Sah Polymers IPO

Sah Polymers is an ISO 9001:2015 certified firm that specialises in the production and sale of Polypropylene (PP)/High Density Polyethylene (HDPE) FIBC Bags, Woven Sacks, HDPE/PP woven fabrics, and woven polymer based products in a variety of weights, sizes, and colours to meet the needs of its customers. Sah Polymers IPO will hit the stock market in 30 December 2022.

About Sah Polymers

They provide tailored bulk packaging solutions to business-to-business (“B2B”) producers in a variety of industries, including agro pesticides, basic drugs, cement, chemicals, fertilisers, food products, textiles, ceramics, and steel.

In addition, their company is a Del Credere Associate cum Consignment Stockist (DCA/ CS) of Indian Oil Corporation Limited, and their polymer section operates as a Dealer Operated Polymer Warehouse (DOPW) of Indian Oil Corporation Limited.

They make arrangements as third-party producers to manufacture their tape and fabric according to the specifications of their clients.

They are divided into two business divisions: domestic sales & exports. Based on sales made for the last nine month of 2021, they have a presence in six states and one union territory for our domestic market.

Production

Based on revenues for the nine months ending December 31, 2021 and during FY 2021, Sah Polymers Limited supplies goods in six regions: Africa, the Middle East counties, Europe, the United States, Australia, and the Caribbean.

Sah Polymers Limited currently has one manufacturing unit in Udaipur, Rajasthan, with an installed manufacturing capacity of 3960 mt p.a. they’ve made periodic investments in their production infrastructure to support their product portfolio’s needs and reach over the years.

In addition, as part of the strategic expansion plans, they also propose to use a portion of their Net Proceeds to build a new facility with an extra installed capacity of 3960 m.t. p.a. to produce various FIBC product variants and extent their product portfolio.

Products

The product mix of Sah Polymers Limited has changed over the years as the company has expanded into new product categories. FIBC (Flexible Intermediate Bulk Containers), Container bag, PP woven Fabric & HDPE woven Fabric, woven sacks, PP fabric, box bags, fabric rolls, and bags for flexible packaging are among their products.

They manufacture things based on their clients’ orders in order to fulfil their needs. They believe that having a variety of items in their business allows them to cater to the various needs of different consumer segments.

Their products are subjected to quality control at several stages of production to guarantee that any faults or errors are corrected in real time so make sure the quality of the product.

Sah Polymers IPO

Sah Polymers Limited, headquartered in Mumbai has submitted Draft Red Herring Prospectus(DRHP) to Securities and Exchange Board of India(SEBI) for initial public offering (IPO) of 102,00,000 equity shares on 21 April 2022.

The offer doesn’t includes a fresh issue and there is offer for sale (OFS) of 102,00,000 equity shares by the promoters mentioned in the DRHP. They are not looking for a Pre-IPO placement in this issue.

They are got approval from Securities and Exchange Board of India(SEBI) to float the initial public offering (IPO) in the market.

Financials Trends

Particulars	For the year/period ended ( in Cr.)
	31-Dec-21	31-Mar-21	31-Mar-20	31-Mar-19
Total Assets	53.23	40.58	36.39	36.78
Total Revenue	54.36	55.34	49.91	45.61
Profit After Tax	3.25	1.27	0.30	0.37

Basic and Diluted Earnings Per Share

Financial Period	Basic EPS (in INR)	Diluted EPS (in INR)	Weight
Financial Year 2021	0.82	0.82	3
Financial Year 2020	0.19	0.19	2
Financial Year 2019	0.24	0.24	1
Weighted Average	0.51	0.51
30 Nov. 2021	2.08	2.08

Objects of the Issue

• Prepayment / repayment of all or a portion of the outstanding borrowings of the company to be availed on consolidated basis.
• To meet common corporate objectives.

Basis of the offer

They feel that the following qualitative factors & business strengths enable them to compete successfully in the industry, and that these factors will be used to calculate the Offer Price:

• A wide range of products with a focus on quality.
• Experienced management and a passionate workforce.
• Customer base that spans continents and sectors.

Sah Polymers Peer Comparison

S. No.	Face Value	Company Name	PE
1	10	Rishi Techtex Limited	51.16
2	10	Jumbo Bag Limited	63.33
3	10	SMVD Poly Pack Limited	15.50
4	10	EMMBI Industries Limited	24.62
5	10	Commercial Syn Bags Limited	25.86

1. All financial data for listed industry peers is on a standalone/consolidated basis and comes from the audited consolidated/standalone financial statements of the respective firms for the year ending March 31, 2021, which can be found on the Stock Exchanges’ websites.
2. The P/E ratio is calculated by dividing the closing market price of equity shares on the BSE on April 06, 2022 by the diluted EPS derived from the peer group company’s annual report for the year ended March 31, 2021.

