SME IPO: Sealmatic India’s issue opens on Friday. Check price band

According to the prospectus filed with BSE SME, 24,99,600 equity shares are offered at a price band of ₹220 to ₹225 per equity share. The ₹56 crore issue would comprise a fresh issue of up to 18,50,00 equity shares aggregating to ₹41.6 crore to fund expansion plan and an offer for sale (OFS) of up to 6,49,600 equity shares aggregating to ₹14.6 crore. 

The gross proceeds of the issue will be employed for the purchase of Plant and Machinery, Product & Sales Development, and other corporate purposes. ISK Advisors Limited is the Book Running Lead Manager of the SME IPO.

Not more than 40% of the Net Issue will be allocated on a proportionate basis to Qualified Institutional Buyers (QIBs) including Anchor, and not less than 18% of the Net Offer will be available for allocation on a proportionate basis to Non- Institutional Investors and not less than 42% of the Net Offer will be available for allocation to Retail Individual Investors. Retail Investors would be required to subscribe to a minimum of 1 lot of 600 shares.

Incorporated in 2009, Sealmatic is a manufacturer of mechanical seals with domestic and international customers in over 45 countries. Sealmatic mechanical seals are supplied to industry leaders in oil & gas, refinery, petrochemical, chemical, pharmaceutical, fertiliser, power, mining, pulp & paper, aerospace, marine, and other industries.

Umar Balwa, Managing Director of Sealmatic India Limited said, “India is one of the major markets for mechanical seals. An increase in the adoption of mechanical seals by various industries is anticipated to drive the market. Sealmatic certainly has the advantage of sustainable growth in the coming years.”