23-Oct-2024
2 mins read
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SMPP Private Limited has filed DRHP with SEBI for its upcoming IPO. This upcoming IPO is offering a fresh issue of worth up to Rs 580 crore equity shares and an offer for sale of worth up to Rs 3,420 equity shares.
The total aggregate size of a public issue in rupees will be Rs 4000, whereas the total number of equity shares that will be issued by the company as a public issue is not yet disclosed.
This IPO will follow the book-building process, with not less than 75% of the offer reserved for Qualified Institutional Buyers (QIBs), not more than 15% for Non-Institutional Investors (NIIs), and not more than 10% for retail investors is reserved.
SMPP IPO's open date and close date have not yet been declared. The price band & lot size will be revealed soon by the company. The Shares to be offered through the Red Herring Prospectus are proposed by the company to be listed on the BSE and NSE Exchanges.
About SMPP Limited
SMPP Limited was established on October 18 1985, is a leading defense manufacturer specializing in high-quality ballistic protection and ammunition products. The company, previously known as SMPP Private Limited, is renowed its name for its innovative products, such as bullet-resistant jackets, armour plates, and combustible cartridge cases. With a commitment to excellence, SMPP serves armed forces and law enforcement agencies, ensuring their safety in diverse environments.
The company is aggressively expanding its operation, and recently it announced its initial public offering to raise funds for new manufacturing facilities. SMPP's commitment towards quality has acquired many national awards and certifications that have further consolidated the company's position as a trusted partner in the world of defense technology.
SMPP IPO Objectives
The company proposes to utilize the net proceeds from the offer for financing the capital expenditure related to the construction of buildings, land development, and procurement of plant and machinery for setting up the planned ammunition manufacturing facility through investment in its subsidiary, as well as for general corporate purposes.
Financials of SMPP Limited
SMPP financials show strong performance during the period ended March 31 2024, compared to March 31 2023:
- Assets increased
from Rs 405.95 crores in March 2023 to Rs 559.46 crores in March 2024, a
37.82% increase.
- Revenue increased
from Rs 350.83 crores to Rs 516.08 crores, a 47.10% increase.
- Profit After Tax (PAT) increased from Rs 92.61 crores in March 2023 to Rs 146.53 crores in March 2024, a 58.22% increase.
Lead manager(s) and Registrar of SMPP IPO
The IPO is managed by Axis Capital Limited, ICICI Securities Limited, IIFL Securities Limited, JM Financial Limited and Motilal Oswal Investment Advisors Limited, which is the book-running lead manager for this public issue. The company has appointed Link Intime India Private Limited as the registrar for this public issue.
Promoters of SMPP Limited
Dr Shiv Chand Kansal, Dr Madhu Kansal and Ashish Kansal are the identifiable promoters (s) of the company. They collectively held 96.63% of the company's shares. However, post-IPO changes in their shareholding have not yet been disclosed in the Prospectus filed by the company with SEBI. To read the full DRHP, click here.