Sanathan Textiles IPO day 1: GMP, subscription status, review, other details. Good or bad bet for investors?

Sanathan Textiles IPO: The initial public offering (IPO) of Sanathan Textiles Limited has hit the Indian primary market today. Bidding for the Sanathan Textiles IPO will remain open from 19 December 2024 to 23 December 2024. The polyester yarn manufacturer and cotton yarn exporter company has fixed the Sanathan Textiles IPO price band at ₹305 to ₹321 per equity share. The company aims to raise ₹550 crore, a mix of fresh shares and OFS (Offer for Sale). The public issue is proposed for listing on the BSE and the NSE.

Meanwhile, shares of Sanathan Textiles Limited are available at a firm price in the grey market today. According to stock market observers, Sanathan Textiles shares are available at a premium of ₹30 in the grey market today.

Sanathan Textiles IPO subscription status

By 11:09 AM on day 1 of bidding, the book build issue had been subscribed 0.10 times, the retail portion had been booked 0.18 times, and the NII segment had been subscribed 0.04 times.

Sanathan Textiles IPO details

1] Sanathan Textiles IPO GMP today: According to stock market observers, Sanathan Textiles shares are available at a premium of ₹30 in the grey market today.

2] Sanathan Textiles IPO date: Bidding for the Sanathan Textiles IPO will remain open from 19 December 2024 to 23 December 2024.

3] Sanathan Textiles IPO price band: The company has fixed the Sanathan Textiles IPO price band at ₹305 to ₹321 per equity share.

4] Sanathan Textiles IPO size: The company aims to raise ₹550 crore from this book-build issue, of which ₹400 crore will be raised through fresh shares. The remaining ₹150 crore is reserved for the OFS route.

5] Sanathan Textiles IPO lot size: Bidders can apply in lots, and one log will comprise 46 company shares.

6] Sanathan Textiles IPO allotment date: The most likely date for finalization of share allocation is 24 December 2024.

7] Sanathan Textiles IPO registrar: KFin Technologies Limited has been appointed as the official registrar of the book build issue.

8] Sanathan Textiles IPO lead managers: DAM Capital Advisors and ICICI Securities have been appointed lead managers of the public issue.

9] Sanathan Textiles IPO listing date: The bool build issue is proposed for the BSE and the NSE. The most likely date for share listing is 27 December 2024, as a stock market holiday will fall on 25th December 2024 for the Christmas celebration.

Sanathan Textiles IPO: Good or bad bet for investors?

10] Sanathan Textiles IPO review: Giving an ‘avoid’ tag to the book build issue, Akriti Mehrotra, Research Analyst, StoxBox, said, “Despite a growth strategy focused on expanding production and recycling, the company’s financial and operational risks make it a less attractive investment at present. Therefore, we recommend an “AVOID” rating for the issue. We will reassess our recommendation if there is a sustained improvement in financial metrics in the future.”

Assigning a ‘subscribe’ tag to the book build issue, Anshul Jain, Head of Research at Lakshmishree Investment and Securities, said, “The public issue is expected to receive a strong response from the primary market investors as the offer price is below the fair price of the offered company shares. The upper price band of the public issue is ₹321 apiece, whereas the stock’s fair price is around ₹355 to ₹360. So, one can apply for the listing gain only.”

Disclaimer: The views and recommendations made above are those of individual analysts or broking companies, and not of Mint. We advise investors to check with certified experts before taking any investment decisions.