Xolopak India files draft papers with NSE Emerge to raise funds via IPO

Xolopak India, a Pune-based manufacturer of sustainable disposable packaging, has filed draft papers with the National Stock Exchange (NSE) SME platform Emerge to raise funds via an initial public offering (IPO).

According to the company's Draft Red Herring Prospectus (DRHP) with the NSE Emerge, the initial share sale is a fresh issue of 52.86 lakh equity with a face value of ₹10 each.

The company will utilise ₹20 crore from the fresh issue proceeds for acquiring equity shares in Atharva Poly-Plast Pvt Ltd and ₹20.17 crore for purchasing a new plant and installing machinery. Funds will also be used for general corporate purposes.

Following the planned acquisition, Atharva Poly-Plast will expand its manufacturing of parts for televisions, appliances, electrical components, electric scooters, and executive chairs.

The company will serve as a Grade-I supplier for major brands in the appliance and chair industries, including Godrej, Steelcase, Haworth, Herman Miller, and HNI-India.

Beeline Capital Advisors Private Ltd is the book-running lead manager for the issue, while Bigshare Services Private Ltd is the registrar.

About Xolopak India

Xolopak India Ltd. is a leading player in sustainable disposable packaging products and India's first manufacturer of organic disposable cutlery, spoons, and ice cream sticks. Banani Chatterjee and Shashank Mishra promote it.

The company logged close to threefold growth in its revenue from operations, at ₹31.47 crore in the financial year 2023-24, as against ₹11.87 crore in the previous fiscal. The net profit stood at ₹6.36 crore in FY24, up from ₹3.48 crore in FY23.

With a manufacturing capacity of 3,000 metric tons per year, Xolopak Atharva currently utilises 70% of this capacity, positioning it for further growth and increased production capabilities under its new management and promoters.