Sanstar Limited IPO
MainboardOther Agricultural Products
Listed On: Jul 26, 2024 at ₹ 109.0(NSE)
₹ 14250 /150 Shares
Check AllotmentPrice Summary
Last Closing
111.02 (16.86%)52 Week High
158.8052 Week Low
104.95Last Update
22-Nov-2024 3:30 PMSanstar Limited IPO Details
19 Jul, 2024
Open Date23 Jul, 2024
Close Date24 Jul, 2024
Allotment Date26 Jul, 2024
Listing DateIssue Price
₹90-95 per equity shareFace Value
₹2 Per Equity ShareListing at Group
BSE, NSERegistrar
Link Intime India Private LtdList Price
109.0(NSE)Listing Date
2024-07-26Market Lot
Retail : 150 Shares (₹14,250/-)S-HNI : 2,250 Shares (₹2,13,750/-)
B-HNI : 10,650 Shares (₹10,11,750/-)
Lead Manager
Pantomath Capital Advisors Pvt LtdIssue Size
Total ₹510.15 Cr :#Fresh Issue : 41,800,000 shares(aggregating up to ₹397.10 Cr) +
#OFS : 11,900,000 shares of ₹2(aggregating up to ₹113.05 Cr)
Retail Portion
35% (Number of Retail Applications: 1,25,300 Approx),(Number of S-HNI Applications : 1,193 Approx),
(Number of B-HNI Applications : 2,387 Approx)
Subscription
82.91 timesSanstar Limited IPO Subscription Details
| As on | QIB | NII bNII sNII | Retail | Total |
|---|---|---|---|---|
| Shares Offered / Reserved | 10,740,000 | 8,055,000 5,370,000 2,685,000 | 18,795,000 | 37,590,094 |
| Day 1 - 19-07-24 05:00 PM | 0.05 x | 9.85 10.73 x 8.07 x | 4.07 x | 4.16 x |
| Day 2 - 22-07-24 05:00 PM | 1.29 x | 32.85 31.99 x 34.55 x | 12.15 x | 13.48 x |
| Day 3 - 23-07-24 05:00 PM | 145.68 x | 136.42 149.44 x 110.39 x | 24.10 x | 82.91 x |
Sanstar Limited Valuations
EPS Pre IPO
₹4.75/-EPS Post IPO
₹3.66/-P/E Pre IPO
19.98P/E Post IPO
25.93RoNW
30.92%Sanstar Limited Company Financials All values are in ₹ Cr.
| 31-Mar-24 | 31-Mar-23 | 31-Mar-22 | |
|---|---|---|---|
| Assets | 527.57 | 368.35 | 207.45 |
| Revenue | 1,081.68 | 1,209.67 | 504.77 |
| Profit After Tax | 66.77 | 41.81 | 15.92 |
| Net Worth | 215.91 | 149.28 | 48.97 |
| Reserves & Surplus | 225.18 | 158.41 | 55.69 |
| Total Borrowing | 127.64 | 111.70 | 85.22 |
About The Company
Sanstar Limited manufactures specialty plant-based products and ingredient solutions for food, pet food and other industrial applications in India.
The company's product portfolio includes liquid glucose, dried glucose solids, maltodextrin powder, dextrose monohydrate, native maize starches, modified maize starches, and by-products such as germ, gluten, fiber and fortified proteins.
These products are used in:
Food products: as ingredients, thickeners, stabilizers, sweeteners, emulsifiers, and additives (including in baked goods, confectionery, pasta, soups, ketchup, sauces, creams and desserts);
Pet food products: as nutritional ingredients
Other industrial products: as disintegrants, excipients, supplements, coating agents, binders, smoothing and flattering agents, and refining agents.
The company has two manufacturing facilities covering a total area of 10.68 million square feet (approx 245 acres) at Dhule in the state of Maharashtra and Kutch in the state of Gujarat. With an installed capacity of 3,63,000 tons per annum (1,100 tons per day), the company is the fifth largest manufacturer of corn-based specialty products and ingredients in India.
The company exports its products to companies in 49 countries including Asia, Africa, the Middle East, America, Europe and Oceania. The company also has a pan-India presence where its products are sold in 22 states.As of March 31,2024, the company employed 271 people (including 60 permanent employees) at its plants in Kutch and Dhule and at its headquarters.
Sanstar Limited - Strength and Weakness
Sanstar Limited has demonstrated impressive growth, with a Revenue and PAT CAGR of 57% and 71% respectively over Fiscal 2021-2023, indicating strong operational efficiency and market acceptance.
