Sah Polymers Limited IPO Subscribed 2.37 times on Day 2

Sah Polymers Limited primarily engaged in manufacturing and selling of Polypropylene (PP)/ High Density Polyethylene (HDPE) Flexible Intermediate Bulk Containers (FIBC) Bags, Woven Sacks, HDPE/PP woven fabrics, woven polymer based products has received bids of 1,33,06,420 shares against the offered 56,10,000 equity shares for subscription, at a price band of ₹61-65, according to the data available on the stock exchanges.

Overall the issue was subscribed 2.37 times on the second day of bidding. It was subscribed 0.86 times on the opening day.

Retail Portion was subscribed the most with 7.46 times followed by Non-Institutional segment that saw a response of 2.94 times. The reserved portion for qualified institutional buyer portion saw a subscription of 0.39 times. The issue kicked off for subscription on Friday, December 30, and will close on Wednesday, January 04, 2023.

A day prior to the Issue opening, Sah Polymers Ltd raised Rs 29.83 crore from anchor investors including Mavin India Fund, Saint Capital Fund and Leading Light Fund VCC.

Broking house Marwadi Financial Services have given a "Subscribe" rating to the issue.

A note by Reliance Securities states "the polymer market size is expected to reach $790bn by 2027, growing at a CAGR of 5.5% during the period of 2022-27. Additional states "The global market for FIBC is estimated to from $6701.5 mn in 2022 to $9109.7mn by 2028 and is likely to aid the company's growth. While the company has a quality product mix, strong customer base across geographies, good financials and a wide product portfolio, the issue seems pricey on the current financials".

Pantomath Capital Advisors Private Limited is the sole book running lead manager to the issue and Link Intime India Private Limited is the registrar to the offer. The equity shares are proposed to be listed on the Main Board of BSE and NSE.

Source : Equity Bulls

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SahPolymers Subscription IPO FundRaising