Subam Papers is engaged in the manufacturing of Kraft Paper and Paper Products. They proudly call themselves as a packaging solution providing company. Subam started its journey in the year 2004 with manufacturing of paper cones and later expanded the product base by adding Duplex board and Kraft paper in its portfolio.

Subam Papers, an Book Built Issue amounting to ₹93.70 Crores, consisting entirely an Fresh Issue of 61.64 Lakh Shares. The subscription period for the Subam Papers IPO opens on September 30, 2024, and closes on October 03, 2024. The allotment is expected to be finalized on or about Friday, October 04, 2024, and the shares will be listed on the BSE SME with a tentative listing date set on or about Tuesday, October 08, 2024.

The Share price band Subam Papers IPO is set at ₹144 to ₹152 equity per share, with a minimum lot size of 800 shares. Retail investors are required to invest a minimum of ₹1,21,600, while the minimum investment for High-Net-Worth Individuals (HNIs) is 2 lots (1,600 shares), amounting to ₹2,43,200.

GRETEX CORPORATE SERVICES LIMITED is the book-running lead manager, BIGSHARE SERVICES PRIVATE LIMITED is the registrar for the Issue. Gretex Share Broking Limited is the sole Market Marker for the Subam Papers.

Subam Papers Limited IPO GMP Today
The Grey Market Premium of Subam Papers Limited IPO is expected to be ₹0 based on the financial performance of the company. No real trading is done on the basis of Grey Market Premium that's why no real discovery of price can be done before the listing of shares on the stock exchange. The Grey Market Premium totally depends upon the Demand and Supply of the shares of the company in unorganized manner which is not recommended. The Grey Market Premium is mentioned for educational and informational purposes only.

Subam Papers Limited IPO Live Subscription Status Today: Real-Time Updates
As of 05:00 PM on 03 October 2024, the Subam Papers Limited IPO live subscription status shows that the IPO subscribed 86.49 times on its Third day of subscription period. Check the Subam Papers Limited IPO Live Subscription Status Today at BSE.

Subam Papers Limited IPO Allotment Date - Step by Step Guide to Check Allotment Status Online 
Subam Papers IPO allotment date is 04 October, 2024, Friday. Subam Papers IPO Allotment will be out on 4th October 2024 and will be live on Registrar Website from the allotment date. Check Subam Papers Limited IPO Allotment Status here. Here's how you can check the allotment status:
- Navigate to the IPO allotment status page.
- Select Subam Papers Limited IPO from the dropdown list of IPOs.
- Enter your application number, PAN, or DP Client ID.
- Submit the details to check your allotment status.
By following either of these methods, investors can quickly determine their allotment status and proceed accordingly with their investments.

Objectives of Subam Papers Limited IPO
Subam Papers Issue Proceeds from the Fresh Issue will be utilized towards the following objects : 
a) ₹7,500.00 Lakhs will be used for Investment in Subsidiary for Financing its Capital Expenditure requirements 
b) General Corporate Purposes

Refer to Subam Papers Limited RHP for more details about the Company.

Check latest IPO Review & analysis, Live IPO GMP today, Live IPO Subscription Status Today, Share Price, Financial Information and other details before applying in the IPO.

The Upcoming IPOs in this week and coming weeks are Paramount Dye Tec , Subam Papers , NeoPolitan Pizza and Foods, Archit Nuwood Industries Limited, Hyundai Motor.

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About Subam Papers Limited

Subam Papers is engaged in the manufacturing of Kraft Paper and Paper Products. They proudly call themselves as a packaging solution providing company. Subam started its journey in the year 2004 with manufacturing of paper cones and later expanded the product base by adding Duplex board and Kraft paper in its portfolio. The company is not like the traditional paper manufactures, they do not manufacture their products from wood pulp but instead they use waste paper as their raw material. They aim to preserve mother nature and tend to drive the company on the principle of recycling. The company leverages wastepaper as the primary raw material in the production of Kraft Paper and Duplex Board. The Company has the capability to manufacture and supply Kraft Papers and Duplex Boards in different shades and sizes as per the client specifications thus serving the diverse industrial packaging needs.

Three elements are extremely essential for manufacturing of kraft paper and paper products. 

• Land, 
• Water 
• Electricity

The company has developed a technique to make the paper odour less paper, this particular type of paper is popular among the companies engaged in the food divisions. The company had done an expansion in the year 2012 which resulted an increase in the company growth, they are again expanding their market share by doing and capacity expansion. The expansion is through their Wholly-Owned subsidiary company named Subam Paper and Boards Private Limited (SPBPL). The Company is located at Tirunelveli, Tamil Nadu and is also in proximity to the Harbor city of Tuticorin, Tamil Nadu. 

The products they manufacture are used in various industries, including automobiles, textiles, FMCG, food, distilleries, pharmaceuticals, electrical and electronics, printing and more, where packaging is indispensable. Paper products play a pivotal role in packaging across sectors, from biscuit wrappers to marriage invitations, showcasing the versatility and significance of their offerings across diverse industries.They have successfully started supplying to major corporations such as Britannia and United Breweries Companies, targeting direct engagement with key players rather than intermediaries like middle-level corrugators.