Sah Polymers IPO Details

IPO Opening Date	30 December 2022
IPO Closing Date	04 Januray 2023
Issue Type	Book Building
Face Value	10 per share
IPO Price	61 to 65 per equity share
Market Lot	230 Share
Min Amount	14950
Listing At	BSE, NSE
Issue Size	66.3 Crores
Fresh Issue	0
Offer for Sale	102,00,000 Equity shares

Sah Polymers IPO Date

Sah Polymers Limited IPO opening date is 30 December 2022, and the closing date is 04 Januray 2023. The Sah Polymers issue may list in 12 Januray 2023.

IPO Opening Date	30 December 2022
IPO Closing Date	04 Januray 2023
Basis of Allotment Date	09 Januray 2023
Initiation of Refunds	10 Januray 2023
Credit of Shares to Demat Account	11 Januray 2023
IPO Listing Date	12 Januray 2023

Basis of Allotment

Type	% of Offer	Basis of Allotment
Qualified Institutional Buyer	75	Roughly  equivalent
Non Institutional Investor	15	Roughly  equivalent
Retail	10	Minimum 1 lot based on availability

Sah Polymers India Limited IPO Status

Allotment of equity stocks subject to the Fresh Issue and transfer of the Promoter Selling Shareholders’ OFS Stocks to the winning Bidders subject to the Offer for Sale. Nevertheless, the status of the allotment has yet to be revealed.

Here, you can find the Allotment Status of Sah Polymers IPO.

Sah Polymers IPO GMP

Sah Polymers Limited IPO Grey Market Premium is 5. You can check out GMP of Other IPOs on below Links:

Date	GMP (in Rs)	Subject to Sauda	Kostak (in Rs)
Januray 2023
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26 December	5

Check Out the GMP of all Other IPOs

IPO Grey Market Premium

Sah Polymers Limited IPO Review

Sah Polymers Limited IPO review will depend on the price band which will be announced after SEBI approval. Whenever it will be announced we will update you regarding review of Sah Polymers IPO is good or bad.

Sah Polymers Limited IPO Risk

• Inadequate or interrupted raw material and packaging material supply, as well as pricing fluctuations, could have a negative impact on their business.
• Their business requires a large quantity of working capital, and a large portion of that capital is spent on trade receivables & inventories.
• Their Company, Group Company, Corporate Promoter, Directors, & Subsidiary are currently involved in a number of litigations, including criminal, civil, & tax processes, all of which are in varying levels of completion. Any negative outcome in these processes could subject them to different penalties or monetary compensation, and also have a negative impact on their company.
• Their capacity to construct new production plants & extend their product portfolio, both of which are risky & uncertain, is critical to their success.

Other Threats

1. They rely on a specific number of clients for a share of their revenue, and the loss of one or more of them, a deterioration in their financial situation , or a decrease in their demand for their products could have a negative impact on their firm.
2. They haven’t signed any long-term or binding contracts with their clients. Customers who opt not to get their needs from them may have a negative impact on their firm.
3. There is a growing understanding of the importance of pollution prevention, & India, have joined the campaign to prohibit the use of plastic products.
4. The COVID-19 Impact on their business, especially its impact on customers’ ability to acquire their products, may have a negative impact.

Aim

They feel that there is a huge demand for FIBC in the international market since Indian products are more cost competitive due to their cheap production costs and other advantages.

The research looks on the challenges surrounding the rise of these three recyclable materials and their use in various areas of the Indian manufacturing industry. They want to develop their footprint in India by capitalising on the demand for Indian Packtech Industry (PI).

They will appoint, establish local presence, and study geographies where they might launch their worldwide activities in new geographies in this way. Furthermore, they intend to focus on deepening their domestic presence by extending their consumer base.

Sah Polymers Limited IPO Brokerage views

Once the dates will be announced we will update the views of different brokerage firms regarding this IPO. Here is the views of different stock brokers regarding this Sah Polymers IPO:

• Yes Securities : Not Updated
• Choice Brokering: Not Updated
• Axis Securities: Not Updated
• IIFL Securities: Not Updated
• Trade swift: Not Updated
• Anand Rathi : Not Updated
• ICICI Securities: Not Updated

Sah Polymers Limited IPO Subscription Status

Date	Day	QIB	NII	Retail	Employees	Total Subscription
30 December 2023	1
02 Januray 2023	2
03 Januray 2023	3

Sah Polymers Limited Management

Their Managing Director, Asad Daud, and Whole-Time Director, Hakim Sadiq Ali Tidiwala, have played key roles in managing their growing operations, executing smart marketing and commercial initiatives, and focusing on financial performance.

Both of them have extensive expertise and knowledge in their respective fields. Their management team has extensive experience in crucial areas such as production, sales and marketing, and financial management.

They have spearheaded the process of generating value through operational expansion, brand recognition, and loyalty, as well as identifying new business prospects by diversifying the client base of company.

As of December 31, 2021, they have 98 dedicated employees on their payroll. They organise training seasons for their employees to motivate them and make them more technologically savvy.

Sah Polymers Limited‘ Promoters

• Sat Industries Limited

Promoter’s Holding

Pre Issue Share Holding	91.79%
Post Issue Share Holding

Sah Polymers Limited Prospectus