Mamata Machinery sets IPO price band at Rs 230-243 per share

The IPO is a pure offer for sale (OFS) comprising up to 7.38 million shares by promoters and existing shareholders. At the upper price band, the issue size will be at Rs 179.39 crore.

Mamata Machinery Ltd has announced a price band of Rs 230-243 per share for its upcoming initial public offering (IPO), which will open for subscription on December 19.

Anchor investors will submit bids starting December 18, with the issue closing on December 23. Finalization of the allotment on December 24, refunds and credit of equity shares to demat accounts on December 26, and listing on stock exchanges on December 27.

The IPO is a pure offer for sale (OFS) comprising up to 7.38 million shares by promoters and existing shareholders. At the upper price band, the issue size will be at Rs 179.39 crore.

Mamata Machinery is a leading manufacturer and exporter of plastic bag and pouch-making machines, packaging machinery, and extrusion equipment. The company provides end-to-end manufacturing solutions for the packaging industry. Products manufactured using its machinery serve a variety of packaging applications across industries, including food and FMCG. The company primarily sells packaging machinery to direct consumer brands in the FMCG, food, and beverage sectors, as well as bag and pouch-making machines to converters and service providers catering to the same industries.

Its notable customers include Balaji Wafers, Dass Polymers, Jflexy Packaging, Euphoria Packaging, Sunrise Packaging, Om Flex India, Chitale Foods, V3 Polyplast, Laxmi Snacks, Western India Cashew Company, Hershey India, and many others.

A significant portion of the company's revenue is generated through its wholly-owned subsidiary, Mamata Enterprises Inc., which operates internationally. As of September 30, 2024, Mamata Machinery has supplied its machines to over 75 countries. The company supports its global operations with a sales network spanning Europe, South Africa, and Asia. It also has two international offices in Bradenton, Florida, and Montgomery, Illinois, USA, along with sales agents in over five countries.

Mamata Machinery operates two manufacturing facilities. The Indian facility, located on the Sarkhej-Bavla Highway in Sanand, Ahmedabad, spans 20,662 square meters and includes an in-house electronics department, demo center, and fully equipped paint shop. The U.S. facility, based in Bradenton, Florida, focuses on product application development and machine customization for the American market.

In fiscal 2024, the company reported revenue of Rs 236.61 crore, up from Rs 200.87 crore in the previous fiscal year. Net profit for the period rose to Rs 36.13 crore compared to Rs 22.51 crore a year ago.