BSE SME Subam Papers slips on debut

The scrip was listed at Rs 142, a discount of 6.58% compared to the initial public offer (IPO) price. The stock was currently frozen at its upper limit of 5% over its listing price.

The counter hit a high of Rs 149.10 and a low of Rs 134.90. About 15.55 lakh shares of the company changed hands at the counter.

Subam Papers' IPO was subscribed 86.49 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 144 to Rs 152 per share.

The IPO comprised fresh issue of 61,64,800 equity shares. The promoter and promoter group shareholding diluted to 69.67% from 94.81% pre-issue.

The company intends to utilize the net proceeds to invest in subsidiary for financing its capital expenditure requirements and general corporate purposes.

Ahead of the Subam Papers on 27 September 2024, raised Rs 26.70 crore from anchor investors. The board allotted 17.56 lakh shares at Rs 152 per share to 10 anchor investors.

Subam Papers engaged in the manufacturing of kraft paper and paper products, including paper cones and duplex board. The company leverages wastepaper as the primary raw material in the production of Kraft Paper and Duplex Board. The company's products are used in various industries, including automobiles, textiles, FMCG, food, distilleries, pharmaceuticals, electrical and electronics, printing, etc. The company has 500 employees.

The company recorded revenue from operations of Rs 493.86 crore and net profit of Rs 33.41 crore for the period as of 31 March 2024.