Premium Plast IPO Day 1: NSE SME issue booked over 3 times on high retail demand, check key details

Premium Plast Limited IPO was fully subscribed within hours of launch on the first day of bidding on Monday, October 21. The initial public offering (IPO) of the auto components maker was booked over 3 times driven by high demand from retail investors.

The ₹26.2-crore book-building offer is open for bidding from October 21 to October 23.

According to the NSE data, the IPO attracted bids for over 1.91 crore shares against 50.76 lakh shares on offer across categories. The issue was overall booked 3.77 times, at the end of bidding on the first day.

The retail portion of the IPO was booked 7.27 times with bids for over 1.65 crore shares against 22.83 lakh shares set aside for the category. The Non-Institutional Investors (NIIs) applied for 20.25 lakh shares against 22.83 lakh shares set aside for the category. The NIIs booked their quota at 87%. The Qualified Institutions Buyers’ (QIBs) quota was fully subscribed with applications for 5.1 lakh shares against as many shares offered for bidding.

The investors looking forward to applying for shares of Premium Plast Limited during the three-day bidding period should check the following key details before bidding.

Premium Plast IPO details

Premium Plast IPO is a book-building offer comprising an entirely fresh issue of 53.46 lakh shares. The IPO price band has been fixed at ₹46 to ₹49 per share.

The minimum application size for retail investors is a single lot of 3,000 shares, aggregating to an investment of ₹1,47,000. The High Networth Individuals (HNIs) can apply for a minimum of 2 lots, or 6,000 shares, amounting to an investment of ₹2,94,000.

Khandwala Securities Limited is the book-running lead manager of the IPO. Bigshare Services Pvt Ltd is the registrar for the issue.

Premium Plast IPO dates

Premium Plast IPO allotment status is expected to be finalised on Thursday, October 24. The company will initiate refunds for non-allottees on October 25. The successful bidders will also receive the shares in their Demat accounts the same day.

The IPO listing date has been tentatively fixed as October 28. Shares of the company will be listed on the NSE SME platform.

Premium Plast IPO objects

The company has proposed to utilise IPO proceeds of ₹16.55 crore for the expansion of the existing manufacturing facility at Pithampur, Madhya Pradesh, and the purchase of machinery.

It will spend ₹1.04 crore for funding the capital expenditure requirement of the company towards setting up rooftop grid solar power plants at the existing manufacturing facility. The company will also utilise ₹2.23 crore for prepayment or repayment of all or a portion of certain outstanding borrowings.

About Premium Plast Limited

Premium Plast Limited is a tier-1 automotive components supplier to original equipment manufacturers (OEMs). It designs, manufactures and supplies exterior plastic components, interior cabin components, under hood components to commercial vehicle OEMs directly to customers.

Its clients are mainly domestic and international automobile OEMs, and cotton manufacturers and industrial tool producers.