GSM Foils IPO: Issue subscribed 116 times on strong retail demand, check key details

GSM Foils IPO received a strong response from the investors across categories on the third and final day of bidding on Tuesday, May 28. The initial public offer of the pharma foil manufacturer was booked more than 116 times on the final day of subscription led by huge retail demand.

The public issue received bids for more than 38 crore shares against 32.64 lakh shares on offer leading to an overall subscription of 116.67 times on the final day of bidding, the NSE data till 12:40 pm showed.

Retail investors subscribed to the issue 158.71 times with applications for 25.9 crore shares against 16.32 lakh shares on offer for the category. The non-Institutional Investors’ (NIIs) category was subscribed 70.45 times as the investors applied for 11.49 crore shares against 16.32 crore shares set aside for them.

The qualified institutional buyers (QIBs) portion received bids for 68,32,000 shares.

The ₹11.01-crore public offer is a fixed price issue comprising fresh issue of 34.4 lakh shares. The IPO price has been fixed at ₹32 per share. The bidding window for the public issue opened on May 24 and will close today on May 28.

To know more and apply for GMS Foils IPO, click here

GMS Foils IPO allotment and listing

The allotment of shares of GSM Foils IPO will be completed by Wednesday, May 29. Shares of GSM Foils will make debut on the NSE SME platform with the tentative listing date fixed as Friday, May 31.

Shreni Shares is the book running lead manager and the market maker for the public issue and the registrar for the issue is Bigshare Services Pvt Ltd.

GSM Foils IPO Key Financials

GSM Foils’ revenue for the nine months of FY24 ended December 31, 2023, stood at ₹27.17 crore, while the company’s PAT (Profit After Tax) was ₹1.24 crore in the same time period. The company’s net worth for the nine months ended December 2023 stood at ₹1.26 crore.

The company’s revenue for FY23 fell more than 8% to ₹65.88 crore from ₹71.85 crore in FY22. The strip foil manufacturer’s PAT grew nearly 124% to ₹1.42 crore in FY23 compared to ₹63.65 lakh in the preceding fiscal. The company’s net worth grew more than 26% to ₹8.35 crore in FY23 on a year-on-year basis from ₹6.59 crore.

GSM Foils IPO objective

GSM Foils is a maker of strip foils and is engaged in manufacturing Blister Foils which are used in the pharmaceutical industry for packing medicines. The company has a pan-India presence and has 39 employees on its payroll.

The foil manufacturer plans to use the proceeds of the public issue for funding capital expenditure for purchasing plant and machinery. The money will also be utilised for funding the company’s working capital requirements and general corporate purposes.

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