BSE SME stock hits upper circuit after listing at 30% premium

Shantidoot Infra Services Limited IPO Details

public issue eligible 4.02 crore was open for subscription on 6 September 2022 and it remained open for subscription till 9 September 2022. In these four days of subscription, the public issue proposed for listing on the BSE SME exchange got subscribed 2.85 times, while its retail portion was subscribed 3.33 times. , Bigshare Services Private Limited was appointed as the official registrar of the IPO. This Bihar-based company had offered a public issue 81 per equity share.

This initial public offering was a combination of both a fresh issue and an offer for sale (OFS), as the company aimed to raise 2.01 crore through fresh issue while the remaining 2.01 crore through OFS route. Therefore, 50 per cent of its offer was up for sale while the remaining 50 per cent was a fresh issue.

Avijit Kumar is the promoter of Shantidoot Infra Services Limited and after the listing, the promoter’s stake in the company has come down from 99.60 per cent to 72.07 per cent.

As per the Red Herring Prospectus (RHP) of the IPO, this BSE SME company aims to utilize the net proceeds of the offer for the following purposes:

1]working capital requirement; And

2]General Corporate Requirements.

In the last three financial years, this company has given strong financial performance as its net assets have increased 66.08 lakh at the end of FY20 to 3.52 crore at the end of FY22. Similarly, its net worth increased during this period 2.81 lakh to 1.51 crores. Its net profit during this period increased by 2.81 lakh to 1.70 crores. It is located in the capital of Bihar and has exposure in Bihar and Jharkhand. It is specialized in providing construction services to the education, health care and hospitality sectors.

post your comment
first article