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Unlisted shares of Standard Glass Lining Ltd are presently buying and selling at Rs 236 apiece within the gray market, which is a 68.57 per cent premium over the higher IPO value of Rs 140. It signifies a strong itemizing acquire for traders on January 13.
Most brokerage companies have given a ‘subscribe’ ranking to the Standard Glass Lining IPO for the long run.
Standard Glass Lining IPO: The preliminary public supply (IPO) of Standard Glass Lining Ltd goes to be closed on Wednesday, January 8. It was opened on January 6. The value band of the Rs 410-crore IPO has been mounted at Rs 133 to 140 apiece. Till 10:39 am on the ultimate day of bidding on Wednesday, the IPO acquired a forty five.75 occasions subscription receiving bids for 93,79,71,416 shares in opposition to 2,05,02,558 shares on supply.
So far, the quota for retail traders acquired subscribed by 40.03 occasions. The non-institutional traders (NII) portion acquired a 113.84 occasions subscription. The QIB class has acquired a 4.69 occasions subscription.
The IPO was subscribed by 13.67 occasions on Day 1 on Monday and 35.54 occasions on Day 2 on Tuesday.
The IPO allotment will doubtless happen on January 9, whereas the itemizing is scheduled to happen on January 13.
Standard Glass Lining IPO GMP Today
According to market observers, unlisted shares of Standard Glass Lining Ltd are presently buying and selling at Rs 236 apiece within the gray market, which is a 68.57 per cent premium over the higher IPO value of Rs 140. It signifies a strong itemizing acquire for traders on January 13.
Standard Glass Lining IPO: Should You Apply?
Most brokerage companies have given a ‘subscribe’ ranking to the IPO for the long run.
Anand Rathi Research in its IPO notice mentioned Standard Glass Lining is specialised engineering gear producers for pharma and chemical sectors in India with merchandise throughout total worth chain with personalized and modern product providing throughout the complete pharmaceutical and chemical manufacturing worth chain and strategically situated manufacturing services with superior technological capabilities.
“At the higher value band, the corporate is valuing at P/E of 43.01 occasions, with an EV/Ebitda of 30.08 occasions and market cap of Rs 2,792.8 crore submit subject of fairness shares and return on web value of 20.74 occasions. We imagine that the IPO is pretty priced and suggest a ‘subscribe for long run’ ranking to the IPO,” it added.
Geojit Financial Services in its IPO notice additionally advisable to ‘subscribe for long run’. “Standard Glass’ valuation seems pretty priced in comparison with friends. The rising demand for glass-lined gear in pharma and chemical substances gives vital development potential. Its wholesome margins, constant income development, sturdy development outlook, a various product portfolio with a deal with customisation, and inorganic development plans assist a ‘subscribe for long run ranking,” it mentioned.
Granting a ‘subscribe for long-term’ ranking to the IPO, SBI Securities mentioned the expansion outlook for Standard Glass is strong as it’s prone to develop its income between 20-25 per cent within the medium time period with geographical and product growth. The firm is concentrating on 20 per cent of income from export by 2026 versus current 0.5 per cent.
“While evaluating with its shut friends, the difficulty is pretty valued with superior margin profile,” it mentioned.
Standard Glass Lining IPO: More Details
The Rs 410.05-crore Standard Glass Lining IPO is a mixture of recent issuance of fairness shares value Rs 210 crore and a proposal on the market (OFS) of as much as 1.43 crore shares by promoters and different promoting shareholders, in keeping with the crimson herring prospectus (RHP).
S2 Engineering Services, Kandula Ramakrishna, Kandula Krishna Veni, Nageswara Rao Kandula, Standard Holdings, Katragadda Venkata Ramani, and Venkata Siva Prasad Katragadda are amongst shareholders promoting shares by way of the OFS route.
Proceeds from the recent subject to the extent of Rs 130 crore shall be utilized by the corporate for debt compensation and Rs 30 crore for funding in a wholly-owned subsidiary S2 Engineering Industry.
Funds value Rs 20 crore can even be utilised by the corporate in the direction of inorganic development by way of strategic investments or acquisitions, Rs 10 crore for the acquisition of equipment and gear and a portion can even be used for basic company functions.
Standard Glass Lining Technology has mobilised Rs 123 crore from anchor traders forward of its IPO.
Standard Glass Lining Technology gives complete options that embody design, engineering, manufacturing, meeting, set up, and commissioning and establishing normal working procedures for pharmaceutical and chemical producers on a turnkey foundation.
Some of its pharma purchasers embrace Aurobindo Pharma, Cadila Pharmaceutical, Granules India Ltd, Macleods Pharmaceuticals, Piramal Pharma, and Suven Pharmaceuticals.
IIFL Capital Services Ltd (previously often called IIFL Securities Ltd) and Motilal Oswal Investment Advisors Ltd are the book-running lead managers, whereas KFin Technologies is the registrar for the difficulty.
The shares shall be listed on the BSE and the National Stock Exchange (NSE).
