Standard Glass Lining IPO: First Mainboard IPO of 2025

Excitement for the IPO market is expected in 2025, as Standard Glass Lining Technology is set to launch its initial public offering (IPO) on January 6, 2025. This is a very important development for investors who are looking to get into the stock market early in 2025. In this blog, we will delve into the important details of the Standard Glass Lining IPO, including its price band, bidding dates, lot sizes, and other crucial information that will help you make an informed investment decision.

Overview of Standard Glass Lining Technology IPO

Based in Hyderabad, Standard Glass Lining Technology was incorporated in September 2012. The company specializes in the manufacture of engineering equipment for the pharmaceutical and chemical industries. Standard Glass Lining Technology has established a niche in offering turnkey solutions from pharmaceutical and chemical manufacturers on the design, engineering, manufacture, assembly, installation, and development of standard operating procedures.

The Standard Glass Lining produces glass-lined materials, stainless steel, and nickel alloy to manufacture special engineering equipment. With eight units located in Hyderabad, the company is a leader in the Indian engineering sector in terms of the pharmaceutical and chemical industries.

Standard Glass Lining IPO is a book-built issue of Rs 410.05 crores. An issue has been made in two forms: the first one is a fresh issue of 1.50 crore shares aggregating to Rs 210.00 crores and an offer for sale of 1.43 crore shares aggregating to Rs 200.05 crores.

Standard Glass Lining IPO opens for subscription on January 6, 2025, and closes on January 8, 2025. The allotment for the Standard Glass Lining IPO is expected to be finalized on Thursday, January 9, 2025. Standard Glass Lining IPO will be listed on BSE, NSE with a tentative listing date fixed as Monday, January 13, 2025.

Standard Glass Lining IPO pricing is ₹133 to ₹140 per share. The lowest application lot size is 107. For retail investors, the minimum amount of investment that needs to be done will be ₹14,980. For sNII, 14 lots (1,498 shares) investment will be equal to ₹2,09,720, and for bNII, it will be 67 lots (7,169 shares), equal to ₹10,03,660.

Iifl Securities Ltd and Motilal Oswal Investment Advisors Limited are book-running lead managers for Standard Glass Lining IPO and Kfin Technologies Limited acts as the registrar for the issue.

Standard Glass Lining IPO Key Highlights:

The IPO for Standard Glass Lining stands at Rs 410.05 crore, in which the total fresh issue comes at Rs 210 crore. In addition to that, up to 1,42,89,367 equity shares owned by existing promoters and shareholders shall be offered in the OFS worth Rs 200 crore. The IPO would raise Rs 410 crore at the upper price band. It would utilize the proceeds towards the capital expenditure and repayment of borrowings besides financing inorganic growth, for corporate purposes.

A price band of Rs 133 - Rs 140 per equity share has been established for the IPO of Standard Glass Lining. Retail investors can apply for a minimum of 107 shares, which amounts to an investment of Rs 14,980. Small Non-Institutional Investors (sNII) will have to apply for a minimum of 1,498 shares, which amounts to Rs 2,09,720. On the other hand, Big Non-Institutional Investors (bNII) are required to apply for a minimum of 7,169 shares, which amounts to Rs 10,03,660. These lot sizes provide for various investor categories, so that different kinds of investors may participate in the IPO.

Standard Glass Lining IPO Allotment

The Standard Glass Lining IPO will issue the shares as follows:

• 50% of the issued shares will be reserved for QIBs.
• 15% shall be distributed to Non-Institutional Investors or NIIs.
• The offering amount will be made available to retail investors at 35%.

This allocation strategy would ensure that institutional investors get a good share of the available shares, while the retail investors also get a fair chance to be part of the IPO.

Company Financials and Growth Prospects of Standard Glass Lining

Standard Glass Lining has grown significantly over the last two years. Net profit for six months ended September 30, 2024, stood at Rs 36.27 crore with revenues at Rs 312.1 crore. Total revenue for FY 2023-24 for the company was at Rs 549.68 crore with a net profit of Rs 60.01 crore.

The company has been seen to have good growth; this trend is expected to continue even post the IPO. Fresh issue proceeds from this IPO will be utilized by the company to meet its capital expenditure requirements, repay outstanding borrowings, and fund inorganic growth initiatives, which will, in turn, lead to future growth.

Pre-IPO Funding and Valuation of Standard Glass Lining IPO

Before the IPO, Standard Glass Lining had raised Rs. 40 crore in pre-IPO funding from Amansa Investments on the issuance of 28,57,142 equity shares at a price of Rs 140 per share. The transaction forms a part of 1.55% of the company's pre-offer share capital. This pre-IPO funding reflects investor confidence in the company's prospects and the overall IPO.

Listing and Registrar Details for Standard Glass Lining IPO

The shares of Standard Glass Lining will be listed on the BSE and NSE, with the tentative listing date scheduled for January 13, 2025. Kfin Technologies will be the registrar for the IPO, and IIFL Securities and Motilal Oswal Investment Advisors will be the book-running lead managers.

The Standard Glass Lining IPO is a wonderful investment opportunity both for retail as well as institutional investors. Since the company has a strong history in the sector of engineering equipment for pharmaceutical and chemical industries, the IPO by the company gives a chance to become a part of the growth journey of a fundamentally sound business. The price band of Rs 133-140 per share would be attractive to investors looking at tapping into the growth story of India's thriving industrial and manufacturing sectors.

If you find this IPO worth investing in, mark January 6, 2025, as the opening date for this IPO. Make sure you place your application before January 8, 2025, for the closure of its bidding.

Frequently Asked Questions (FAQs) About Standard Glass Lining IPO

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