Piotex Industries IPO gets overwhelming response
The leading yarn and cotton bale supplier aimed to raise Rs. 14.47 crore from the issue floated between May 10 and 14, 2024.
Hyderabad: The Initial Public Offer (IPO) of Piotex Industries Limited received an overwhelming response from the investors as it recorded 108 times subscription until the final day of bidding. The leading yarn and cotton bale supplier aimed to raise Rs. 14.47 crore from the issue floated between May 10 and 14, 2024.
The Non-Institutional Investors (NII) quota was subscribed 122 times, and the Retail Individual Investors (RII) quota was subscribed 94 times, bringing the overall subscription to 108 times until the final day of bidding on Tuesday, May 14, 2024.
The price band of the issue is fixed at Rs. 94/- per Equity Share with a face value of Rs. 10 apiece. The IPO comprised a fresh issue of 15.4 lakh Equity Shares with a face value of Rs. 10 through the book-building route. The minimum lot size for the application is 1,200 Equity Shares. The company is proposed to be listed on BSE SME.
Beeline Capital Advisors Private Limited is the sole Book Running Lead Manager, and Cameo Corporate Services Limited is the Registrar for the issue.
Piotex Industries proposes to utilize the net proceeds from the IPO to fund its working capital requirements, general corporate purposes and meet issue expenses.
The Pune-headquartered company is a leading supplier of yarn, fabric and cotton bales and works on an asset-lite model. These products are used for various purposes, such as garments and home furnishings. The company sells cotton bales and cotton yarn through the sole selling agreement, which are almost always in demand by the spinning and weaving industry. It distributes its products to customers in various states in India, including Maharashtra, Madhya Pradesh and Gujarat.
Founded in 2019 by first-generation entrepreneurs Abhay Shriram Asalkar and Yogesh Omprakash Nimodiya, Piotex Industries Limited is equipped with cutting-edge technology and processing techniques to ensure quality output for its clients. With rich experience in the textile industry, the promoters have been instrumental in determining the company’s vision and growth strategy.
Piotex Industries Limited recorded a revenue of Rs. 118.45 crore with a profit (PAT) of Rs. 3 crore in the financial year 2023-24, compared to a revenue of Rs. 86 crore and a profit (PAT) of Rs. 2.88 crore in FY 2022-23.