Srigee DLM Limited, a company focused on end-to-end plastic manufacturing, is launching its Initial Public Offering (IPO) in 2025. With a fresh issue amounting to ₹16.97 crores, the company aims to raise capital to expand its operations and enhance its manufacturing capabilities. The IPO subscription period opened on May 5, 2025, and will close on May 7, 2025. The allotment date is expected on May 8, 2025, and shares are set to list on the BSE SME segment by May 12, 2025. Here's everything you need to know about the Srigee DLM IPO, from subscription status and GMP to financial performance and the IPO allotment process.

IPO Details and Subscription Status

Srigee DLM is offering 17.14 lakh shares under this IPO, with a price band set between ₹94 and ₹99 per equity share. The lot size for retail investors is 1,200 shares, requiring a minimum investment of ₹1,18,800. For High Net-Worth Individuals (HNIs), the minimum investment is ₹2,37,600 (2 lots). As of 11:15 AM on May 7, 2025, the IPO has been subscribed 93.51 times, showing strong demand from investors.

Grey Market Premium (GMP)

The Grey Market Premium (GMP) of the Srigee DLM IPO is currently at ₹17, indicating a 17.17% potential gain over the upper price band of ₹99 per share. It’s important to note that the GMP is based on market speculation and may not reflect the true price discovery before the official listing on the stock exchange.

Financial Performance & Valuation

Srigee DLM has demonstrated a steady growth trajectory in its financial performance, with revenues from operations increasing from ₹3,303.91 lakh in FY 2022 to ₹5,446.88 lakh in FY 2024. The EBITDA for FY 2024 stood at ₹567.19 lakh, reflecting a positive trend in profitability. The company’s profit after tax (PAT) for FY 2024 was ₹377.21 lakh, up from ₹113.45 lakh in FY 2022. This indicates solid growth in both top-line and bottom-line metrics.

The pre-issue EPS is ₹7.53, and the post-issue EPS stands at ₹5.18. The P/E ratio for the company is 13.15x pre-issue, and 19.11x post-issue, which is significantly lower than the industry average of 113x, indicating that the IPO is attractively priced.

Key Ratios:

• ROCE (Return on Capital Employed) for FY 2024: 25.80%

• ROE (Return on Equity) for FY 2024: 24.49%

• RoNW (Return on Net Worth) for FY 2024: 21.08%

• PE Ratio (Post-Issue): 19.11x

• Annualised EPS: ₹11.81

Srigee DLM IPO Objectives

The proceeds from the IPO will be utilized for several strategic objectives:

1. Capital expenditure: ₹542.78 lakh for setting up a new manufacturing facility in Greater Noida.

2. Machinery acquisition: ₹951.00 lakh to acquire state-of-the-art machinery for the new facility.

3. General corporate purposes: To strengthen the company’s financial position and support business expansion.

4. Issue expenses: To cover the costs associated with the IPO process.

IPO Allotment Status

The Srigee DLM IPO allotment will be finalized on May 8, 2025. To check the allotment status, investors need to visit the registrar's website and enter details such as the application number or PAN. The allotment process will determine how many shares, if any, an investor will receive based on the number of applications and shares available.

Anchor Investors

Srigee DLM has raised ₹4.79 crores from Anchor Investors, with an allotment of 4,84,800 shares at ₹99 per share. This signals strong institutional confidence in the company’s prospects.

IPO Review and Recommendation

Srigee DLM has a strong foundation in the plastic manufacturing industry, and its IPO valuation appears attractive compared to industry peers. The company’s financial performance, healthy profitability, and growth prospects provide a solid case for investing in this IPO. Given the steady growth, the affordable pricing, and the strong GMP, we recommend risk-taking investors to consider applying for the Srigee DLM IPO, particularly for potential listing gains.

This detailed overview provides everything you need to make an informed decision about the Srigee DLM IPO 2025. From subscription details and GMP to financial performance and IPO allotment status, all the essential information has been covered to assist potential investors.

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The Current active IPO are Srigee DLM, Manoj Jewellers.

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