Sellowrap Industries Limited (formerly Sellowrap Industries Private Limited) is a Mumbai-headquartered manufacturing company specializing in the production of customized components for the automotive and white goods sectors. Operating primarily in the B2B domain, the company offers both adhesive and non-adhesive processed components, focusing on delivering solutions emphasizing quality, cost-efficiency, and maximum customer value.

IPO Details

Sellowrap Industries has launched a Book Built Issue IPO amounting to ₹30.27 crore, entirely comprised of a fresh issue of 36.48 lakh equity shares. The IPO subscription period runs from July 25, 2025, to July 29, 2025. The allotment is expected to be finalized by July 30, 2025, with a tentative listing date on August 1, 2025, on the NSE SME platform.

• Price Band: ₹79 to ₹83 per equity share

• Market Capitalization: ₹114.07 crore at the upper price band

• Lot Size: 1,600 shares

• Minimum Investment: Individual investors must subscribe to at least 2 lots (3,200 shares), amounting to ₹2,65,600

Book Running Lead Manager, Registrar, and Market Maker

• Lead Manager: GRETEX CORPORATE SERVICES LIMITED

• Registrar: PURVA SHAREGISTRY (INDIA) PRIVATE LIMITED

• Market Maker: Gretex Share Broking Limited

Subscription Status and Anchor Investors

As of 12:30 PM on July 28, 2025, the IPO was subscribed 1.73 times, showing healthy investor interest on the second day. The company successfully raised ₹8.59 crore from anchor investors at the upper price band of ₹83, allotting 10,35,200 equity shares to anchor investors, indicating institutional confidence.

Grey Market Premium (GMP)

The Grey Market Premium for Sellowrap Industries IPO is ₹10, which reflects an approximate 12.05% expected listing gain over the upper price band. However, investors should treat GMP cautiously as it is an unofficial metric based on unregulated demand and supply.

About Sellowrap Industries

Sellowrap Industries specializes in manufacturing components for automotive and white goods sectors with a product portfolio that includes a wide range of foam and plastic grades. The company serves major Original Equipment Manufacturers (OEMs) in India and abroad, emphasizing innovation, operational efficiency, and customer-centricity.

The company is led by experienced promoters and directors: Mr. Sushil Kumar Poddar and Mr. Saurabh Poddar, with 32 and 18 years of industry experience respectively, which has helped Sellowrap maintain steady growth and operational excellence.

Financial Performance

• Revenue from operations (₹ lakh):

  • FY23: 13,342.59

  • FY24: 13,909.24

  • FY25: 16,331.49

• EBITDA (₹ lakh):

  • FY23: 1,022.30

  • FY24: 1,467.83

  • FY25: 2,190.94

• Profit After Tax (₹ lakh):

  • FY23: 285.91

  • FY24: 594.52

  • FY25: 997.16

The company has demonstrated consistent revenue growth, improved profitability, and expanding margins over recent years.

Key Financial Metrics

• Pre-issue EPS: ₹10.45 (FY24)

• Post-issue EPS: ₹7.26 (FY24)

• Pre-issue P/E Ratio: 7.94x

• Post-issue P/E Ratio: 11.44x

• ROCE: 18.86%

• ROE: 21.25%

• RoNW: 21.44%

These metrics indicate the IPO is fairly priced, reflecting solid return ratios and a reasonable valuation compared to industry benchmarks.

Use of IPO Proceeds

The company plans to utilise the net proceeds primarily for:

1. Capital expenditure of ₹12.39 crore towards purchasing plant & machinery, infrastructure development, and auxiliary equipment.

2. Funding working capital requirements amounting to ₹10 crore.

3. General corporate purposes.

Investment Outlook

With a strong focus on the automotive and white goods industries, a growing customer base, and experienced leadership, Sellowrap Industries is positioned for steady growth. The positive Grey Market Premium suggests investor optimism, though this IPO may appeal more to investors comfortable with mid-sized SME IPO risks and potential listing gains.

How to Check Allotment Status

The IPO allotment status will be available from July 30, 2025, on the registrar’s website:

• Select Sellowrap Industries Limited IPO

• Enter your application number, PAN, or DP Client ID

• Submit to view allotment status

Disclaimer:
This article is for educational and informational purposes only and does not constitute financial advice or an offer to buy or sell securities. Investors should conduct their own due diligence and consult financial advisors before making investment decisions. Investments in securities are subject to market risks.

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