Polysil Irrigation Systems shares list on NSE SME with over 3% premium to IPO price
Upstox
3 min read • Updated: February 16, 2024, 7:53 PM
Summary
Polysil Irrigation Systems Ltd IPO received a strong response from investors. After four days of bidding that ended on February 13, the IPO was subscribed 6.88 times.
Vadodara-based Polysil Irrigation Systems Ltd on Friday made a firm debut on stock exchanges. The company listed on the NSE Emerge platform at ₹56 per share compared to its issue price of ₹54 per share, reflecting a premium of 3.7%.
After a firm start, the stock rose further by 5% to a high of ₹58.80 on strong demand for the stock. Around 4.04 lakh shares worth ₹2.32 crore changed hands in the first 15 minutes of trade. The market capitalisation of the company stood at ₹66.68 crore.
Polysil Irrigation Systems Ltd IPO: Subscription, price and other key details
The Vadodara-based company hit the capital market on February 8, 2024, with an initial public offering to raise around ₹17.44 crore from public investors.
The public offer of the irrigation solutions provider was a combination of a fresh issue and offer for sale (OFS). The company offered a fresh issue of 1.44 million shares aggregating to ₹7.80 crore while existing investors divested 1.78 million shares aggregating to ₹9.64 crore through the OFS.
The price band for the IPO was fixed at ₹54 per share. The minimum lot size was 2,000 equity shares, translating into a minimum investment of ₹1,08,000. Fedex Securities Private Limited was the book running lead manager to the issue.
The main objective of the IPO was to meet working capital requirements and general corporate purposes. The company looks to become a ₹500 crore turnover firm by March 2025.
Polysil Irrigation Systems Ltd IPO received a strong response from investors. After four days of bidding that ended on February 13, the IPO was subscribed 6.88 times the shares on offer. In volume terms, applications for 21 million shares were received as against 3.06 million shares on offer.
Among investor categories, retail individual investors placed bids 11.62 times the shares reserved for them. The non-institutional investors (NIIs) category was subscribed 2.12 times.
Polysil Irrigation Systems IPO allotment
Polysil Irrigation Systems Ltd started the allotment of shares on February 14. The company made refunds and credit of shares to demat accounts of successful bidders on February 15. Investors, who bid for shares during Polysil Irrigation Systems Ltd IPO, can check the allotment status on the website of registrar Bigshare Services Pvt. Ltd.
About Polysil Irrigation
Vadodara-based Polysil Irrigation is an integrated player in the drip irrigation and sprinkler irrigation segment. It has a presence in the micro-irrigation industry. Products made by the company include HDPE pipes, fittings and micro irrigation systems, drip irrigation system and sprinkler irrigation system, components, accessories and allied products.
Polysil is a well-known brand in emitting pipe, lateral pipe and HDPE pipes that are used in micro irrigation systems.
The company is a regular supplier of products like drip irrigation, overhead sprinkler irrigation and mini sprinkler irrigation to various government and non-government bodies as well as farmers.
The company has nine distributors and around 425 dealers in India. Its end customers are eligible to receive government-subsidy under various schemes. The company operates in Gujarat, Tamil Nadu, Maharashtra, Andhra Pradesh, Karnataka, Madhya Pradesh, Uttar Pradesh, Rajasthan and Haryana.
The company has a manufacturing unit at Manjusar in Vadodara district of Gujarat. As of December 31, 2023, its overall staff strength of the company stood at 52 employees including skilled and unskilled labour, administrative staff and management team.
Polysil’s revenue from operations for FY23 was ₹ 4387.66 lakh as against ₹3,762.08 lakh in FY22 and ₹5,458.8 lakh in FY21.
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