BSE SME Paramount Dye Tec makes a weak listing

The scrip was listed at Rs 109.90, a discount of 6.07% compared to the initial public offer (IPO) price. The stock was currently down 2.18% over its listing price.

The counter hit a high of Rs 109.90 and a low of Rs 104.40. About 4.44 lakh shares of the company changed hands at the counter.

Paramount Dye Tec's IPO was subscribed 33.36 times. The issue opened for bidding on 30 September 2024 and it closed on 3 October 2024. The price band of the IPO was set at Rs 111 to Rs 117 per share.

The IPO comprised fresh issue of 24,30,000 shares. The promoter and promoter group shareholding diluted to 64.97% from 99.97% pre-IPO.

The company intends to utilize the net proceeds for setting up of manufacturing unit, repayment or prepayment of certain debt facilities availed by company, expenses towards registry of land purchased from promoter and for general corporate purpose.

Ahead of the IPO, Paramount Dye Tec on 27 September 2024, raised Rs 8.08 crore from anchor investors. The board allotted 6.91 lakh shares at Rs 117 per share to 4 anchor investor.

Paramount Dye Tec produced yarns by recycling waste synthetic fibers, catering to the B2B segment of the textile industry. The company offered a range of products, including synthetic fibers and yarns such as acrylic, polyester, nylon, wool, hand-knitting, and acrylic blend yarns, known for their quality, durability, and lasting excellence. The company sold acrylic cloth and other products like blended yarn, nylon, polyester yarns, and acrylic yarn. The company has 37 employees.

The company recorded revenue from operations of Rs 23.51 crore and net profit of Rs 3.54 crore for the period as on 31 March 2024.