Sacheerome IPO fully subscribed within hours of launch; key things to consider

The NSE SME initial public offering of fragrances and flavours maker Sacheerome Ltd has been fully subscribed within hours of launch on Monday, June 9.

The issue has received bids for 46,34,400 shares as compared to 43,21,200 shares on offer, leading to a 1.07 times subscription, according to the NSE data until 11:14 am.

The company intends to raise ₹61.62 crore by issuing 60.41 lakh new equity shares.

Funds up to ₹56.5 crore will be used for setting up a new manufacturing place, and the remaining for general corporate purposes.

The application size is 1,200 shares, which will be costing ₹1,22,400 (cut-off price) to retail investors. For high-net-worth investors, the minimum investment is ₹2,44,800.

Sacheerome IPO: Key dates

Sacheerome IPO allotment is expected to be finalised on June 12. For non-allotees, refunds will be initiated on June 13. For successful investors, shares will be credited to the Demat account on the same day.

The company's shares will list on the NSE SME platform on June 16.

The issue's book-running lead manager is GYR Capital Advisors, while MUFG Intime India is the registrar.

Sacheerome produces flavours and fragrances. Its products follow global standards like the International Fragrance Association (IFRA), European Commission (EU), Flavour Extract Manufacturers Association (FEMA), and Food Safety and Standards Authority of India (FSSAI).

Its fragrances are used in hair care, body care, personal care and washing, home care, grooming, fabric care, and other industries. Its flavours are utilised in bakery, beverages, confectionery, oral care, dairy products, seasonings, meat products, and others.

The company had reported a 21.8% increase in its revenue from operations to ₹86.4 crore in the financial year 2023-24 as against ₹70.93 crore a year back.

The net profit stood at ₹10.67 crore in FY24, reflecting an increase of 78.12% from ₹5.99 crore in the fiscal year 2023.