Manika Plastech Files DRHP with SEBI for IPO to Raise ₹115 Crore
In a significant development, Manika Plastech Limited, a leading rigid polymer packaging company, has filed its Draft Red Herring Prospectus (DRHP) with the Securities and Exchange Board of India (SEBI) for its initial public offering (IPO). The IPO aims to raise ₹115 crore, which will be used for capital expenditure, debt repayment, and expansion plans.
As per the DRHP, the IPO will comprise a fresh issue of ₹115 crore and an offer for sale of 1.5 crore shares by the existing investors. The offer for sale is expected to fetch ₹60 crore to the selling shareholders, based on the upper end of the price band. The company plans to utilize the fresh issue proceeds for various purposes, including capital expenditure, debt repayment, and expansion of its business.
Manika Plastech Limited is a prominent player in the rigid polymer packaging industry, serving key sectors such as food, pharmaceuticals, and consumer goods. The company has a strong presence in the Indian market and is known for its innovative packaging solutions. Its product range includes rigid packaging products like containers, jars, and bottles, which are used in various industries.
The company’s ISBM (Injection Stretch Blow Moulding) technology enables it to produce high-quality packaging products with precise dimensions and finishes. This technology has helped Manika Plastech to differentiate itself from its competitors and establish a strong reputation in the market. The company plans to expand its product range using this technology, which is expected to drive its growth in the coming years.
The IPO is expected to be a significant milestone for Manika Plastech Limited, as it will provide the company with the necessary funds to fuel its growth plans. The company’s expansion plans include increasing its production capacity, setting up new manufacturing facilities, and expanding its distribution network. The funds raised through the IPO will also be used to repay debts and enhance its financial structure.
The IPO is likely to be well-received by investors, given the company’s strong track record and growth prospects. Manika Plastech Limited has reported steady growth in its revenues and profits over the past few years, with a CAGR of 15% in its revenue and 20% in its net profit. The company’s financials are also strong, with a debt-to-equity ratio of 0.5, indicating a healthy capital structure.
The IPO is expected to be listed on the National Stock Exchange (NSE) and the Bombay Stock Exchange (BSE). The company has appointed ICICI Securities, Axis Capital, and SBI Capital Markets as the book running lead managers for the IPO.
In conclusion, Manika Plastech Limited’s IPO filing with SEBI is a significant development in the Indian packaging industry. The company’s plans to raise ₹115 crore through the IPO will provide it with the necessary funds to drive its growth plans, expand its product range, and increase its production capacity. The company’s strong track record and growth prospects make it an attractive investment opportunity for investors.
Source: https://startuptalky.com/news/manika-plastech-files-drhp-for-ipo-to-raise-inr-115-crore/
