Shanti Spintex shares debut at 8.6% premium to IPO price

Shanti Spintex shares listed at Rs 76, an 8.6 percent premium over the IPO price of Rs 70, on the BSE SME platform on December 27.

The listing was expected to be positive as the shares traded with a 21 percent premium in the grey market, implying a listing price of Rs 85 each.

The Shanti Spintex IPO was bought 27.38 times with investors bidding for 12.29 crore shares against an offer size of 44.64 lakh shares. The retail section was oversubscribed by 22.01 times, non-institutional investors picked up 57.28 times their portion, and qualified institutional buyers subscribed 14.34 times their allotted share quota.

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The company successfully raised Rs 31.25 crore, consisting of a fresh issue of 26.88 lakh shares and an offer-for-sale component of 17.76 lakh shares. The price band for the issue was set at Rs 66-70 per share.

The company will use the proceeds to fund the working capital requirements, customer acquisition and general corporate purposes. Hem Securities was the book-running lead manager and Kfin Technologies was the registrar.

Shanti Spintex manufactures and sells denim fabrics such spandex denim, knit denim, and lightweight denim. It also produces gray fabrics in a variety of weaves.

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