SK Minerals & Additives Limited has announced its initial public offering (IPO), providing investors an opportunity to invest in a growing player in the minerals and additives sector in India. The IPO is a book-built issue worth ₹41.15 crore, structured entirely as a fresh issue of 0.32 crore shares. This infusion of capital is expected to support business expansion, modernization of facilities, and working capital requirements, enabling SK Minerals to strengthen its market presence.

IPO Overview

The SK Minerals IPO opens for subscription on October 10, 2025, and will close on October 14, 2025. The allotment of shares is expected to be finalized on October 15, 2025, with the tentative listing on BSE SME on October 17, 2025. This structured timeline ensures investors have a clear window to participate and plan their investment strategy.

The IPO offers equity shares at a price band of ₹120 to ₹127 per share, making it accessible for both retail and institutional investors. The lot size for retail investors is 1,000 shares, translating to a minimum investment of ₹2,54,000 at the upper price band. High-net-worth individual (HNI) investors are required to apply with a minimum lot of 3,000 shares, amounting to ₹3,81,000, enabling larger capital deployment for experienced investors.

About SK Minerals & Additives Limited

SK Minerals & Additives Limited is engaged in the production and distribution of industrial minerals and additives, catering to industries such as cement, paint, rubber, plastics, and other specialty sectors. Over the years, the company has built a reputation for quality, reliability, and timely delivery, making it a preferred supplier in the domestic market.

Key highlights of SK Minerals & Additives:

• Diverse Product Portfolio: Offers a range of specialty minerals, fillers, and additives, serving multiple industrial applications.

• Modern Manufacturing Facilities: Equipped with state-of-the-art processing units, ensuring high-quality output and compliance with industry standards.

• Strategic Expansion: IPO proceeds will enable the company to expand production capacities, upgrade technology, and optimize supply chains.

• Customer-Centric Approach: Focuses on long-term partnerships with clients, providing technical support, quality assurance, and reliable delivery schedules.

IPO Structure and Investment Details

The SK Minerals IPO is structured as a fresh issue, meaning the company itself will receive the proceeds to fund growth initiatives and business operations. Unlike an offer-for-sale, where funds go to existing shareholders, this IPO will directly strengthen the company’s capital base.

Investment details for different categories:

• Retail Individual Investors (RII):

  • Lot size: 1,000 shares

  • Minimum investment: ₹2,54,000 at ₹127 per share

• High Net-Worth Individuals (HNI):

  • Lot size: 3,000 shares

  • Investment: ₹3,81,000 at ₹127 per share

This investment structure ensures participation from a wide range of investors, from retail participants to larger institutional and HNI investors, thereby enhancing market liquidity and long-term shareholder base.

Application and Allotment Process

Investors can apply for the SK Minerals IPO through:

1. Online Platforms: Brokers and trading accounts linked with BSE SME platform support IPO subscription.

2. Offline Applications: Submitted through designated banks or registrars, although online applications are faster and more efficient.

3. Payment Mechanism: Payment is required at the time of application based on the selected lot size and price band.

The allotment of shares will be finalized on October 15, 2025, and the listing on BSE SME is scheduled for October 17, 2025. Investors should ensure accurate details in applications to avoid rejection and confirm availability of funds for seamless participation.

Significance of the IPO

The SK Minerals IPO holds importance for the company, investors, and the SME sector:

1. Capital for Expansion: The IPO proceeds will fund modernization of plants, capacity enhancement, and working capital needs, positioning SK Minerals for higher operational efficiency.

2. Investor Access: Provides retail and HNI investors the opportunity to participate in a growing industrial minerals company, benefiting from sector growth.

3. SME Market Visibility: Listing on BSE SME increases corporate visibility, credibility, and access to a broader investor base, potentially attracting long-term investment.

4. Industrial Sector Growth: With increased industrialization in India, demand for specialty minerals and additives is expected to rise, making this IPO an attractive investment option.

Risks and Considerations

Investors should be aware of the potential risks associated with the IPO:

• Market Risks: Stock prices post-listing may fluctuate due to market conditions, investor sentiment, and economic factors.

• Operational Risks: Production efficiency, raw material availability, and logistics can impact financial performance.

• Regulatory Risks: Compliance with environmental, industrial, and labor regulations is critical for uninterrupted operations.

• Competition: The company operates in a competitive environment with multiple domestic and international players in the minerals and additives market.

Investors should weigh these risks against potential returns and assess alignment with their financial goals and risk tolerance.

Market Outlook and Timing

The timing of the SK Minerals IPO is favorable given the strong demand in India’s industrial and construction sectors:

• Increased demand from cement, paint, and polymer industries drives growth in mineral additives.

• Government infrastructure projects and industrial development further boost market opportunities.

• SME-focused IPO provides a niche investment opportunity, tapping into companies poised for rapid growth and market expansion.

The price band of ₹120-127 per share ensures accessibility for investors, while the structured lot sizes for retail and HNI investors maintain fair participation across categories.

How to Apply

Application for SK Minerals IPO can be made through:

1. BSE SME trading accounts linked with brokers supporting IPO subscription.

2. Registrar portals designated by SK Minerals, providing accurate submission channels.

3. Payment via online banking, UPI, or net banking, ensuring secure and fast transactions.

Applications must be submitted before October 14, 2025, to be considered for allotment. Investors should double-check all information, including PAN, bank account details, and application size, to avoid rejection.

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