PAPER & PACKAGING INDUSTRY REPORT
Packaging currently stands as the fifth largest sector in the Indian economy, reflecting its pivotal role in driving industrial growth and innovation. With an annual growth rate of 22-25%, the industry has become a preferred hub for packaging solutions, bolstered by advancements in technology and infrastructure. Notably, the industry boasts a robust structural framework, comprising over 900 paper units with an installed capacity of nearly 4,990 thousand tons. Furthermore, India is home to 861 paper mills, with 526 operational units, showcasing the nation's significant capacity for paper and paperboard production.

The outlook for the paper and packaging industry in India is optimistic, driven by several factors including the country's growing population, increasing urbanization, and rising disposable incomes. The rapid expansion of e-commerce is fuelling demand for packaging materials, while a growing focus on sustainability is prompting the industry to innovate greener solutions. Government initiatives like "Make in India" and infrastructure development projects are expected to boost manufacturing activities and streamline supply chains. 

Technological advancements are enhancing productivity and quality, while rising export potential offers opportunities for market expansion. Despite challenges such as fluctuating raw material prices and competition from alternative materials, strategic investments and a commitment to sustainability can help the industry capitalize on opportunities and strengthen its position in the global market.

INDIA’S PAPER AND PACKAGING INDUSTRY
Packaging is an essential component of almost every product. A product's packaging acts as an ‘eye catcher’, allowing it to stand out from competing goods in today’s market environment, which faces stiff competition, and therefore, an edge is required for the product to outshine its rival. 

Packaging is also instrumental in conveying the product’s message to consumers and helps in establishing the visual appeal of a brand; hence, marketers view product packaging as the best possible opportunity to attract consumers to their product. Moreover, the product’s packaging is designed to capitalise on the impulse shopping behaviour, especially in large super market chains that account for a significant proportion of purchases made by an average consumer. The main functions of packaging besides marketing is to transmit information, protect the product, provide convenience and add security. Paper and paper products are a major source of materials used to package goods. Paper finds application in packaging due to the many environmental concerns arising from plastic usage. The capacity to recycle paper more than once, along with how simple it is to deal with it as a waste product, serves as an essential method of reducing pollution and costs to an extent.

The paper and packaging sector in India is growing rapidly and has significant potential for future expansion. The industry was valued at $50.5 billion in 2019 and is anticipated to reach $204.81 billion by 2025, registering a CAGR of 26.7% from 2020 to 2025. The growth in the sector is being driven by a surge in e-commerce, food processing, pharmaceuticals, FMCG, manufacturing industry and healthcare sector. Additionally, numerous government initiatives including 'Make in India' had positive impact on the packaging industry. The paper and packaging industry is currently the fifth largest sector in the Indian economy and has the potential to achieve pricing levels that are about 40% cheaper compared to European regions. 

The Indian packaging sector has distinguished itself with its exports of flattened cans, printed sheets and components, crown cork, lug caps, plastic film laminates, craft paper, paper board and packaging machinery. The packaging segment with the fastest growth include laminates and flexible packaging, particularly PET and weaved sacks. 

India uses paper as a major source of packaging. The paper industry accounts for 5% of global production. Demand for paper continues to rise for the packaging of FMCG products and ready-to-eat food. Packaging-grade paper accounts for 55% of the main types of paper produced domestically in the paper and paperboard industry.

INDIAN MANUFACTURING INDUSTRY
Manufacturing is emerging as an integral pillar in the country’s economic growth, thanks to the performance of key sectors like automotive, engineering, chemicals, pharmaceuticals, and consumer durables. The Indian manufacturing industry generated 16-17% of India’s GDP pre-pandemic and is projected to be one of the fastest growing sectors. 

The machine tool industry was literally the nuts and bolts of the manufacturing industry in India. Today, technology has stimulated innovation with digital transformation a key aspect in gaining an edge in this highly competitive market. 

Technology has today encouraged creativity, with digital transformation being a critical element in gaining an advantage in this increasingly competitive industry. The Indian manufacturing sector is steadily moving toward more automated and process-driven manufacturing, which is projected to improve efficiency and enhance productivity. 

India has the capacity to export goods worth US$ 1 trillion by 2030 and is on the road to becoming a major global manufacturing hub. With 17% of the nation’s GDP and over 27.3 million workers, the manufacturing sector plays a significant role in the Indian economy. Through the implementation of different programmes and policies, the Indian government hopes to have 25% of the economy’s output come from manufacturing by 2025. 

India now has the physical and digital infrastructure to raise the share of the manufacturing sector in the economy and make a realistic bid to be an important player in global supply chains. 

A globally competitive manufacturing sector is India's greatest potential to drive economic growth and job creation this decade. Due to factors like power growth, long-term employment prospects, and skill routes for millions of people, India has a significant potential to engage in international markets. Several factors contribute to their potential. First off, these value chains are well positioned to benefit from India's advantages in terms of raw materials, industrial expertise, and entrepreneurship.

