Sanstar IPO will open for subscription from 19 July 2024. The company aims for an issue size of ₹510.15 Cr through this IPO.
Company Overview
| Full name | Sanstar Limited |
| Sector | Fast Moving Consumer Goods |
| Industry | Consumer Food |
| Company Website | https://sanstar.in/ |
About Company
Sanstar is one of the major manufacturers of plant-based specialty products and ingredient solutions in India for food, animal nutrition, and other industrial applications. Its products include liquid glucose, dried glucose solids, maltodextrin powder, dextrose monohydrate, native maize starches, modified maize starches, and co-products like germs, gluten, fiber, and enriched protein.
As per Frost & Sullivan, the company is the third largest manufacturer of maize-based specialty products and ingredient solutions in India with an installed capacity of 3,63,000 tons per annum (1,100 tons per day).
During the 12 months ending 31 March 2024, the company’s export revenue stood at INR 394.44 crore, representing 35.53% of total revenues. As of the same date, the company exported its products to 49 countries across Asia, Africa, the Middle East, the Americas, Europe, and Oceania. Additionally, the company has footprints across India, with its products sold in 21 states. As of 31 March 2024, Sanstar had 271 personnel including 60 permanent employees.
The Objectives of the Issue
- Funding the capital expenditure requirement for the expansion of the Dhule Facility;
- Repayment and/or pre-payment, in part or full, of certain borrowings availed by the Company, and;
- General Corporate Purposes.
Sanstar IPO Timetable
| IPO Opening date | 19 July 2024 |
| IPO Closing | 23 July 2024 |
| Basis of Allotment | 24 July 2024 |
| Initiation Refund | 25 July 2024 |
| Credit to Demat Account | 25 July 2024 |
| Listing Date | 26 July 2024 |
Sanstar IPO details
| Issue type | Book Built Issue IPO |
| IPO issue size | ₹510.15 Cr – 53,700,000 shares |
| Fresh Issue | ₹397.10 Cr – 41,800,000 shares |
| Offer for sale | ₹113.05 Cr – 11,900,000 shares |
| Face value | ₹02 per share |
| Price Band | ₹90 to ₹95 per share |
| Lot size | 150 Shares |
| Shareholding pre-issue | 140,444,250 |
| Shareholding post-issue | 182,244,250 |
| Listing Exchange | BSE & NSE |
Sanstar IPO Lot Size
| Application | Lots | Shares | Amount |
|---|---|---|---|
| Retail (Min) | 1 | 150 | ₹14,250 |
| Retail (Max) | 14 | 2100 | ₹199,500 |
| S-HNI (Min) | 15 | 2,250 | ₹213,750 |
| S-HNI (Max) | 70 | 10,500 | ₹997,500 |
| B-HNI (Min) | 71 | 10,650 | ₹1,011,750 |
Sanstar Offer Documents
Sanstar IPO Reservation Details
Sanstar IPO offers 53,700,000 shares. 10,740,000 (20.00%) to QIB, 8,055,000 (15.00%) to NII, 18,795,000 (35.00%) to RII and 16,110,000 (30.00%) to Anchor investors. 125,300 RIIs will receive minimum 150 shares and 1,193 (sNII) and 2,386 (bNII) will receive minimum 2,250 shares. (in case of oversubscription)
| Investor Category | Shares Offered | Maximum Allottees |
|---|---|---|
| Anchor Investor Shares Offered | 16,110,000 (30.00%) | NA |
| QIB Shares Offered | 10,740,000 (20.00%) | NA |
| NII (HNI) Shares Offered | 8,055,000 (15.00%) | |
| bNII > ₹10L | 5,370,000 (10.00%) | 2,386 |
| sNII < ₹10L | 2,685,000 (5.00%) | 1,193 |
| Retail Shares Offered | 18,795,000 (35.00%) | 125,300 |
| Total Shares Offered | 53,700,000 (100%) |
Sanstar Financial Performance
| FY 2022 | FY 2023 | FY 2024 | |
| Revenue | 504.40 | 1,205.07 | 1,067.27 |
| Expenses | 482.78 | 1,154.28 | 991.96 |
| Net income | 15.92 | 41.81 | 66.77 |
| Margin (%) | 3.16 | 4.45 | 6.26 |
Sanstar Valuations & Margins
| FY 2022 | FY 2023 | FY 2024 (Pre Issue) | FY 2024 (Post-Issue)* | |
| EPS | 1.08 | 2.98 | 4.75 | 3.66 |
| PE Ratio | – | – | 18.93 – 19.98 | 24.56 – 25.93 |
