the Shiv Texchem IPO opened for subscription, aiming to raise approximately ₹101.35 crores. The IPO consists of a fresh issue of 61.06 lakh shares, priced between ₹158 and ₹166 per share. Investors can bid in lots of 800 shares, which means a minimum investment of ₹1,32,800 for retail investors. The subscription period will close on October 10, 2024, with the allotment date set for October 11, 2024. The shares are expected to list on the BSE SME around October 15, 2024.
Main Points
What is the Grey Market Premium (GMP)?
As of today, the Grey Market Premium (GMP) for Shiv Texchem is reported to be around ₹40. This figure indicates a potential listing premium of approximately 24% over the upper price band of ₹166. The GMP reflects market sentiment and demand for the shares prior to their official listing.
Shiv Texchem Company Overview
Shiv Texchem Limited, established in 2005, specializes in importing and distributing hydrocarbon-based chemicals. These chemicals serve as crucial raw materials across various industries, including:
- Paints and coatings
- Printing inks
- Agrochemicals
- Specialty polymers
The company’s clientele includes notable firms such as Apcotex Industries Ltd., Hemani Industries Ltd., and Gujarat Fluorochemicals Ltd.
Shiv Texchem IPO Financial Performance
For the fiscal year ending in March 2024, Shiv Texchem reported:
- Total revenues of ₹1,536.69 crores, marking a 37% year-on-year increase.
- A net profit of ₹30.11 crores, up from ₹16.02 crores in the previous fiscal year.
- In the first quarter of FY2025, revenues reached ₹567.07 crores, with a profit after tax of ₹10.05 crores.
Use of Proceeds
The proceeds from this IPO will be allocated towards:
- Long-term working capital requirements
- General corporate purposes
Subscription Details
Key Dates
- IPO Opening Date: October 8, 2024
- IPO Closing Date: October 10, 2024
- Allotment Date: October 11, 2024
- Listing Date: October 15, 2024
Price Band
- Minimum Price: ₹158
- Maximum Price: ₹166
- Lot Size: 800 shares
Investment Requirements
- Retail Investors: Minimum investment of ₹1,32,800 (for one lot)
- High-Net-Worth Individuals (HNIs): Minimum investment of ₹2,65,600 (for two lots)
Shiv Texchem IPO Market Sentiment and Expectations
The current GMP of ₹40 indicates strong interest in Shiv Texchem’s shares among investors. However, it’s essential to note that GMP is not an official indicator and can fluctuate based on market conditions.
Investors are encouraged to consider the fundamentals of the company rather than solely relying on GMP figures when making investment decisions.