The company operates two major facilities in Gujarat and Maharashtra with a combined installed capacity of 3,63,000 tons per annum, enabling large-scale production and supply capabilities.
Sanstar Limited exported to 49 countries across multiple continents in the first half of Fiscal 2023, showcasing its broad international presence and acceptance of its speciality products.
The Dhule facility features state-of-the-art automation with SCADA and PLC systems, which enhances production efficiency and quality while minimising costs and errors.
Sanstar Limited lacks fixed contracts for maize procurement, its primary raw material, making it vulnerable to price fluctuations and supply disruptions. This instability could severely impact their profitability as raw material costs constituted up to 85.71% of their expenses in recent fiscal periods.
The company requires substantial working capital to purchase and store maize during its peak arrival season. Insufficient funds during this critical time could hinder operations, as they spent ₹2,970.83 million to ₹6,025.94 million annually on raw materials.
Ongoing litigation could adversely affect the company if resolved unfavourably. Legal proceedings increase potential liabilities and expenses, potentially damaging the company's financial health and market reputation.
The recent amalgamation with Sanstar Biopolymers and the acquisition of ECL could lead to integration challenges. Discrepancies in financial statements or operational hurdles post-merger may affect overall business performance.
Sanstar Limited - Peers Comparison
| P/B Ratio | P/E Ratio | RoNW | Net Worth | |
|---|---|---|---|---|
| Sanstar Limited | 2.82 | 25.9 | 30.9% | 1,081 |
| Gujarat Ambuja Exports | 2.24 | 18.0 | 13.3% | 4,927 |
| Gulshan Polyols | 2.16 | 71.8 | 3.05% | 1,378 |
| Sukhjit Starch and Chemicals | 1.42 | 14.3 | 10.3% | 1,375 |
Sanstar Limited - Promoter(s)
Pre Issue Share Holding: 99.77%
Post Issue Share Holding: 70.37%
Company Promoter(s)
- Gouthamchand Sohanlal Chowdhary
- Sambhav Gautam Chowdhary
- Shreyans Gautam Chowdhary
Sanstar Limited IPO - Issue Objectives
- Funding the capital expenditure requirement for the expansion of the Dhule Facility
- Repayment and/or pre-payment, in part or full, of certain borrowings availed by the Company
- General Corporate Purposes.
Sanstar Limited IPO - Anchor Investors
Five institutional investors such as Societe Generale, BofA Securities Europe SA ODI, Bank of India Mutual Fund, Trust Mutual Fund, and SBI General Insurance Company invested Rs 70 crore in the anchor book.
Among others, Gagandeep Credit Capital, Negen Undiscovered Value Fund, Intuitive Alpha Investment Fund, Chattisgarh Investments, Minerva Emerging Opportunities Fund, SB Opportunities Fund, and Finavenue Capital Trust bought shares worth Rs 83.04 crore.
Other Details
Sanstar Limited
Sanstar House, near Parimal Under Bridge, Opp. Suvidha Shopping Centre, Paldi, Ahmedabad – 380 007Link Intime India Private Ltd
Phone: +91-22-4918 6270
Email: sanstar.ipo@linkintime.co.in
Website: https://linkintime.co.in/initial_offer/public-issues.html
Sanstar Limited IPO - FAQs
Ans. Sanstar Limited IPO is a Mainboard IPO. The issue is priced at ₹90-95 per equity share. The minimum order quantity is 150 Shares. The IPO opens on Jul 19, 2024, and closes on Jul 23, 2024. Link Intime India Private Ltd is the registrar for the IPO. The shares are proposed to be listed on BSE, NSE.
Ans. The Sanstar Limited IPO opens on Jul 19, 2024 and closes on Jul 23, 2024.
Ans. The size of Sanstar Limited IPO is Total ₹510.15 Cr : #Fresh Issue : 41,800,000 shares(aggregating up to ₹397.10 Cr) + #OFS : 11,900,000 shares of ₹2(aggregating up to ₹113.05 Cr).
Ans. The IPO price band is set between ₹90-95 per equity share.
Ans. To apply for Sanstar Limited IPO IPO, follow the steps given below:
- - Open the IPO Ji App or Website
- - Find Sanstar Limited IPO in the List of IPOs
- - Press "Apply" Button
- - Select Your Demat Account
- - Select Your Shares Quantity and Submit
- - Track Your IPO Status
Ans. The share allotment date of Sanstar Limited IPO is Jul 24, 2024.
Ans. The Sanstar Limited IPO will be listed on Jul 26, 2024.
Ans. Follow the steps to check the allotment status for Sanstar Limited IPO here.
