Shree Tirupati Balajee Agro Trading Company Limited is set to launch its Initial Public Offering (IPO) from September 5, 2024, to September 9, 2024. The IPO aims to raise ₹169.65 crores through a combination of fresh issue and an offer for sale. Below are the essential details and key highlights of the upcoming IPO.

IPO Structure and Key Details

• Total Issue Size: ₹169.65 crore

  • Fresh Issue: ₹122.43 crore (1.48 crore shares)
  • Offer for Sale: ₹47.23 crore (0.57 crore shares)

• Price Band: ₹78 to ₹83 per share

• Face Value: ₹10 per share

• Lot Size: 180 shares per lot

• Minimum Investment for Retail Investors: ₹14,940

• Listing: Shares will be listed on both BSE and NSE with a tentative listing date of September 12, 2024.

Important Dates and Timeline

• IPO Open Date: September 5, 2024
• IPO Close Date: September 9, 2024
• Basis of Allotment: September 10, 2024
• Initiation of Refunds: September 11, 2024
• Credit of Shares to Demat: September 11, 2024
• Listing Date: September 12, 2024

Reservation and Allocation

• Qualified Institutional Buyers (QIB): Not more than 50% of the offer
• Retail Investors: Not less than 35% of the offer
• Non-Institutional Investors (NII/HNI): Not less than 15% of the net issue

Financial Snapshot

Shree Tirupati Balajee Agro Trading Company Limited has shown consistent growth in its financials. The company's revenue increased by 16%, and profit after tax (PAT) surged by 74% between the financial years ending March 31, 2024, and March 31, 2023.

• Revenue (FY 2024): ₹552.82 crore
• Profit After Tax (FY 2024): ₹36.07 crore
• Net Worth (FY 2024): ₹173.07 crore
• Market Capitalization: ₹677.04 crore

Key Financial Ratios

• Return on Equity (ROE): 20.84%
• Return on Capital Employed (ROCE): 16.29%
• Debt/Equity Ratio: 1.41
• PAT Margin: 6.53%
• P/BV Ratio: 3.01

Objectives of the IPO

The proceeds from the fresh issue will be utilized for:

1. Repayment/Prepayment of Borrowings: Reducing the company's debt burden.
2. Investment in Subsidiaries: Funding working capital requirements for HPPL, STBFL, and JPPL.
3. Working Capital Requirements: Supporting the company's operational needs.
4. General Corporate Purposes: Meeting miscellaneous expenses and growth initiatives.

About the Company

Established in October 2001, Shree Tirupati Balajee Agro Trading Company Limited is a leading manufacturer and seller of Flexible Intermediate Bulk Containers (FIBCs) and other industrial packaging products. The company caters to diverse industries such as chemicals, agrochemicals, food, mining, agriculture, lubricants, and edible oil.

With five manufacturing units, the company is well-equipped to meet the bulk packaging needs of its clients, both in India and overseas. The company's commitment to quality is reflected in its multiple certifications, including ISO 9001:2015, ISO 14001:2018, and ISO 45001:2018.

Conclusion

The Shree Tirupati Balajee IPO offers a promising investment opportunity with a well-structured financial background and a clear growth strategy. Investors looking to diversify their portfolio in the manufacturing and industrial packaging sector should consider this IPO as a potential addition.

For more detailed information, refer to the Shree Tirupati Balajee IPO RHP.

This blog format provides a clear overview of the IPO details, highlighting key financials and objectives, making it easier for potential investors to understand and consider participating in the Shree Tirupati Balajee Agro Trading Company Limited IPO.