Nexxus Petro Industries IPO Subscribed 8.07x, GMP Soars; Check Allotment & Listing Dates
Team Finance Saathi
01/Oct/2024
What's covered under the Article:
Nexxus Petro Industries Limited IPO opens for subscription with a price band of ₹105 per share.
The IPO has recorded a subscription rate of 8.03 times as of September 30, 2024.
Comprehensive financial performance and investment recommendations for potential investors.
Nexxus Petro Industries Limited is emerging as a prominent player in the Bitumen (Asphalt) solutions sector in India, offering a wide range of products including high-quality Bitumen, Bitumen Emulsions, and special bituminous allied products to various stakeholders such as infrastructure and construction companies, government entities, and road authorities.
The company's Initial Public Offering (IPO) is a Book Built Issue valued at ₹19.42 Crores, entirely comprised of a fresh issue of 18.50 lakh shares. The subscription period for the Nexxus IPO began on September 26, 2024, and will conclude on September 30, 2024. The allotment of shares is anticipated to be finalized on October 1, 2024, with the listing on the BSE SME expected around October 4, 2024.
The share price band for the Nexxus IPO is set at ₹105 per equity share, with a minimum lot size of 1,200 shares. This requires a minimum investment of ₹1,26,000 for retail investors, while High-Net-Worth Individuals (HNIs) must invest a minimum of ₹2,52,000 by subscribing to at least 2 lots (2,400 shares). The lead manager for this IPO is SRUJAN ALPHA CAPITAL ADVISORS LLP, with KFIN TECHNOLOGIES LIMITED serving as the registrar and Gretex Share Broking Limited acting as the market maker.
Nexxus Petro Industries Limited IPO GMP Today
Currently, the Grey Market Premium (GMP) for the Nexxus IPO is expected to be around ₹0, based on the company's financial performance. It is important to note that the GMP is not a reliable indicator of actual market performance, as it reflects unregulated trading dynamics that may not align with market realities.
Subscription Status:
As of 5:53 PM on September 30, 2024, the live subscription status for the Nexxus Petro Industries Limited IPO shows a subscription rate of 8.03 times on its third day of the subscription period. Investors can check the current subscription status through the BSE.
Allotment Process:
The Nexxus IPO allotment date is set for October 1, 2024. Investors can verify their allotment status by following these steps:
Navigate to the IPO allotment status page.
Select Nexxus Petro Industries Limited IPO from the dropdown menu.
Enter the necessary details such as application number, PAN, or DP Client ID, and submit to view the allotment status.
Utilization of IPO Proceeds:
The proceeds from the IPO will be allocated as follows:
₹1600.00 Lakhs will be directed towards funding the company's working capital requirements.
₹148.63 Lakhs will be allocated for general corporate purposes.
Financial Overview:
Nexxus Petro Industries Limited has showcased impressive growth in its financials, with revenues for Fiscal Years 2024, 2023, and 2022 at ₹23,837.57 Lakhs, ₹14,283.95 Lakhs, and ₹4,847.02 Lakhs, respectively. The EBITDA figures for these years were ₹614.14 Lakhs, ₹356.66 Lakhs, and ₹81.53 Lakhs, while the Profit After Tax was ₹348.47 Lakhs, ₹200.87 Lakhs, and ₹54.06 Lakhs, indicating consistent growth.
For the Nexxus IPO, the pre-issue Earnings Per Share (EPS) stands at ₹8.99, while the post-issue EPS is projected at ₹5.01. The pre-issue Price to Earnings (P/E) ratio is 11.68x, with a post-issue P/E ratio of 20.95x, compared to an industry average of 39.88x. The company’s Return on Capital Employed (ROCE) for FY24 is reported at 20.81%, and the Return on Equity (RoAE) is 61.77%, suggesting a well-valued IPO.
Investment Recommendation:
Given the current Grey Market Premium (GMP) indicating potential listing gains of 0%, it is advisable for investors to avoid the Nexxus Petro Industries Limited IPO for both immediate listing gains and long-term investment strategies. Although the company’s financial performance reflects positive trends, the lack of significant market demand noted in the GMP raises concerns regarding its investment attractiveness.
For additional insights and updates on investment opportunities, please explore our resources at Best IPO to Apply Now - IPO List 2024, Latest IPO, Upcoming IPO, Recent IPO News, Live IPO GMP Today - Finance Saathi and Top News Headlines - Share Market News, Latest IPO News, Business News, Economy News- Finance Saathi.
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