* Calculated on the basis of annualized Profits After Tax for FY 2024
| FY 2022 | FY 2023 | FY 2024 | |
| RONW (%) | 32.51 | 28.00 | 30.92 |
| NAV | 3.32 | 10.63 | 15.37 |
| EBITDA (%) | 7.87 | 6.01 | 9.20 |
| ROCE (%) | 18.21 | 23.67 | 25.31 |
| Debt/Equity | 1.00 | 0.60 | 0.50 |
Company Promoters
- Gouthamchand Sohanlal Chowdhary
- Sambhav Gautam Chowdhary
- Shreyans Gautam Chowdhary
Promoter Holding
| Pre Issue Share Holding | 99.77% |
| Post Issue Share Holding | 70.37% |
Sanstar Offer GMP Update
| Date | Day-wise IPO GMP | Kostak | Subject to Sauda |
| 25 July 2024 | 33 | – | 1,300 |
| 24 July 2024 | 30 | – | 1,300 |
| 23 July 2024 | 30 | – | 1,300 |
| 22 July 2024 | 35 | – | 1,400 |
| 20 July 2024 | 35 | – | 1,400 |
| 19 July 2024 | 40 | – | 1,600 |
| 18 July 2024 | 40 | – | 1,600 |
| 17 July 2024 | 40 | – | 1,600 |
| 16 July 2024 | 45 | – | 1,800 |
| 15 July 2024 | 50 | – | 2,000 |
Sanstar – Comparison With Listed Peers
| Company | PE ratio | EPS | RONW (%) | NAV | Revenue (Cr.) |
| Sanstar | 25.93 | 3.05 | 27.74 | 11.01 | 1,182.77 |
| Gujarat Ambuja Exports | 25.52 | 14.40 | 13.56 | 106.13 | 4,983.00 |
| Gulshan Polyols | 24.38 | 8.69 | 7.86 | 110.60 | 1,186.79 |
| Sukhjit Starch and Chemicals | 12.13 | 40.56 | 13.61 | 298.00 | 1,449.61 |
Sanstar IPO Subscription Update
| Category | Subscription (times) |
|---|---|
| QIB | 145.68 |
| NII | 136.49 |
| bNII (bids above ₹10L) | 149.44 |
| sNII (bids below ₹10L) | 110.61 |
| Retail | 24.23 |
| Total | 82.99 |
Sanstar IPO Allotment Status
Santar IPO allotment status will be available on Link Intime’s website. Click on Link Intime IPO weblink to get allotment status.
Sanstar IPO Listing Details
| Listing Date | 26 July 2024 |
| BSE Scrip Code | 544217 |
| NSE Symbol | SANSTAR |
| ISIN | INE08NE01025 |
| Final Issue Price | ₹95 per share |
Sanstar IPO Listing Day Update
| Listing Exchange | BSE | NSE |
| Final Issue Price | ₹95.00 | ₹95.00 |
| Open | ₹106.40 | ₹109.00 |
| Low | ₹106.40 | ₹107.10 |
| High | ₹127.68 | ₹128.79 |
| Last Trade | ₹115.09 | ₹115.07 |
Sanstar IPO Lead Manager(s)
PANTOMATH CAPITAL ADVISORS PRIVATE LIMITED
Pantomath Nucleus House, Saki Vihar Road,
Andheri East, Mumbai – 400 072 Maharashtra, India
Phone: 18008898711
Email: sanstar.ipo@pantomathgroup.com
Website: www.pantomathgroup.com
Sanstar Registrar
LINK INTIME INDIA PRIVATE LIMITED
C-101, 247 Park, 1st Floor, L.B.S. Marg, Vikhroli
West, Mumbai – 400 083, Maharashtra, India
Tel: +91 8108114949
E-mail: sanstar.ipo@linkintime.co.in
Website: www.linkintime.com
Company Contact Details
SANSTAR LIMITED
Sanstar House, near Parimal Under Bridge,
Opposite Suvidha Shopping Centre, Paldi, Ahmedabad
380 007, Gujarat, India
Phone: +91 79 26651819
Email: cs@sanstar.in
Website: www.sanstar.in
Sanstar IPO FAQs
How many shares in Sanstar IPO are reserved for HNIs and retail investors?
The investors’ portion for QIB – 50%, NII – 15%, and Retail – 35%.
How to apply for Sanstar Public Offer?
The best way to apply for Sanstar public offer is through Internet banking ASBA (know all about ASBA here). You can also apply online through your stock broker using UPI. If you prefer to make paper applications, fill up an offline IPO form and deposit the same to your broker.
What is Sanstar IPO GMP today?
Sanstar IPO GMP today is ₹ 33 per share.
What is Sanstar kostak rate today?
Sanstar kostak rate today is INR NA per application.
What is Sanstar Subject to Sauda rate today?
Sanstar Subject to Sauda rate today is ₹ 1,300 per application.
Final thoughts
Sanstar IPO is going to hit Dalal Street soon. applying for an IPO is purely a personal choice. Study the company well and subscribe if you feel good about it. I hope this post will give you enough details to research the company fundamentally. learn well and make wise decisions.
Happy Investing
