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Shree Tirupati Balajee Agro IPO Opens Tomorrow: Key Dates & Must-Know Details Before You Invest

The Shree Tirupati Balajee Agro Trading IPO is set to begin on September 5, 2024, and will close on September 9, 2024. Here’s a breakdown of everything you need to know before subscribing:

  1. Important Dates:
    • The IPO opens for subscription on September 5, 2024, and closes on September 9, 2024.
    • The allotment of shares is expected to happen on September 10, 2024.
    • The shares are likely to be listed on the BSE and NSE on September 12, 2024.
  2. Subscription Details:
    • The price range for the IPO is set between ₹78 and ₹83 per share, with a face value of ₹10.
    • Investors need to apply for a minimum of 180 shares, which requires an investment of at least ₹14,940.
    • 50% of the issue is reserved for Qualified Institutional Buyers (QIBs), 15% for non-institutional investors, and 35% for retail investors.
  3. Management and Registrars:
    • PNB Investment Services Ltd and Unistone Capital Pvt Ltd are managing the IPO, while Link Intime India Private Ltd is handling the registration.
  4. Purpose of the IPO:
    • The company aims to raise ₹169.65 crore through this IPO.
    • The funds will be used for repaying loans, meeting increased working capital needs, and covering general corporate expenses.
  5. Company Background:
    • Shree Tirupati Balajee Agro specializes in manufacturing Flexible Intermediate Bulk Containers (FIBCs), which are large, flexible bags used for industrial packaging.
    • The company also produces tapes, woven bags, woven fabric, and narrow fabric, catering to both domestic and international markets.
  6. Financial Performance:
    • Between March 2023 and March 2024, the company’s revenue grew by 16%, while its profit after tax (PAT) increased by 74%.
  7. Competitors:
    • The company faces competition from both large, established firms and smaller, local companies.
    • Key competitors include Kanpur Plastipack Ltd, Rishi Techtex Ltd, Jumbo Bag Ltd, EMMBI Industries Ltd, and Commercial Syn Bags Ltd.
  8. Promoter Information:
    • Binod Kumar Agarwal, who currently holds an 88.38% stake in the company, will see his shareholding reduce to 65.42% post-IPO.
  9. Key Risks:
    • The company’s primary raw materials are polypropylene granules, LDPE, and HDPE, which are linked to crude oil prices.
    • Any fluctuation in crude oil prices, foreign exchange rates, or supply shortages could negatively impact the company’s operations and profitability.
  10. Grey Market Premium (GMP):
    • The grey market premium for Shree Tirupati Balajee Agro shares is currently ₹30.
    • This suggests that the shares could list at ₹104, which is about 25.3% higher than the upper price band of ₹83.

This IPO is generating interest in the market, with strong anticipation for a positive listing based on the current grey market activity. Investors should consider these factors before deciding whether to subscribe.

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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