UMA Exports IPO ends with strong subscription

Published on Mar 31, 2022 14:59

The initial public offer (IPO) of UMA Exports received bids for 7,08,34,280 shares as against 92,30,769 shares on offer. The issue was subscribed 7.67 times.

The retail investors category was subscribed 10.11 times. The qualified institutional buyers (QIBs) category was subscribed 2.81 times. The non institutional investors category was subscribed 2.22 times.

The issue opened for bidding on 28 March 2022 and it closed on 30 March 2022. The price band of the IPO was fixed at Rs 65-68 per share.

The offer comprised of a fresh issue of equity shares aggregating upto Rs 60 crore. The company proposes to utilize the net proceeds of the fresh issue towards funding working capital requirements amounting to Rs 50 crore and the balance for general corporate purposes.

Uma Exports is engaged in the business of trading and marketing of agricultural produce and commodities. The products include such as sugar, spices like dry red chillies, turmeric, coriander, cumin seeds, food grains like rice, wheat, corn, sorghum, and tea, pulses, and agricultural feed like soyabean meal and rice bran de-oiled cake.

The company imports lentils, faba beans, black urad dal and tur dal majorly from Canada, Australia and Burma. As a B2B Trader, the company is highly specialized in sugar and lentils. The company supplies its products to the manufacturers and exporters as per their demand in bulk quantities.

The company also exports products to countries including Malaysia, Sri Lanka and Bangladesh. The Company presently exports its consignments from a number of Indian ports including Mundra, Jawaharlal Nehru Port Trust, Kandla, Chennai, Kakinaka and Visakhapatnam.

The company reported a net profit of Rs 8.97 crore and sales of Rs 523.75 crore in the six months ended 30 September 2021.