Nikita Papers experienced a lackluster debut on the NSE SME, commencing trading at ₹104, which is 13.46% lower than the issue price.
The IPO garnered a subscription rate of 1.43 times, with 64,94,400 shares issued to generate ₹67.54 crore for capital expenditures and working capital requirements. Nikita Papers share price had a subdued opening on the NSE SME at ₹104, reflecting a 13.46% discount from the issue price of ₹104.
The initial public offering (IPO) for Nikita Papers was available from Tuesday, May 27, to Thursday, May 29. With a face value of ₹10, the shares were priced at ₹104 each. Investors were permitted to apply for a minimum of 1200 shares and in multiples thereof. The subscription status for the Nikita Papers IPO reached 1.43 times by the final day of bidding.
The company is engaged in the production of paper and related products, focusing on a variety of paper grades that cater to the industrial, commercial, and printing sectors. It emphasizes environmentally friendly manufacturing practices, often utilizing recycled materials in its production processes. With an extensive distribution network, Nikita Papers serves both domestic and international markets, committed to upholding quality and consistency.
Depending on its scale and operations, Nikita Papers may also participate in sectors such as packaging, tissue paper, or specialized paper products. As per the red herring prospectus (RHP), the company’s publicly listed competitors include Magnum Ventures Ltd (with a P/E ratio of 10.64), Tamilnadu Newsprint and Papers Ltd (with a P/E ratio of 76.41), Ruchira Papers Ltd (with a P/E ratio of 6.48), and Pakka Ltd (with a P/E ratio of 18.98).
News Courtesy : Live mint
