Platinum Industries lists at 35% premium to IPO price on NSE

Ahead of the listing, the shares were commanding a 50 percent premium in the grey market.

Platinum Industries' stock listing at a 35 percent premium over the IPO price on March 5, below the GMP estimates of 50 percent. The stock opened at Rs 225 on NSE against the issue price of Rs 171.

Ahead of the listing, the shares were commanding a 50 percent premium in the grey market.

The Rs 235.32 crore IPO issue was subscribed 99.03 times during the February 27-29 period. Qualified institutional buyers picked 151 times the allotted quota, non-institutional investors 141.83 times, and retail investors bought 50.99 times the quota.

The IPO issue comprised of a fresh issue of 1.37 crore shares by the company at a price band of Rs 162-171 per share. Platinum Industries manufactures PVC stabilizers, CPVC additives and lubricants.

The company plans to use Rs 67.72 crore to establish a manufacturing facility for PVC stabilisers for its subsidiary, Platinum Stabilizers Egypt LLC. Additionally, Rs 71.26 crore will be allocated for the setup of another manufacturing facility for PVC stabilizers in Palghar, Maharashtra. An additional Rs 30 crore will be dedicated to meeting working capital requirements.

Unistone Capital Pvt Ltd is the book-running lead manager of the  IPO. Bigshare Services Pvt Ltd is the registrar for the issue. In FY2023, the company reported a revenue of Rs 234 crore, up 24.5 percent from FY2022 while net profit for the same period grew to Rs 37.5 crore from Rs 17.8 crore in FY2022.

Source: Money Control