The initial public offering (IPO) of Gujarat-based packaging machinery manufacturer Mamata Machinery Ltd witnessed a resounding response, achieving an impressive 37.75x subscription by the second day of bidding on Friday. The IPO attracted bids for 19.54 crore shares, far exceeding the 51.78 lakh shares on offer, according to NSE data.
Investor Demand Breakdown
Retail investors led the charge, with the Retail Individual Investors (RIIs) segment recording a remarkable 51.03x subscription. The Non-Institutional Investors (NIIs) category followed closely with a 50.23x subscription, while the Qualified Institutional Buyers (QIBs) portion received a strong 4.74x subscription.
Key Details of the IPO
- Size: ₹179 crore
- Price Band: ₹230–₹243 per share
- Closing Date: December 23
- Structure: Entirely an Offer For Sale (OFS) of 73.82 lakh equity shares
- Selling shareholders include Mahendra Patel, Nayana Patel, Bhagvati Patel, Mamata Group Corporate Services LLP, and Mamata Management Services LLP.
Since the IPO is entirely an OFS, Mamata Machinery will not receive any proceeds. Instead, the funds will be directed to the selling shareholders.
Anchor Investor Support
On Wednesday, Mamata Machinery successfully raised over ₹53 crore from anchor investors, underscoring strong institutional confidence in the company’s growth prospects.
Purpose of the IPO
The primary goal of the IPO is to capitalize on the advantages of listing equity shares on the stock exchanges, including:
- Enhanced visibility and brand recognition.
- Liquidity for existing shareholders.
- Establishing a public market for the company’s equity shares.
About Mamata Machinery
Mamata Machinery is a leading provider of end-to-end manufacturing solutions for the packaging industry, offering a diverse range of products under the brand names ‘Vega’ and ‘Win’. The company caters to the entire flexible packaging market value chain, solidifying its position as a trusted partner for packaging solutions.
IPO Management and Listing
Beeline Capital Advisors is the sole book-running lead manager for the issue. The company’s equity shares are set to be listed on both the BSE and NSE, marking a significant milestone in Mamata Machinery’s journey.
As the IPO nears its conclusion, investor enthusiasm signals strong market confidence in the company’s future growth and industry leadership.
