Sealmatic India (SIL)’s initial public offering (IPO) will open for subscription on Friday, February 17. The Maharashtra-based company is looking to raise Rs 56.24 crore from its initial share sale. The company will be selling its shares in the range of Rs 220-225 apiece.
Sealmatic India’s issue consists of the issuance of 18.50 lakh fresh equity shares with a face value of Rs 10 each, and an offer-for-sale (OFS) of up to 6,49,600 equity shares. The issue can be subscribed till Tuesday, February 21. The company’s shares are likely to get listed on the bourses on March 1, 2023.
The issue is an SME offering, which will be listed on BSE’s SME platform. The lot size is fixed for 600 equity shares amounting to Rs 1,35,000. Retail investors can make a bid for a single lot only, whereas HNI investors can bid for a maximum of 2 bids.
The net proceeds from the issue will be utilized towards the purchase of plant and machinery, product development, marketing and after-sales support, general corporate purpose, provisions and contingency, and working capital requirements.
Bhayandar (Maharashtra)-headquartered Sealmatic India is engaged in designing and manufacturing mechanical seals and associated products. Its products are mainly used in pulp & paper, oil & gas, refinery, petrochemical, chemical, fertilizer, power, mining, aerospace, marine, pharmaceutical, and other industrial spaces.
Sealmatic has a presence in over 45 countries including India, the USA, Sweden, the UK, Germany, Italy, Japan, Norway, Switzerland, Denmark, Netherlands, Australia and France, among others. Its manufacturing unit is situated in Thane.
The company has reserved 40 per cent of shares for qualified institutional investors, whereas non-institutional investors (NIIs) have been given 18 per cent reservation. The remaining 42 per cent of shares will be allocated to retail investors.
Ahead of the issue, the company is commanding a premium of Rs 30 apiece, signaling a premium of about 13 per cent over its upper range of the price band.
ISK Advisors Private Limited is the book-running lead manager for the issue, whereas KFin Technologies has been appointed as the registrar to the issue.
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