Udaipur, Rajasthan-based Sah Polymers Limited, primarily engaged in manufacturing and selling of Polypropylene (PP)/ High Density Polyethylene (HDPE) Flexible Intermediate Bulk Containers (FIBC) Bags, woven polymer based products has filed its draft red herring prospectus (DRHP) with the markets regulator, SEBI, to raise funds through an initial public offering (IPO) with a fresh issue of 1.02 crores equity shares, with no offer for sale component.
The issue has a face value of Rs 10 per equity share for the proposed share sale. The Offer is being made through the Book Building Process, wherein not less than 75% of the Offer shall be available for allocation to Qualified Institutional Buyers, not more than 15% of the Offer shall be available for allocation to Non-Institutional Bidders and not more than 10% of the Offer shall be available for allocation to Retail Individual Bidders.
The proceeds from its fresh issuance shall be utilised for manufacturing of new FIBC plant and expansion of production capacity & funding working capital requirements for new project, besides repayment/prepayment of certain borrowings.
Sah Polymers is led by Asad Daud, and Hakim Sadiq Ali Tidiwala, with a combined expertise of approximately 20 years in the FIBC packaging sector.
The Udaipur-based company has two business division namely Domestic sales and exports. Based on sales, it has presence in six states and one union territory for its local market. Internationally, it supplies its products in six regions: Africa, the Middle East, Europe, The United States, Australia, and Caribbean. For the nine months ended December 31, 2021 and fiscal 2021, exports contributed 37.40 percent and 46.80 percent, respectively.