The goal of the Shree Tirupati Balajee Agro IPO is to raise Rs 169.65 crore by selling 2.04 crore equity shares at the highest price range.
Following Gala Precision Engineering’s IPO, Shree Tirupati Balajee Agro Trading Company will be the second first share sale from the mainboard sector in September. Before subscribing to the issue, Know whether Shree Tirupati Balajee Agro IPO is good or bad for investing,
Shree Tirupati Balajee Agro IPO Details
Subscriptions for the public issue will begin on September 5 and close for bids on September 9. The anchor book will be available for one day only on September 4. The public offering of the Madhya Pradesh-based company Shree Tirupati Balajee Agro has a Price Band of Rs 78-83 per share.
Shree Tirupati Balajee Agro IPO Size
The company hopes to raise Rs 169.65 crore by selling 2.04 million equity shares at the top price range in its inaugural public offering.
The IPO consists of the company’s new issue of 1.47 crore equity shares valued at Rs 122.42 crore and promoter Binod Kumar Agarwal’s offer to sell 56.9 lakh equity shares valued at Rs 47.23 crore.
The company has 51 owners, with promoter Binod Kumar Agarwal accounting for 88.38 percent of the shares, according to the Red Herring Prospectus that was filed with SEBI. Public investors hold the remaining 11.62 percent of the shares.
Objectives of Shree Tirupati Balajee IPO
The manufacturer of flexible intermediate bulk containers will use Rs 52.27 crore of the net proceeds from the new issue to pay down its debt. While the remaining proceeds from the new issue would be utilized for general company objectives, an additional Rs 24.24 crore will be used to address working capital needs.
As of May 2024, its combined records showed a total debt of Rs 245.33 crore. The selling shareholder, Binod Kumar Agarwal, will receive the money offered for sale.
IPO Lot Size
Investors may place bids in multiples of 180 shares after the minimum of 180 equity shares. Retail investors can invest up to Rs 2 lakh in the Shree Tirupati Balajee IPO (13 lots – 2,340 shares), with a minimum investment of Rs 14,940 per lot (180 shares) and a maximum investment of Rs 1,94,220.
Qualified institutional buyers (QIBs) will obtain half of the company’s size for the public offering, retail investors will receive 35% of the shares, and non-institutional investors will receive the remaining 15%.
Company Profile
Shree Tirupati Balajee Agro Trading Company has five manufacturing facilities and produces industrial packaging items in addition to flexible intermediate bulk containers (FIBCs), or huge flexible bags. Many industries, including chemicals, agrochemicals, food mining, waste management, agriculture, lubricants, and edible oil, employ its products.
Through its subsidiaries Jagannath Plastics (JPPL), Shree Tirupati Balajee FIBC (STBFL), and Honourable Packaging (HPPL), it does business.
Financial Performance
Driven by strong operating performance and improved other income, Shree Tirupati Balajee Agro reported a profit of Rs 36.1 crore for the year ending March 2024, a remarkable increase of 74.1 percent over the previous fiscal. Other expenses decreased as well, from Rs 85.3 crore to Rs 70.34 crore, in the same time frame.
Fiscal 2024 saw a 13.5 percent increase in revenue to Rs 539.7 crore from the previous year. In the same period, EBITDA increased by 29% yoy to Rs 61.9 crore, with a 137 basis point increase in margin to 11.47% for the fiscal year that ended in March 2024.
Shree Tirupati Balajee Agro IPO Allotment and Listing Date
On September 10, the business will finalize the basis for the allotment of IPO shares. On that day, those planning to invest in the IPO can check the status of their allotment.
By September 11, eligible investors will receive the company’s IPO shares in their demat accounts. On September 12, these shares will begin trading on the BSE and NSE.
Link Intime India is the registrant of the offer, and PNB Investment Services and Unistone Capital are the merchant bankers. The grey market premium (GMP) of Shree Tirupati Balajee IPO is ₹8 as of today.
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