The Red Herring Prospectus (RHP) reveals that Signoria Creation primarily manufactures and sells a range of women’s clothing, including dresses, dupattas, kurtis, trousers, tops, and co-ord sets. Known for their classic kurtis, the brand offers a variety of colors, patterns, and sizes, focusing on modern, fashionable, and comfortable clothing. In the first quarter ending on June 30, 2023, the company introduced Co-ord Sets for women.
According to the RHP, Signoria Creation’s listed peer is Nandani Creations Ltd, with a P/E (Price/Earnings) ratio of 585.90.
The company reported impressive financial growth, with revenue increasing by 62.13% and profit after tax (PAT) surging by 242.14% during the fiscal years ending on March 31, 2022, and March 31, 2023.
Key Details of Signoria Creation IPO:
- The IPO is valued at ₹9.28 crore and comprises a fresh issue of 14,28,000 equity shares with a face value of ₹10. It is a completely fresh issue, with no offer-for-sale component.
- The net proceeds from the fresh offering will be utilized for general corporate objectives and the company’s working capital needs.
- Holani Consultants Private Limited is the book running lead manager, with Bigshare Services Pvt Ltd serving as the registrar. Holani Consultants also acts as the market maker for Signoria Creation IPO.
IPO Allocation Details:
- Not more than 50% of the shares are reserved for qualified institutional buyers (QIB), at least 15% for non-institutional investors, and a minimum of 35% for retail investors. The employee portion is reserved for 40,000 equity shares, while the market maker reserved category comprises 72,000 equity shares.
Timeline and Market Listing:
- The basis of allotment of shares is expected to be finalized on Friday, March 15, with refunds initiated on Monday, March 18. The shares are slated to be credited to the demat accounts of allottees on the same day, and the Signoria Creation share price is anticipated to be listed on BSE and NSE on Tuesday, March 19.
Grey Market Premium (GMP):
- As of now, Signoria Creation IPO’s grey market premium stands at +50, indicating a premium of ₹50 in the grey market, according to investorgain.com. Based on the upper end of the IPO price band and the current grey market premium, the estimated listing price for Signoria Creation shares is projected at ₹115, representing a 76.92% increase from the IPO price of ₹65. The ‘grey market premium’ reflects investors’ willingness to pay more than the issue price.
