Gujarat-based Mamata Machinery Ltd will hit the capital market with a ₹179.38 crore initial public offering today. The IPO comes with a price band of ₹230-243 and will close on December 23.
The IPO is entirely an offer-for-sale of 73.82 lakh equity shares by promoters Mahendra Patel, Nayana Patel, Bhagvati Patel, Mamata Group Corporate Services LLP, and Mamata Management Services LLP.
Half of the issue is reserved for qualified institutional buyers, while 35 per cent is reserved for retail investors and the remaining 15 per cent for non-institutional buyers. The minimum lot size for an application is 61 shares.
On Wednesday, the packaging machinery manufacturer raised over ₹53 crore from anchor investors as part of its IPO. Mamata Machinery has allotted 22.04 lakh shares to seven funds – 3P India Equity Fund, Authum Investment and Infrastructure, Winro Commercial (India) Ltd, Subhkam Ventures, Chartered Finance and Leasing, Belgrave Investment Fund, and Aarth AIF – at ₹243 apiece.
Since the entire issue is an OFS, the company will not receive any proceeds, and the entire amount will go to the selling shareholders.
The company stated that the objective of the initial share sale is to gain the benefits of listing its equity shares on the stock exchanges. Additionally, the company anticipates that listing the shares will boost its visibility and brand image, provide liquidity to its shareholders, and establish a public market for the shares.
Mamata Machinery provides end-to-end manufacturing solutions for the packaging industry. The company sells its machines under the brand names ‘Vega’ and ‘Win’. It offers a comprehensive range of products, serving the entire flexible packaging market value chain.
Beeline Capital Advisors is the sole book-running lead manager for the issue. The equity shares are expected to be listed on December 27 on the BSE and NSE.
