NSE SME Srivasavi Adhesive Tapes makes dull debut

Shares of Srivasavi Adhesive Tapes were trading at Rs 41.40 at 10:44 IST on the NSE, a premium of 0.98% compared with the issue price of Rs 41.

The scrip was listed at Rs 40, a discount of 2.44% compared with the issue price.

So far, the scrip hit a high of Rs 41.50 and a low of Rs 38.10. At the counter, 10.35 lakh shares of the company had changed hands till now.

The initial public offer (IPO) of Srivasavi Adhesive Tapes was subscribed 7.75 times. The issue opened for bidding on Thursday (23 February 2023) and closed on Tuesday (28 February 2023). The issue price for the IPO was fixed at Rs 41 per share. The minimum order quantity was 3,000 shares.

The equity shares are proposed to be listed on the Emerge Platform of National Stock Exchange of India.

The IPO comprised fresh issue of 37,80,000 equity shares, aggregating to Rs 15.50 crore. The shareholding of the promoter and the promoter group will dilute to 73.21% post IPO from 99.84% pre-IPO.

About 1,92,000 equity shares have been reserved for subscription by market maker to the issue. The net issue comprises of 35,88,000 equity shares. The issue and the net issue will constitute 26.67% and 25.31%, respectively of the post issue paid-up equity share capital of the company.

The company intends to utilize the net proceeds from the issue for funding working capital requirements and general corporate purposes.

As on 30 September 2022, the company had total 96 employees in various departments.

Srivasavi Adhesive Tapes is engaged in manufacturing, coating, converting, and Die cuts of industrial specialty self-adhesive tapes. The company customized die cuts of films, foams, and allied products. It caters to various industries such as automotive, locomotives, aerospace, defence, electrical & electronics, renewable energy, print & paper, food & pharma, FMCG, white & brown goods, furniture, retail, construction, infrastructure, sports & fitness equipment, textiles & leather industries.

The company recorded a revenue from operations of Rs 30.57 crore and net profit of Rs 1.81 crore for the period ended on 30 September 2022.

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