Silkflex Polymers India Ltd IPO: Review, Complete Analysis
Silkflex Polymers India Limited IPO date is slated to be open for subscription from May 7, 2024, to May 10, 2024. This NSE SME IPO follows a Fixed Price Issue IPO.Silkflex Polymers India Limited IPO price is fixed at Rs.52 per share. The total issue size of this IPO amounts to Rs.18.11 Cr. The company has allocated shares 50% to retail investors and 50% other investors.
sonu
Share this Post to earn Money ( Upto ₹100 per 1000 Views )
Silkflex Polymers India Limited IPO
Established in 2016, Silkflex Polymers India Limited specializes in the trading of textile printing inks and water-based wood coating polymers under the renowned Malaysian brand, "Silkflex." The company offers a diverse range of products, including 108 textile printing ink variants and 51 wood coating polymer options. Headquartered in West Bengal, the company extends its reach through five branch offices located across India.
Silkflex Polymers India Limited IPO Overview
The IPO is scheduled to be open for subscription from May 7, 2024, to May 10, 2024, with a fixed price of Rs. 52 per share. The total issue size is Rs. 18.11 Cr, with shares allocated equally between retail investors and other investors.
Objective of the Issue
The proceeds from the IPO will be utilized for the acquisition of land, funding of capital expenditure requirements, working capital requirements, and general corporate purposes.
Peers Comparison
The company's P/E ratio, based on FY23 EPS, ranges from 53.61x to 59.09x, which is higher compared to the industry average of 50.05x. This suggests that the IPO may be fully priced relative to industry peers.
Strengths
Silkflex products hold prestigious certifications, ensuring top-tier sustainability standards.
The company offers a wide range of products and benefits from its strategic location.
Silkflex Polymers India Limited has longstanding and trusted relationships with its clients.
The company has seasoned promoters and directors to drive innovation and progress.
Strong marketing strategies contribute to the company's growth.
Weaknesses
Promoter and Directors of the company face ongoing criminal litigations, which may impact operations and reputation.
Potential delays or defaults in client payments could lead to decreased profitability.
Negative cash flows in previous years pose financial stability risks.
Currency fluctuation risks due to compliance with foreign exchange control regulations.
Operating within a competitive and fragmented sector presents growth challenges.
Silkflex Polymers India Limited specializes in trading Malaysian textile printing inks and water-based wood coating polymer products within India, maintaining a steady revenue stream. However, the sudden spike in profits during FY23 has raised concerns. Seasoned investors are advised to conduct thorough analysis before considering investment in the upcoming IPO to maximize potential gains.
