Sanstar is scheduled to finalize the basis of allotment of its shares on Wednesday, July 24. Bidders will get the messages, alerts or emails for debit of their funds or revocations of their IPO mandate latest by Thursday, July 25. The initial public offering (IPO) of plant-based products maker had received a strong response from the investors.
The IPO of Sanstar ran between July 19 and July 23. The company had offered its shares in the fixed price band of Rs 90-95 per share with a lot size of 150 shares. The company raised a total of Rs 510.15 crore from its follow-on offering, which was entirely an fresh share sale of up to 397.10 equity shares and an offer-for-sale (OFS) up to 1.19 crore equity shares.
The issue was overall subscribed a total of 82.99 times. The quota for qualified institutional bidders (QIBs) was booked a solid 145.68 times The quota for non-institutional investors was subscribed a whopping 136.50. The portions reserved for retail investors saw bidding for only 24.23 times during the three-day bidding process.
Grey market premium (GMP) of Sanstar has seen a recovery after a strong rise following a strong interest during the bidding process. Last heard, the company was commanding a premium of Rs 36 per share, suggesting a listing pop of around 38 per cent for the investors. However, it was around Rs 30 on the last day of bidding.
Sanstar is a manufacturer of specialty plant-based products and ingredient solutions for food, pet food and other industrial products in India. Its 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.
Brokerage firms are mostly positive on the issue suggesting investors to subscribe to it for a long term. They are positive on the company's rising market share, strong financials, experienced management and increased capacity in the coming months. However, increasing competition, dependence on some products and government's control on the price are key risks for it.
Pantomath Capital Advisors is the sole book running lead manager of the Sanstar IPO, while Link Intime India is the registrar for the issue. Shares of the company shall be listed on both BSE and NSE, with Friday, July 26 as the tentative date of listing.
Investors, who had bid for the issue of Sanstar, can check the allotment status on the Bombay Stock Exchange (BSE) website: 1) Visit https://www.bseindia.com/investors/appli_check.aspx 2) Under the issue type, click Equity 3) Under the issue name, select Sanstar Limited in the dropbox 4) Write the application number 5) Add the PAN card ID 6) Click on 'I am not a Robot' and hit search button
Investors can also check the allotment status on the online portal of Link Intime India (https://linkintime.co.in/MIPO/Ipoallotment.html), the registrar to the issue.
The registrar is a Sebi-registered entity, qualified to act as such and which electronically processes all applications and carries out the allotment process, as per the prospectus. It is responsible for complying with the timelines for updating the electronic credit of shares to successful applicants, dispatching and uploading refunds, and attending to all investor-related queries post issue.
1) Go to the web portal of Link Intime Limited 2) Select the IPO/FPO in dropbox whose name will be populated only if the allotment is finalized 3) You may be required to select either one of the three modes: Application number, Demat Account number, or PAN ID 4) In application type, select between ASBA and non-ASBA 5) Enter the details of the mode you selected in Step 2 6) For security purposes, fill the captcha accurately 7) Hit submit.
Disclaimer: Business Today provides stock market news for informational purposes only and should not be construed as investment advice. Readers are encouraged to consult with a qualified financial advisor before making any investment decisions.