Nikita Papers IPO Opens On May 27: Check GMP, Price Band, Offer Size And More
The Nikita Paper IPO is a book-building issue worth Rs 67.54 crore. The IPO price band has been fixed at Rs 94 to Rs 104 per share.
Close to five SME IPOs will hit the market in the coming week. Nikita Papers Ltd. is one such Small and Medium Enterprise initial public offering (IPO) that will open for subscription on May 27.
The manufacturer of Kraft Papers aims to raise Rs 67.54 crore through its IPO. The book-building issue comprises only a fresh issue of 64.94 lakh shares and there is no offer-for-sale (OFS) component.
The company specialises in manufacturing papers suitable for industrial, commercial and printing applications. It is also responsible for producing paper products.
Here'a all you need to know about the Nikita Papers SME IPO including the latest grey market premium, offer size, price band, allotment and listing details.
Nikita Papers IPO: Price Band, Lot Size and Other Details
The Nikita Paper IPO price band has been fixed at Rs 94 to Rs 104 per equity share.
Retail investors can bid for a lot size of 1,200 shares, aggregating to a minimum investment of Rs 1,14,000. For high net-worth individuals (HNIs), the minimum application size is two lots, or 2,400 shares. The minimum bidding amount for HNIs is Rs 2,49,600.
A maximum of 50% of the net offer size is reserved for Qualified Institutional Buyers (QIBs). The company has set aside 15% of the offer size for the Non-Institutional Investors (NIIs). The remaining portion of shares has been reserved for the retail bidders.
Fast Track Finsec Pvt Ltd is the book-running lead manager of the Nikita Papers IPO, while Skyline Financial Services Private Ltd is the registrar for the issue. Rikhav Securities Limited is the market maker for Nikita Papers IPO.
Nikita Papers IPO Dates
The NSE SME issue will remain open for subscription from May 27 to May 29. The IPO allotment status is expected to be finalised on May 30. The company is set to initiate refunds and transfer of shares to the Demat accounts on June 2.
Shares of Nikita Papers are tentatively scheduled to be listed on the NSE SME platform, Emerge.
Nikita Papers IPO GMP
According to Investorgain, the grey market premium (GMP) for the Nikita Papers IPO is Rs 0. The latest Nikita Papers IPO GMP indicates a flat listing of shares at a price the same as the upper price band of the NSE SME issue at Rs 104 apiece.
Note: GMP does not represent official data and is based on speculation.
Use Of Proceeds
The proceeds of the public issue will be used by Nikita Papers for general corporate purposes, issue expenses and working capital requirements. It will also divert some funds towards setting up a power plant.
Nikita Papers Financials
The company’s revenue declined to 346.78 crore in FY24, compared to Rs 401.31 crore in FY23. Nikita Papers’ net profit nearly doubled to Rs 16.6 crore in FY24 from Rs 8.65 crore in the preceding fiscal.
For the nine-month period ended December 31, 2024, the company’s revenue stood at Rs 272.38 crore and net profit at Rs 15.68 crore.
Disclaimer: Investments in initial public offerings are subject to market risks. Please consult with financial advisors and read the red herring prospectus thoroughly before placing bids.