Second, they can take advantage of four market opportunities: expanding exports, localising imports, internal demand, and contract manufacturing. With digital transformation being a crucial component in achieving an advantage in this fiercely competitive industry, technology has today sparked creativity. Manufacturing sector in India is gradually shifting to a more automated and process driven manufacturing which is expected to increase the efficiency and boost production of the manufacturing industry. 

India is gradually progressing on the road to Industry 4.0 through the Government of India’s initiatives like the National Manufacturing Policy which aims to increase the share of manufacturing in GDP to 25 percent by 2025 and the PLI scheme for manufacturing which was launched in 2022 to develop the core manufacturing sector at par with global manufacturing standards. 

India is planning to offer incentives of up to Rs. 18,000 crore (US$ 2.2 billion) to spur local manufacturing in six new sectors including chemicals, shipping containers, and inputs for vaccines. 

India's mobile phone manufacturing industry anticipates creating 150,000 to 250,000 direct and indirect jobs within the next 12-16 months, driven by government incentives, and increased global demand. Major players like Apple and its contract manufacturers, along with Dixon Technologies, are expanding their workforce to meet growing production needs.

Manufacturing exports have registered their highest ever annual exports of US$ 447.46 billion with 6.03% growth during FY23 surpassing the previous year (FY22) record exports of US$ 422 billion. By 2030, Indian middle class is expected to have the second-largest share in global consumption at 17%. 

India’s gross value added (GVA) at current prices was estimated at US$ 770.08 billion as per the quarterly estimates of the first quarter of FY24. 

India's GDP surged by 8.4% in the October-December quarter, surpassing expectations. GDP growth was driven by robust performances in the manufacturing and construction sectors, with the manufacturing sector expanding by 11.6% annually and the construction sector growing by 9.5%. 

India has potential to become a global manufacturing hub and by 2030, it can add more than US$ 500 billion annually to the global economy. As per the economic survey reports, estimated employment in manufacturing sector in India was 5.7 crore in 2017-18, 6.12 crore in 2018-19 which was further increased to 6.24 crore in 2019-20. India's display panel market is estimated to grow from ~US$ 7 billion in 2021 to US$ 15 billion in 2025. 

The manufacturing GVA at current prices was estimated at US$ 110.48 billion in the first quarter of FY24.

India is an attractive hub for foreign investments in the manufacturing sector. Several mobile phone, luxury, and automobile brands, among others, have set up or are looking to establish their manufacturing bases in the country. The manufacturing sector of India has the potential to reach US$ 1 trillion by 2025. The implementation of the Goods and Services Tax (GST) will make India a common market with a GDP of US$ 3.4 trillion along with a population of 1.48 billion people, which will be a big draw for investors. The Indian Cellular and Electronics Association (ICEA) predicts that India has the potential to scale up its cumulative laptop and tablet manufacturing capacity to US$ 100 billion by 2025 through policy interventions. 

One of the initiatives by the Government of India's Ministry for Heavy Industries & Public Enterprises is SAMARTH Udyog Bharat 4.0, or SAMARTH Advanced Manufacturing and Rapid Transformation Hubs. This is expected to increase competitiveness of the manufacturing sector in the capital goods market. With impetus on developing industrial corridors and smart cities, the Government aims to ensure holistic development of the nation. The corridors would further assist in integrating, monitoring, and developing a conducive environment for the industrial development and will promote advance practices in manufacturing.

SUBAM PAPERS LIMITED COMPETITIVE STRENGTHS
1. Paper waste recycle and Sustainable packaging solutions
2. Significant Advantage Due to Proximity of Subam's Factory Location
3. Efficient Inventory Management
4. Fully Integrated Manufacturing Facility
5. Consistence financial performance
6. Advantage of producing all grades of paper
7. MOU with the Tamil Nadu Government
8. Current Renewable Energy Assets
9. Diverse clientele through robust B2B strategy

SUBAM PAPERS LIMITED STRATEGIES
1. Anaerobic Reactor for odorless paper manufacturing
2. Import of wastepaper from western countries
3. Strategic advantage due to their proximity to the upcoming Vizhinjam and Tuticorin Ports by reshaping their import and export operations.
4. Establishing Support for a Wholly-Owned Subsidiary's New Unit

SUBAM PAPERS LIMITED RISK FACTORS & CONCERNS
1. The availability of raw material, i.e. waste paper is very crucial for the business activities.
2.  The Group Companies i.e. Saradhambika Paper and Board Mills Private Limited, B.M.M. Paper Board Private Limited and Mayura Packaging Private Limited operate in a similar line of business to them, which may lead to conflict of interest.
3. Majority of their fund utilization is to invest in their wholly-owned subsidiary company Subam Paper and Boards Private Limited (SPBPL).
4. Majority of the revenue is dependent on two products i.e., Kraft Paper and Duplex Paper.
5. They generate their major portion of sales from their operations in certain geographical regions especially Tamil Nadu.