Purv Flexipack IPO Makes Stellar Debut on NSE
Distributor of plastic-based goods Purv Flexipack made a spectacular entry on the NSE SME, with its share price surging to ₹260—a staggering 266% premium over the issue price of ₹71. Investor interest in the company’s first public offering (IPO) was enormous, with a whopping 421.78 subscriptions. Retail investors subscribed 448.73 times, demonstrating tremendous enthusiasm. Qualified Institutional Buyers (QIB) subscribed 157.32 times, and Non-Institutional Investors (NII) subscribed an astounding 690.72 times.
For the Purv Flexipack IPO, the grey market premium (GMP) was ₹130, which indicates a sizable premium above the issue price. Analysts predicted that the IPO will list for ₹201 per share, which would represent a significant rise of 183.10% over the IPO price.
The initial public offering (IPO) of Purv Flexipack took place from February 27 to February 29, with a book-built issue of ₹40.21 crore. This included a fresh issue of 56,64,000 equity shares, each having a face value of ₹10. The business plans to pay off some current fund-based borrowings, finance general corporate purposes, and satisfy working capital needs with the net proceeds from the IPO.
Distributing a range of plastic-based goods, such as polyester films, cast polypropylene (CPP) films, biaxially orientated polypropylene (BOPP) film, plastic granules, inks, adhesives, masterbatches, ethyl acetate, and titanium dioxide, is the company’s main line of business. Purv Flexipack also acts as a Del Credere Associate (DCA) and Dealer operated polymer warehouse (DOPW) for Indian Oil Corporation Limited’s polymer division.
In terms of finances, Purv Flexipack Limited saw significant increases in revenue by 48.66% and profit after tax (PAT) by 31.82% and 31.82%, respectively, between March 31, 2022, and March 31, 2023.
In conclusion, Purv Flexipack’s outstanding stock market debut highlights the high level of investor trust in the business’s potential and the rising demand for its plastic-based goods. Purv Flexipack’s future growth and expansion are expected to be positively impacted by the success of the IPO, which saw strong subscription numbers and a notable premium over the issue price.
You may also Read our Finance, World News, Local News, Health, Food, and Education articles.