Platinum Industries IPO subscribed 22.19 times

Published on Feb 28, 2024 17:22

The initial public offer (IPO) of Platinum Industries received 21,37,42,644 bids for shares as against 96,32,988 shares on offer, according to stock exchange data at 17:00 IST on Wednesday (28 February 2024). The issue was subscribed 22.19 times.

The issue opened for bidding on Tuesday (27 February 2024) and it will close on Thursday (29 February 2024). The price band of the IPO is fixed at Rs 162 to 171 per share. An investor can bid for a minimum of 87 equity shares and in multiples thereof.

The IPO comprises fresh issue of 1,37,61,225 equity shares aggregating Rs 235 crore on upper price band.

The company proposes to utilize the net proceeds from the fresh issue towards investment in platinum Stabilizers Egyptfor financing its capital expenditure requirements of Rs 67.72 crore to set up the proposed facility in Egypt, funding of capital expenditure of Rs 71.26 crore to set up the proposed facility in Palghar, funding working capital requirements of Rs 30 crore and the balance towards general corporate expenses.

Ahead of the IPO, Platinum Industries on Monday, 26 February 2024 raised Rs 70.59 crore from anchor investors. The board allotted 41.28 lakh shares at Rs 171 each to 7 anchor investors.

Platinum Industries was incorporated in 2016, it is a multi-product company in the business of manufacturing stabilizers. The company`s business segment includes PVC (polyvinyl chloride) stabilizers, CPVC (chlorinated polyvinyl chloride) additives and lubricants. It operates in the speciality chemicals industry. Its products find application in PVC pipes, PVC profiles, PVC fittings, electrical wires and cables, SPC (stone plastic composite) floor tiles, rigid PVC foam boards, and packaging materials.

The firm reported a net profit of Rs 22.84 crore and total income of Rs 122.82 crore for the six months ended on 30 September 2023.