Investors’ attention is turning towards the upcoming IPO of Pyramid Technoplast, a prominent manufacturer of polymer-based molded products.
The Initial Public Offering is set to open for subscription on August 18, and investors will have the opportunity to invest until August 22.
The IPO is valued at Rs 153.05 crore, with a price band ranging from Rs 151 to Rs 166 per share.
The total issue size comprises 92,20,000 shares, out of which 55,00,000 will be fresh equity shares, while 37,20,000 will be offered for sale.
Key IPO Details
For those interested in participating in the IPO, a minimum lot size of 90 shares is required, necessitating an investment of Rs 14,940.
The offering reserves 50% of shares for retail investors, while Qualified Institutional Buyers (QIBs) will have access to 30%, and Non-Institutional Investors (NIIs) will be allocated the remaining 20%.
Pyramid Technoplast’s shares are slated to debut on both the BSE and NSE on August 30.
The allotment of shares is scheduled for August 25, and these shares will be credited to investors’ demat accounts on August 29.
Those who don’t receive IPO allotments can expect refunds on August 28.
Gray Market Dynamics
Market observers indicate that the gray market premium (GMP) for Pyramid Technoplast stands at Rs 19 as of Monday.
This implies a potential profit of around 11.45% upon listing. At the current GMP, the stock is projected to debut at Rs 185, surpassing the upper price band of Rs 166 by Rs 19.
However, it’s important to note that gray market premiums can be volatile and subject to fluctuations.
Established in 1997, Pyramid Technoplast Limited specializes in the manufacturing of polymer-based molded products, including polymer drums.
These products find extensive application in the packaging requirements of chemical, agrochemical, specialty chemical, and pharmaceutical companies.
The company demonstrated strong financial performance, with a net profit of Rs 31.76 crore in FY 2022-23, compared to Rs 26.15 crore in FY 2021-22 and Rs 16.99 crore in FY 2020-21.
Its revenue also exhibited growth, reaching Rs 482.03 crore in FY 2022-23, Rs 402.64 crore in FY 2021-22, and Rs 316.18 crore in FY 2020-21.
Pyramid Technoplast commenced its commercial production in 1998 and presently operates more than six manufacturing units.
Four of these units are situated in Bharuch, GIDC, Gujarat, while the other two are located in Silvassa, UT Dadra & Nagar Haveli.
The company’s IPO holds promise as it gears up for market entry, and investors are keenly watching for potential opportunities.