Mamata Machinery Limited increased ₹53.55 crore from anchor investors ahead of the public issue, according to a stock exchange filing by the company on Wednesday, December 18.
The company has allotted 22,04,113 or 22.04 lakh equity shares to the anchor investors at an allotment price of ₹243 per share, with a nominal value of ₹10 each.
The pool of anchor investors for the public issue of Mamata Machinery Limited consists of 3P India Equity Fund, Authum Investment and Infrastructure, Winro Commercial India, Subhkam Ventures, Chartered Finance and Leasing, Belgrave Investment Fund and Aarth AIF.
According to the company’s stock exchange filing on Wednesday, 3P India Equity Fund is 24.9 percent, Authum Investment and Infrastructure 13.51 percent, Winro Commercial India 13.51 percent, Subhkam Ventures 13.51 percent, Chartered Finance and Leasing 13 .51 percent. 13.51 percent, Belgrave Investment Fund at 11.34 percent, and Aarth AIF at 9.73 percent were the allotment portions for the public issue.
“In the higher price range, the company is valued at a price-to-earnings ratio of 16.6x with a market capitalization of ₹ 5,979 million post issuance of shares and a return on equity of 27.4% based on FY24. In terms of valuation, we believe the company is fairly priced compared to its peers. Therefore, we recommend a ‘Subscribe’ rating for the IPO,” analysts at Anand Rathi Research Team said in an IPO note.
Mamata Machinery IPO GMP
From December 18, the gray market premium (GMP) for the Mamata Machinery IPO will be ₹150 per share. With the upper price range of the public issue at ₹243 per share, the company’s shares are expected to hit Dalal Street ₹393 each, a premium of 61.73 percent, according to Investorgain.com.
The gray market premium (GMP) is an indicator of the willingness of investors to pay more for a public issue. The GMP rose to the current level of ₹150 per share, from ₹111 per share, on December 17.
Mamata Machinery IPO details
Mamata Machinery Limited is a manufacturer and exporter of plastic bags, pouches, packaging and extrusion equipment. The company provides manufacturing solutions for the packaging industry in the FMCG, food and beverage sectors.
The company has clients like Balaji Wafers Private Limited, Dass Polymers Private Limited, Jflexy Packaging Private Limited, Euphoria Packaging Private Limited, Sunrise Packaging, Om Flex India, Chitale Foods, V3 Polyplast Private Limited, Dhalumal Packaging Industries LLC, Laxmi Snacks Private Limited, Ganges Jute Private Limited, Western India Cashew Company Private Limited and NN Print & Pack Private Limited and Gits Food Products Private Limited and Emirates National Factory for Plastic Ind LLC.
The public issue opens on Thursday, December 19 and closes on Monday, December 23. The company has set the price range for the public issue at a range of ₹230 to ₹243 per share with a lot size of 61 shares per lot.
The company is offering a full offer-for-sale (OFS) component deal of as many as 73,82,340 or 73.82 lakh shares. The IPO is expected to be listed on both domestic stock indices on Friday, December 27.
