The allotment status for Shreenath Paper Products Limited's Initial Public Offering (IPO) is set to be finalised on March 3, 2025, following strong investor interest. The IPO, which initially saw a slow response, witnessed a surge in demand on its closing day, February 28, 2025.
Investors who want to apply for IPO online in the future can check their allotment status on the BSE website or through the issue registrar, Bigshare Services Private Limited.
Subscription overview and market response
Shreenath Paper Products aimed to raise ₹23.36 crore through its IPO. The issue saw an overall subscription of 1.9 times, driven largely by retail investors, whose portion was subscribed 3.18 times. The Non-Institutional Investor (NII) category recorded a 63% subscription. Analysts observed that the heightened retail participation reflected confidence in the company's growth prospects.
Steps to check IPO allotment status on BSE
Investors who applied for the IPO online can verify their allotment status using these steps:
How to check IPO allotment on Bigshare Services?
Alternatively, investors can check their allotment status on the Bigshare Services website:
IPO details and investment breakdown
The IPO consisted entirely of a fresh issue of 53.1 lakh shares at a fixed price of ₹44 per share. There was no Offer-for-Sale (OFS) component. Retail investors had to apply for a minimum lot size of 3,000 shares, requiring an investment of ₹1,32,000, while high-net-worth individuals (HNIs) needed to invest at least ₹2,64,000 for two lots. Those looking to diversify their portfolios could apply for the IPO online through various platforms.
Refunds, demat credit, and listing timeline
Refunds for unallocated shares will be processed on March 4, 2025, and successful applicants will receive shares in their Demat accounts the same day. The IPO shares are scheduled to be listed on the BSE SME platform on March 5, 2025. Investors are advised to monitor market conditions post-listing for potential movements.
Shreenath Paper products: Business model and growth plans
Established in 2011, Shreenath Paper Products Limited specialises in manufacturing and supplying a wide range of paper products, including sublimation base paper, cup stock paper, straw paper, and security PSA sheets. The company caters to industries such as FMCG, pharmaceuticals, textiles, e-commerce, and food & beverages, with a strong presence in Maharashtra, Madhya Pradesh, and Gujarat.
The funds raised from the IPO will primarily support working capital requirements, with ₹18 crore (77.05% of proceeds) allocated for this purpose. Additionally, ₹2.87 crore (12.85%) will be utilised for general corporate needs. Analysts believe this strategic capital infusion will strengthen the company’s operational capacity and future expansion.
Financial performance and market outlook
For the April-December 2024 period, Shreenath Paper Products reported revenue of ₹78.62 crore and a net profit of ₹2.41 crore. In FY24, the company’s revenue stood at ₹185.84 crore, reflecting a minor dip from ₹204.43 crore in FY23. However, net profit remained stable at ₹4.39 crore, signalling operational efficiency despite market fluctuations.
Key financial metrics include:
Final thoughts on the IPO
For investors who applied for the IPO online, checking the allotment status is a crucial step before the listing. With a well-defined growth strategy and prudent fund utilisation, Shreenath Paper Products positions itself as a strong player in the paper industry.
Post-listing, market movements and industry trends will further determine the stock's performance, making it essential for investors to stay informed and assess long-term potential. Those who apply for IPO online for future offerings should keep an eye on market dynamics and emerging opportunities.
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