Standard Glass Lining Technology Ltd confidently entered the stock market on January 13, 2025. The shares were listed at ₹172 on the NSE, representing a premium of 22.8% over the issue price of ₹140. The stock opened even higher on the BSE at ₹176, marking a 25.71% increase.
The company's ₹410 crore IPO, open for subscription from January 6 to January 8, received an overwhelming response with a subscription rate of 185.48 times. The retail segment saw a subscription of 65.71 times, while non-institutional and qualified institutional investor segments were subscribed 275.21 and 327.76 times, respectively.
Use of IPO Proceeds
The IPO funds will be allocated to support various strategic objectives, including:
1. Capital Expenditure: Acquisition of machinery and equipment to improve operational efficiency.
2. Debt Reduction: Repayment or prepayment of certain borrowings, including those of its subsidiary, S2 Engineering Industry Private Limited.
3. Growth and Expansion: Funding inorganic growth through strategic acquisitions and investments.4.
4. General Corporate Purposes: Enhancing overall organizational operations.
Company Overview
Founded in 2012, Standard Glass Lining Technology specializes in manufacturing engineering equipment for pharmaceutical and chemical industries. With an end-to-end manufacturing capability, the company provides turnkey solutions encompassing design, engineering, manufacturing, and installation.
The company has shown robust financial performance, achieving a 10% increase in revenue and a 12% profit after-tax (PAT) growth between FY23 and FY24.
IPO Highlights
- IPO Size: ₹410.05 crore
- Price Band: ₹133-140 per equity share
- Anchor Investment: Raised ₹123 crore ahead of the IPO
Future Plans
The company plans to broaden its market presence through product diversification and increased export opportunities, aiming to generate 20% of its revenue from exports by 2026.
This substantial listing reflects investors' confidence in Standard Glass Lining Technology's growth prospects, underpinned by its robust market position, operational efficiency, and strategic initiatives.
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