Snehaa Organics, a Hyderabad-based solvent recovery and recycling company, is set to conclude its Initial Public Offering (IPO) process with the allotment of shares expected to be finalized today. The Rs 33.00 crore IPO, which ran from August 29 to September 2, has garnered significant attention from investors across various categories.

IPO Details and Subscription Status

The IPO, priced in the band of Rs 115.00-Rs 122.00 per share, consisted of 26.79 lakh fresh shares. The issue witnessed a robust response from investors, with an overall subscription rate of 28 times. Here's a breakdown of the subscription rates across different investor categories:

Grey Market Premium and Expected Listing

As the allotment process concludes, the Grey Market Premium (GMP) for Snehaa Organics stands at Rs 3.00 per share. This suggests a potential listing price of around Rs 125.00, indicating a modest premium over the issue price.

Key Dates for Investors

• September 4: Refund process begins for unsuccessful applicants
• September 5: Credit of shares to successful applicants
• September 5: Expected listing on NSE SME platform

Company Performance

Snehaa Organics has shown promising financial results in the recent fiscal year:

• Revenue: Rs 26.29 crore (10% year-on-year growth)
• Net Profit: Rs 7.34 crore (more than doubled compared to the previous year)

Utilization of IPO Proceeds

The company plans to use the funds raised from the IPO for:

1. Working capital requirements
2. Loan repayment
3. General corporate purposes

Investors who have applied for shares in the Snehaa Organics IPO should keep an eye on their application status as the allotment process concludes today. With the strong subscription rates and positive Grey Market Premium, the upcoming listing on the NSE SME platform is anticipated with interest by market participants.

Snehaa Organics, a specialist in solvent recovery and recycling, has opened its Initial Public Offering (IPO) to raise Rs 32.68 crore. The company aims to capitalize on its strong presence in the pharmaceutical sector and expand its operations.

IPO Details

• Price Band: Rs 115-122 per share
• Issue Size: 0.27 crore shares (fresh issuance)
• Subscription Period: August 29 to September 2
• Listing Date: September 5 on NSE SME platform
• Grey Market Premium: 31%

Company Overview

Snehaa Organics specializes in solvent recovery and recycling, operating a manufacturing facility in Hyderabad. The company collects spent solvents from various industries and processes them through distillation and purification technologies.

Financial Performance

The company has shown strong financial growth:

IPO Proceeds Allocation

The funds raised through the IPO will be utilized as follows:

• Working capital requirements: Rs 23.94 crore
• Loan repayment: Rs 3.50 crore
• General corporate purposes: Remaining amount

Investor Allocation

• Retail investors: 45.17% of the issue
• Non-institutional investors: 45.13% of the issue

The minimum investment for the IPO is set at 2,000 shares.

Snehaa Organics' IPO presents an opportunity for investors interested in the solvent recovery and recycling sector, particularly with its focus on the pharmaceutical industry. The company's recent financial performance and plans for expansion using the IPO proceeds may attract attention from both retail and institutional investors.