The Initial Public Offering of Shree Tirupati Balajee Agro Trading Company Limited was subscribed 18.17 times on the second day of bidding.
The issue received bids of 25,99,94,520 shares against the offered 1,43,08,000 equity shares, at a price band of ₹78-83, according to the data available on the stock exchanges.
Retail Portion and Non-Institutional Investors Portion were subscribed 21.42 times and 28.56 times respectively, whereas Qualified Institutional Buyer Portion was subscribed 4.69 times. The issue kicked off for subscription on Thursday, September 5, 2024, and will close on Monday, September 9, 2024.
A day before its issue opening, Shree Tirupati Balajee Agro Trading Company Ltd raised Rs 50.89 crores from anchor investors. Institutions who participated in the anchor were NAV Capital VCC - NAV Capital Emerging Star Fund, Chanakaya Opportunities Fund I, Next Orbit Growth Fund III, Saint Capital Fund, Steptrade Revolution Fund and Astorne Capital VCC - Arven.
Leading brokerage firms like GEPL Capital, Choice India, Ventura, BP Equities, Swastika, Stoxbox and Canara Bank Securities Ltd have given a “Subscribe” rating to the issue highlighting strong financial health, market leadership, and attractive valuation. FIBCs market have shown strong growth. This growth is supported by strong domestic demand in sectors such as chemicals, food products, construction materials, and agriculture, coupled with favorable government policies like Make-in-India that enhance manufacturing and international trade. The current issue is priced at a P/E ratio of 14.5x on upper price band based on FY24 earnings, aligning well with its peers. Given the industry’s promising growth trajectory and the company’s strategic focus on capacity optimization, new product development, and expansion in domestic and global presence. Most brokerages recommend subscribing to the IPO, with a view towards long-term investment.
PNB Investment Services Limited, and Unistone Capital Private Limited are the book running lead managers and Link Intime India Private Limited is the registrar to the Offer. The Equity Shares are proposed to be listed on BSE and NSE.