Neelam Linens and Garments IPO opens today: Check issue size, price band, GMP and other details

The SME IPO of Neelam Linens will open for subscription today and will close on November 12. The company aims to raise Rs 13 crore through the SME IPO and list the shares on NSE SME platform. Here are 10 key things investors need to know about the public offer before subscribing to the issue.

1) Neelam Linens IPO size

The IPO is entirely a fresh equity sale of 54.18 lakh shares and through the issue, the company plans to raise about Rs 13 crore.

2) Neelam Linens IPO price band

The company is offering its shares at Rs 20-24 apiece, and investors can bid for 6000 shares in 1 lot.

3) Neelam Linens GMP

In the unlisted market, the company's shares were trading with a GMP of Rs 0, indicating a premium of 0% over the issue price.

4) About Neelam Linens

Neelam Linens and Garments operates as a soft home furnishing company based out of Maharashtra, India, extending our services to a global clientele, including US, Australia and Far East. It specializes in the processing, finishing and supplying of bedsheets, Pillow cover, Duvet Cover, Towels, Rugs, Doher, Shirts & Garments predominantly for discounted retail outlets.

5) Industry Overview

The Indian textile and apparel industry is expected to grow at 10% CAGR from 2019-20 to reach $190 billion by 2025-26. The Rs
10,683 crore ($1.44 billion) PLI scheme is expected to be a major boost for textile manufacturers

6) Neelam Linens financial performance

For the period ended June 2024, the company clocked total revenues of Rs 21.79 crore and net profit of Rs 80 lakh.

7) Objects of the offer

The net proceeds from the public offer will be used for funding capital expenditure requirements of the company, repayment of debt and general corporate purposes.

8) Lead managers and Registrar

Expert Global Consultants is acting as the lead manager to the issue and Purva Sharegistry is the registrar.

9) Issue structure

About 50% of the offer is reserved for qualified institutional buyers, 35% for retail investors and the other 15% for non-institutional investors.

10) Important dates

The IPO opened on November 8 and will close on November 12. The final allotment will likely be made on November 13. The company's shares will likely get listed on November 15.

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