The initial public offering of Divyadhan Recycling Industries Ltd. is set to launch on Sept. 26. The Rs 24.17-crore book-building issue is an entirely fresh offer of 37.76 lakh shares. Investors can place their bids in the Divyadhan Recycling Industries IPO till Sept. 30.
The price band for the IPO has been set in the range of Rs 60 to Rs 64 per share. Retail investors can apply with a minimum lot size of 2,000 shares, amounting to an investment of Rs 1,28,000.
The company has reserved 50% of the net offer size for Qualified Institutional Buyers and 15% for the Non Institutional Investors.
The remaining 35% is allocated to retail investors, as per the company's Red Herring Prospectus.
Divyadhan Recycling Industries has appointed Narnolia Financial Services Ltd. as the book running lead manager for the issue.
Skyline Financial Services Pvt. is the registrar whereas Kantilal Chhaganlal Securities Pvt. is the market maker for this NSE SME IPO.
The allotment of shares in Divyadhan Recycling Industries IPO is scheduled to be finalised on Oct. 1. This will be followed by the initiation of refunds for non-allottees and credit of shares into the Demat account of successful bidders on Oct. 3.
Divyadhan Recycling Industries shares will be listed on the NSE SME platform, Emerge, tentatively on Oct. 4.
Divyadhan Recycling Industries IPO GMP Today
The grey market premium of Divyadhan Recycling Industries IPO was nil as of 9:28 a.m. on Sept. 26, according to Investorgain. Based on the GMP, the estimated listing price of the stock is likely to be Rs 64 per share.
However, investors must note that GMP is not an official price quote for the stock and is based on speculation.
Business
Incorporated in 2010, Divyadhan Recycling Industries Ltd. is a manufacturer of recycled polyester staple fibre (R-PSF) and recycled pellets.
Located in Himachal Pradesh's Solan, the company's manufacturing facility has a total capacity of 8,030 metric tons per annum for fibre and 4,320 metric tons per annum for pellets.
Use Of Proceeds
The company plans to use the money raised via the public issue for capital expenditure and general corporate purposes.
Financials
Divyadhan Recycling Industries' total income for fiscal 2024 increased over 1% to Rs 59.12 crore from Rs 58.15 crore in fiscal 2023. Its profit after tax increased over 9% year-on-year to Rs 2.37 crore in fiscal 2024, up from Rs 2.16 crore in the previous financial year.
Disclaimer: Investments in initial public offerings are subject to market risks. Please consult with financial advisors and read red herring prospectus thoroughly before placing bids.
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