The Spinaroo Commercial IPO, which was subscribed 1.52 times, lists on the BSE SME at a 3.6% premium. The company, based in Kolkata, specializes in manufacturing a wide array of products such as Aluminum Foil Containers, Aluminum Home Foil, Paper Cups, and associated machinery for paper cup production. The IPO raised ₹10.17 Crores with a fresh issue of 19.94 lakh shares priced at ₹51 per equity share.

The lot size for the IPO was 2,000 shares, requiring a minimum investment of ₹1,02,000 for retail investors. Non-institutional investors (NIIs) played a significant role in the subscription, with the NII segment subscribed 1.84 times. The retail portion was subscribed 1.2 times, showing strong investor interest. The subscription period for this IPO started on March 28, 2025 and closed on April 03, 2025. The allotment date is set for April 04, 2025, and the shares will be listed on the BSE SME on April 08, 2025.

Although the Grey Market Premium (GMP) stood at ₹0, there was a healthy demand, indicating potential upside for investors. Investors looking to check their allotment status can visit the registrar's website after April 04, 2025, to see if they have received an allotment.

Spinaroo Commercial aims to use the proceeds from the IPO to meet its working capital requirements (₹712.84 Lakhs) and for general corporate purposes (₹500 Lakhs). The company's business strategy focuses on expanding its geographical reach, improving its product portfolio, and ensuring cost efficiency through strategic sourcing and innovation.

The Indian manufacturing sector is witnessing robust growth, with increasing demand for packaging solutions like paper cups and aluminum foils, which makes Spinaroo Commercial’s positioning promising. However, risks related to its dependence on a few key customers, procurement challenges of aluminum reels, and regional concentration in West Bengal could pose challenges to its growth.

The company also plans to expand its footprint beyond India, with Bhutan being the first international market. This expansion will diversify its revenue sources and reduce reliance on the Indian market.

Investors who subscribed to the Spinaroo Commercial IPO can expect modest returns, given its premium listing, and the company’s expansion plans offer a promising outlook for long-term growth. However, investors should keep an eye on the company’s business risks and how it navigates them, especially the procurement volatility and reliance on major clients.

The Upcoming IPOs in this week and coming weeks are Aten Papers & Foam.

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