Polysil Irrigation Systems IPO: Check Issue Size, Reserve Portion & More

Polysil Irrigation Systems‘ initial public offer (IPO) opened for subscription on February 8, 2024, and closes today, February 13, 2024. The IPO is a fixed-price issue of Rs 17.44 crore, comprising a fresh issue of 14.44 lakh shares worth Rs 7.8 crore and an offer for sale of 17.85 lakh shares valued at Rs 9.64 crore. The price band for the IPO has been set at Rs 54 per share.

The IPO lot size for application is 2000 shares, requiring a minimum investment of Rs 1,08,000 for retail investors. For high net worth individuals (HNI), the minimum investment is 2 lots (4000 shares), totaling Rs 2,16,000.

Investors have the option to bid for a minimum of 2,000 shares and in multiples thereof.

About the company

Polysil Irrigation Systems Limited, established in 1985, specializes in the manufacturing and distribution of HDPE pipes, fittings, and micro irrigation systems. The company’s product portfolio encompasses a variety of irrigation equipment, including HDPE pipes, pipe fittings, disc filters, screen filters, hydrocyclone filters, sand filters (gravel), compression fittings, valves (electrical and mechanical), fertilizer tanks, digital controllers, pressure gauges, and more.

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Operating in multiple states including Gujarat, Tamil Nadu, Maharashtra, Andhra Pradesh, Karnataka, Madhya Pradesh, Uttar Pradesh, Rajasthan, and Haryana, Polysil Irrigation Systems reaches its customers through both institutional markets and the open market. As of August 15, 2023, the company has established a distribution network comprising 9 distributors and approximately 425 dealers across India for the sale of its products.

Price Band

The company has set the price band for the IPO at Rs 54 per share.

Issue Size

The IPO is a fixed-price issue of Rs 17.44 crore. It comprises a fresh issue of 14.44 lakh shares worth Rs 7.8 crore. It has an offer for sale of 17.85 lakh shares valued at Rs 9.64 crore.

IPO Reserve Portion

1. Non -institutional investors: 47.46% or 1,532,000 shares
2. Retail Investors: 47.46% or 1,532,000 shares

Company Financials

Objectives of the issue

The company proposes to utilize the Net Proceeds from the Offer towards funding working capital requirements and general corporate purposes.

Disclaimer: The information provided in this blog post is for informational purposes only and should not be construed as investment or trading advice. The author is not a financial advisor and does not have any professional qualifications in this area. The author does not guarantee the accuracy or completeness of the information provided. Any action you take based on the information in this blog post is done at your own risk. Please consult with a financial advisor before making any investment decisions.