Cedaar Textile IPO: The initial public offering (IPO) of Cedaar Textile opened for subscription on Monday, June 30, and will close on Wednesday, July 2.
The SME IPO, which is looking to raise ₹60.90 crore, was off to a slow start despite a decent trend in the grey market. Cedaar Textile IPO price band has been set at ₹130 to ₹140 per share.
The minimum lot size for an application is 1,000 shares, requiring an investment of at least ₹1,30,000 by the retail investors.
The yarn manufacturer plans to use the funds raised via IPO for various purposes. It has earmarked ₹8 crore for the installation of grid-tied solar PV rooftop system, ₹17 crore for modernisation of machines, ₹24.90 crore for meeting working capital needs and the rest for general corporate purposes and issue-related expenses.
In Cedaar Textile IPO, 50% of the offer is reserved for qualified institutional buyers (QIB), 15% for non-institutional investors (NII) and the remaining 35% for the retail investors.
Cedaar Textile IPO Subscription
Cedaar Textile IPO subscription status as of 4.50 pm on the first day of the bidding stood at 11%, with the retail portion booked 6% and the NII portion 22%. The QIB portion hadn’t received any bids so far.
Cedaar Textile IPO GMP
In the grey market, Cedaar Textile IPO was commanding a premium over the issue price. Cedaar Textile IPO grey market premium or GMP was ₹10. This means that Cedaar Textile IPO shares could list at ₹150, a premium of 7% over the issue price of ₹140.
The company shares are slated to list on NSE SME on Monday, July 7.
About Cedaar Textile
Cedaar Textile offers the widest range of raw white yarns, melange yarns, solid top dyed yarns, and grey fancy yarns in cotton, polyester, acrylic, viscose, Tencel, modal, and other fibres.
All yarns are being offered with sustainability as the prime focus, in 100% organic and recycled fibres (polyester & cotton) for a green environment and conservation of natural resources, as per the company’s RHP.
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