Bai Kakaji Polymers shares to list today. Here's what GMP suggests
Bai Kakaji Polymers is set to debut on the BSE SME platform on December 31. The company's Rs 105 crore IPO saw steady demand, with a 2% grey market premium indicating cautious investor sentiment. The funds raised will primarily be used to repay bo...
By ETMarkets.com |
ANI
Bai Kakaji Polymers is set to list on the BSE SME platform on December 31, with the grey market indicating a slim premium of around 2% over the issue price. The modest grey market signal points to cautious optimism among investors, despite the Rs 105 crore IPO drawing steady demand across categories during the bidding period.
The IPO was priced at Rs 186 per share, valuing the company at a pre-issue market capitalisation of about Rs 398 crore. A 2% GMP suggests a potential listing price in the range of Rs 189–190.
The public issue was subscribed 5.71 times by the close of bidding on December 26. Demand was balanced across investor categories, with qualified institutional buyers subscribing their portion nearly eight times, while non-institutional investors and retail investors subscribed 7.84 times and 3.56 times, respectively. The company had also raised Rs 29.91 crore from anchor investors ahead of the issue, lending some institutional support to the offering.
Bai Kakaji Polymers is engaged in the manufacturing of PET preforms, plastic caps, and closures used across packaged drinking water, carbonated beverages, juices, and dairy products. The company operates four manufacturing units in Latur, Maharashtra, spread across about 33,000 square metres, and uses advanced machinery from global suppliers such as SACMI, ASB, and HUSKY.
Financially, the company has reported steady growth over the years. Revenue rose 12% year-on-year in FY25 to Rs 332.12 crore, while profit after tax nearly doubled to Rs 18.37 crore.
The company plans to use the bulk of the IPO proceeds to repay or prepay borrowings worth Rs 64 crore, which is expected to ease balance sheet pressure. Additional funds will be deployed towards capacity expansion, installation of new plant and machinery, and setting up a solar power project to reduce energy costs.
(Disclaimer: Recommendations, suggestions, views and opinions given by the experts are their own. These do not represent the views of Economic Times)
The IPO was priced at Rs 186 per share, valuing the company at a pre-issue market capitalisation of about Rs 398 crore. A 2% GMP suggests a potential listing price in the range of Rs 189–190.
The public issue was subscribed 5.71 times by the close of bidding on December 26. Demand was balanced across investor categories, with qualified institutional buyers subscribing their portion nearly eight times, while non-institutional investors and retail investors subscribed 7.84 times and 3.56 times, respectively. The company had also raised Rs 29.91 crore from anchor investors ahead of the issue, lending some institutional support to the offering.
Bai Kakaji Polymers is engaged in the manufacturing of PET preforms, plastic caps, and closures used across packaged drinking water, carbonated beverages, juices, and dairy products. The company operates four manufacturing units in Latur, Maharashtra, spread across about 33,000 square metres, and uses advanced machinery from global suppliers such as SACMI, ASB, and HUSKY.
Financially, the company has reported steady growth over the years. Revenue rose 12% year-on-year in FY25 to Rs 332.12 crore, while profit after tax nearly doubled to Rs 18.37 crore.
The company plans to use the bulk of the IPO proceeds to repay or prepay borrowings worth Rs 64 crore, which is expected to ease balance sheet pressure. Additional funds will be deployed towards capacity expansion, installation of new plant and machinery, and setting up a solar power project to reduce energy costs.
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(Disclaimer: Recommendations, suggestions, views and opinions given by the experts are their own. These do not represent the views of Economic Times)
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