Sonalis Consumer Products SME IPO Lists at Premium on BSE
Mumbai, India – Sonalis Consumer Products Ltd, a leading provider of nutritious snacks and foods in Maharashtra, Gujarat, and Goa, successfully listed the shares at a premium on the BSE SME exchange on Monday. The stock debuted at ₹38 per share, marking a significant 26.67 percent increase over the issue price.
Trading activities commenced at 10:11 IST, with the stock witnessing a strong performance throughout the day. It reached an intraday high of ₹39.90 per share, demonstrating the investors’ positive sentiment, before settling at an intraday low of ₹38.
The company’s initial public offering (IPO) received overwhelming response during its subscription period. On Day 3, the issue was oversubscribed by an impressive 43.48 times. Retail investors showed immense interest, subscribing 48.31 times, while non-institutional investors subscribed 38.41 times. Day 2 witnessed a subscription rate of 6.05 times, whereas Day 1 saw a subscription rate of 1.64 times.
To participate in the IPO, investors were required to bid for a minimum of 4,000 shares in one lot, with subsequent multiples, at a fixed price of ₹30 per share determined by the company. The book-running lead manager for the issue is Global Consultants, while Purva Sharegistry serves as the registrar for Sonalis Consumer Products IPO.
The SME IPO comprised the issuance of 9.44 lakh shares, amounting to a total value of ₹2.83 crore. The net proceeds generated from the IPO will be utilized for general company purposes, meeting working capital requirements, and covering issuance costs.
Sonalis Consumer Products recently acquired the business distribution network of Appetite Food company, which has been operational since March 5, 2020. Under the Business Transfer Agreement dated May 15, 2022, Sonalis Consumer Products acquired the company for ₹12.87 lakh, including all movable assets, current assets, and liabilities.
SME IPOs provide small and medium-sized enterprises with an opportunity to raise funds and join the ranks of publicly listed companies. This platform enables smaller businesses to be listed on indices like BSE SME or NSE Emerge Platforms. Sonalis Consumer Products set the price band for its proposed SME IPO at ₹165 per equity share.
Overall, the successful listing and positive market response highlight the strong growth potential and investor confidence in Sonalis Consumer Products Ltd, as the company expands its market presence and caters to the growing demand for nutritious snacks and foods.
About Sonalis Consumer Products:
Sonalis Consumer Products Limited, established in 2022, specializes in providing nutritious bars and healthy snacks. The company strategically acquired the business line and distribution network of Appetite Food, a reputable player in the market for nearly three years. This acquisition presents an excellent opportunity for Sonalis Consumer Products Limited to enhance its market presence and broaden its operations in the region. The product portfolio of Sonalis Consumer Products Limited encompasses a diverse range of nutritious snacks and food items, including Granola Bars, Healthy Laddu, Puffs, Cheeseling, Chakli, Diet Bhel, and Sev.
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