Mamata Machinery files draft IPO papers with SEBI, offer made up entirely of OFS

Packaging equipment firm Mamata Machinery Limited has filed preliminary papers with the markets regulator, the Securities and Exchange Board of India (SEBI), to launch an initial public offering (IPO).

According to the draft red herring prospectus (DRHP), the IPO is completely an offer for sale or OFS of 73.82 lakh shares by promoters.

Under the OFS, those offloading their stake include Mahendra Patel, Bhagvati Patel, Nayana Patel, Mamata Management Services LLP and Mamata Group Corporate Services LLP.

As no fresh issue is involved, all proceeds from the IPO will go to the selling shareholders.

Mamata Machinery said that the objective of launching the offer is to gain the benefits of listing the equity shares of the company on the stock exchanges.

The company also believes that the listing would increase its visibility, brand image, provide liquidity to its shareholders, and establish a public market for the equity shares.

About Mamata Machinery

Mamata Machinery is into manufacturing and export of packaging machines, plastic bags and pouch-making machines and extrusion equipment. The company provides end-to-end manufacturing for the packaging sector. It sells its machines under the brand names 'Win' and 'Vega'.

As of May 2024, Mamata Machinery has installed more than 4,500 machines in 75 countries. The company provides a comprehensive range of products for the entire flexible packaging market value chain.

The sole book-running lead manager for the issue is Beeline Capital Advisors Private Limited.