SME IPO: Essen Speciality Films issue to open on June 23. 10 things to know about the offer

The initial share sale of Essen Speciality Films will open for public subscription on June 23. The issue closes on June 27. Here are 10 things to know about the public offer

1) Company Overview
The company is a manufacturer and exporter of specialized plastic products in the home improvement and home furnishing industry, to renowned multinational modern trade retailers, such as IKEA, Walmart, and Kmart, among others.

2) Industry Overview

India manufactures various products such as plastics and linoleum, houseware products, cordage, fishnets, floor coverings, medical items, packaging items, plastic films, pipes, raw materials, etc. The country majorly exports plastic raw materials, films, sheets, woven sacks, fabrics, and tarpaulin. The government intends to take the plastic industry from a current level of Rs 3 lakh crore ($37.8 billion) of economic activity to Rs 10 lakh crore ($ 126 billion) in 4-5 years.

3) Issue size
The IPO comprises a fresh equity issue of up to 46.99 lakh equity shares of a face value of Rs 10 each and an offer for sale (OFS) of up to 15 lakh equity shares by selling shareholders.

4) Issue Structure
About 50% of the offer is reserved for the QIB category, 15% for non-institutional investors, and 35% for retail investors.

5) Price Band
The company has set the price band of Rs 101-107 per share, and investors can bid for 1,200 shares in 1 lot.

6) Financial Performance
For the year ended March 2023, the company's revenues stood at Rs 118 crore and net profit came in at Rs 13.37 crore.

7) Objects of the Offer
The proceeds from the public offering will be utilised for repayment of the debt, working capital requirements, and other general corporate purposes.

8) Booking running lead managers
GVR Capital Advisors is the book-running lead manager to the issue, and Bigshare Services is the registrar.

9) Listing of Shares
The company's shares will get listed on the NSE Emerge platform

10) Important Dates
The IPO opens on June 23 and closes on June 27. The final allotment will be made on July 3. The company's shares will likely get listed on June 6.