response from investors. Let's delve into the key details of this upcoming listing.
IPO and Subscription Details
| Particulars | Details |
|---|---|
| Issue Price | Rs 81.00 per share |
| Total Issue Size | Rs 23.00 crore |
| Fresh Issue | 29.04 lakh shares |
| Overall Subscription | 1.24 times |
| Institutional Investor Subscription | 6.66 times |
| Retail Investor Subscription | 0.19 times |
| Grey Market Premium | 0% |
The IPO's subscription levels indicate a mixed response from different investor categories. While institutional investors showed strong interest with a 6.66 times subscription, retail participation remained notably weak at just 0.19 times.
Company Overview and Financials
Manas Polymers and Energies operates in two primary segments:
- Manufacturing of food-grade PET preforms, bottles, jars, and caps for packaging, FMCG, automotive, and construction industries.
- Solar power generation as an independent power producer.
The company's recent financial performance shows promising growth:
| Financial Metric | Amount | YoY Growth |
|---|---|---|
| Total Income | Rs 33.06 crore | 65% |
| Profit After Tax | Rs 4.29 crore | 152% |
It's worth noting that Manas Polymers and Energies only recently became a public limited company, indicating its relatively new transition to the public markets.
IPO Proceeds Utilization
The fresh issue of 29.04 lakh shares aims to raise funds for the following purposes:
| Purpose | Allocation (in Rs crore) |
|---|---|
| Solar Power Plant Setup | 13.50 |
| Fixed Asset Purchases | 2.97 |
| General Corporate Purposes | Remaining funds |
Market Expectations
The zero percent grey market premium suggests that the stock may list close to its issue price of Rs 81.00 per share. This indicates a cautious market sentiment towards the company's debut.
Conclusion
As Manas Polymers and Energies prepares for its NSE SME listing, investors will be closely watching its market performance. The company's diverse business model, spanning PET products and renewable energy, along with its recent financial growth, could be potential factors influencing its stock performance post-listing. However, the lukewarm IPO response, particularly from retail investors, may temper initial expectations.
Investors should conduct thorough research and consider their risk appetite before making any investment decisions related to this upcoming listing.
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