NSE SME IPO of Ramdevbaba Solvent subscribed 3.04 times

The offer received bids for 1.79 crore shares as against 59.13 lakh shares on offer.

The initial public offer (IPO) of Ramdevbaba Solvent received bids for 1,79,93,600 shares as against 59,13,600 shares on offer, as per NSE data as of 17:00 hours on Monday, (15 April 2024). The issue was subscribed 3.04 times.

The issue opened for bidding on Monday, (15 April 2024) and it will close on Thursday, (18 April 2024). The price band of the IPO is fixed at Rs 80 to Rs 85 per share. The minimum order quantity is 1600 equity shares. The equity shares will list on NSEs SME platform.

The IPO comprises fresh issue of 59,13,600 equity shares. About 3,13,600 equity shares will be reserved for subscription by market maker to the issue. The net issue comprises of 56,00,000 equity shares. The issue and the net issue will constitute 26.73% and 25.31% respectively of the post offer paid up equity share capital of the company.

The company intends to utilize the net proceeds to meet working capital requirement of the company, to setting up of new manufacturing facility, to repayment in full or in part, of certain of outstanding borrowings and general corporate purpose.

Ahead of the IPO, Ramdevbaba Solvent on Friday, 12 April 2024, raised Rs 14.28 crore from anchor investors. The board allotted 16.80 lakh shares at Rs 85 per share to 7 anchor investors.

Ramdevbaba Solvent is engaged in the business of manufacturing, distribution, marketing and selling of physically refined rice bran oil. The company manufactures and sell rice bran oil to FMCG companies like Mother Dairy Fruit & Vegetable, Marico and Empire Spices and Foods. It also manufacture, market and sell rice bran oil under its own brands Tulsi and Sehat through 38 distributors who in turn sell to various retailers across Maharashtra. The company has 491 employees.

The company recorded revenue from operations of Rs 463.59 crore and net profit of Rs 8.28 crore for the period as on 31 December 2023.

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