Nikita Papers IPO
IPO Details
Nikita Papers IPO is a bookbuilding of ₹67.54 Crore. The issue is entirely a fresh issue of ₹67.54 Crore and an offer for sale of Nil.
Nikita Papers IPO opens for subscription on 2025-05-27 and closes on 2025-05-29. The allotment is expected to be finalized on 2025-05-30. The IPO will be listed on BSE, NSE with tentative listing date as 2025-06-03.
Price band is set at ₹95 to ₹104 per share. The minimum lot size for application is 1200 shares (₹114000). It is suggested to bid at the cutoff price to avoid oversubscription, which is about ₹124800.
IPO Timeline
Company Overview
Nikita Papers IPO Details
Nikita Papers Limited, established in 1989, is engaged in the manufacturing of Kraft paper using 100% recycled waste paper. The company’s products are utilized in packaging, printing, and various industrial applications. With a focus on eco-friendly production methods, Nikita Papers has a wide delivery network catering to both domestic and international markets.
Company Overview
Nikita Papers operates with a commitment to sustainability, emphasizing the use of recycled materials in its production processes. The company’s product range includes various types of Kraft paper suitable for packaging, printing, and industrial uses. Their manufacturing facilities are equipped with modern technology to ensure quality and efficiency.
Financial Performance
| Particulars | FY 2022 | FY 2023 | FY 2024 | 9M FY2025 |
|---|---|---|---|---|
| Revenue (₹ Cr) | 358.49 | 401.31 | 346.78 | 272.38 |
| Profit After Tax (₹ Cr) | 6.95 | 8.65 | 16.60 | 15.68 |
| Assets (₹ Cr) | 235.30 | 256.80 | 299.00 | 349.78 |
| Net Worth (₹ Cr) | 46.10 | 54.74 | 77.37 | 93.05 |
| Reserves & Surplus (₹ Cr) | 37.48 | 46.13 | 59.20 | 74.88 |
| Total Borrowing (₹ Cr) | 124.74 | 163.02 | 189.24 | 206.71 |
IPO Details
- Issue Size: ₹67.54 Crore
- Fresh Issue: ₹67.54 Crore
- Offer for Sale: Nil
- Price Band: ₹95-₹104 per share
- Lot Size: 1,200 shares
- Minimum Investment: ₹1,24,800 (at upper price band)
- Listing On: NSE SME
IPO Objectives
- Funding the establishment of a biomass power plant
- Meeting working capital requirements
- General corporate purposes
Subscription Details
| Category | Allocation | Subscription |
|---|---|---|
| QIB | 50% | N/A |
| NII | 15% | N/A |
| Retail | 35% | N/A |
| Total | 100% | N/A |
Note: Subscription details will be updated post-IPO closure.
Key Strengths
- Long-standing presence in the paper manufacturing industry since 1989
- Commitment to eco-friendly and sustainable production methods
- Diversified product portfolio catering to various industrial needs
- Established delivery network serving domestic and international markets
- Experienced management team with industry expertise
Risk Factors
- Fluctuations in raw material prices affecting production costs
- Dependence on specific industries for revenue generation
- Competition from other paper manufacturers
- Regulatory changes impacting the paper industry
- Risks associated with the implementation of new projects like the biomass power plant
Lead Managers
- Fast Track Finsec Pvt Ltd
Registrar
- Skyline Financial Services Pvt Ltd
GMP Trends
As of now, the Grey Market Premium (GMP) for Nikita Papers IPO is not available.
Expert Opinion
Analysts suggest that Nikita Papers’ focus on sustainable practices and its established presence in the paper industry make it a company with potential for long-term growth. However, investors should consider the risks associated with raw material price volatility and industry competition before making investment decisions.
Disclaimer: Investors are advised to read the Red Herring Prospectus (RHP) and consult financial advisors before making investment decisions.
Business Segments
Information about business segments will be available soon.
Financial Performance
| Particulars | FY 2022 | FY 2023 | FY 2024 | FY Dec 2024 |
|---|---|---|---|---|
| assets | ₹235.3 Cr | ₹256.8 Cr | ₹299 Cr | ₹349.78 Cr |
| net worth | ₹46.1 Cr | ₹54.74 Cr | ₹77.37 Cr | ₹93.05 Cr |
| pat | ₹6.95 Cr | ₹8.65 Cr | ₹16.6 Cr | ₹15.68 Cr |
| reserves and surplus | ₹37.48 Cr | ₹46.13 Cr | ₹59.2 Cr | ₹74.88 Cr |
| revenue | ₹358.49 Cr | ₹401.31 Cr | ₹346.78 Cr | ₹272.38 Cr |
| total borrowing | ₹124.74 Cr | ₹163.02 Cr | ₹189.24 Cr | ₹206.71 Cr |
Additional Information
The proceeds from the IPO will be used for:
- Expansion of manufacturing facilities
- Debt repayment
- General corporate purposes
Information about key strengths will be available soon.
Information about risk factors will be available soon.
| Category | Allocation | Subscription |
|---|---|---|
| QIB | 50% | N/A |
| NII | 15% | N/A |
| Retail | 35% | N/A |
| Total | 100% | N/A |
Industry analysts are positive about the company's growth prospects given its strong financial performance, diversified product portfolio, and expansion plans. The IPO is expected to receive good response from investors looking for exposure to the sector.
Grey Market Premium
*Expected Premium is derived from market rumors. It is not a guaranteed indicator of the actual listing price.
IPO Quick Info
Market Lot
IPO Details
Lead Managers
- Axis Capital Limited
- ICICI Securities Limited
- Kotak Mahindra Capital Company Limited
Registrar
Link Intime India Private Limited
