Sai Silks Kalamandir’s Stock Surges 8% After IPO Debut; Should You Buy?

Sai Silks Kalamandir’s initial public offering (IPO) witnessed a modest listing today as its shares debuted on the stock exchanges with a 4.1% premium. On the National Stock Exchange (NSE), Sai Silks Kalamandir opened at ₹231 per share, surpassing the issue price of ₹222. Similarly, on the Bombay Stock Exchange (BSE), the listing price was ₹230 per share.

Throughout the trading session, Sai Silks Kalamandir’s share price experienced fluctuations, reaching an intraday high of ₹243.90 and a low of ₹230.95 on the NSE. As of 11:45 AM IST, the stock was trading actively.

Market experts noted that the IPO’s initial response had been somewhat muted, possibly due to the unique nature of the business.

Kris Arun Kejriwal, Founder of Kejriwal Research and Investment Services, commented on the listing, stating that Sai Silks had a better-than-expected performance with a 9% gain, currently trading at ₹241. He emphasized the need for the company to demonstrate continued growth to attract active participation from the public.

The Sai Silks IPO comprised a fresh issuance of ₹600 crore worth of shares and an offer for sale (OFS) of up to 2.70 crore equity shares by the promoter and promoter group. The company outlined its utilization of the net proceeds, including funding capital expenditures for additional stores and warehouses, addressing working capital needs, debt repayment, and general corporate purposes.

Sai Silks IPO Share Price Outlook

Shivani Nyati, Head of Wealth at Swastika Investmart Ltd, highlighted the company’s long-term growth potential, citing its strong brand presence, expanding footprint, and focus on online sales. She cautioned investors about industry competition and economic downturn risks. Cautious investors may consider exiting their position, while those with a long-term perspective may opt to hold with a stop loss.

Avinash Gorakshakar, Head Research of Profitmart Securities, pointed out that the expected listing price of ₹231 aligned with market expectations. He noted the competitiveness of the industry and expressed reservations about the growth opportunities, particularly in North India.

Mahesh M. Ojha, AVP – Research and Business Development at Hensex Securities Pvt Ltd, acknowledged Sai Silks (Kalamandir) Limited as a leading ethnic and value-fashion retail company in South India. The IPO saw an initial surge of 8.5%, and Ojha suggested booking at least 50%

Disclaimer: The views and investment tips expressed by investment experts on Sharepriceindia.com are their own and not those of the website or its management. Sharepriceindia.com advises users to check with certified experts before taking any investment decisions.​​
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