Kahan Packaging IPO will open for subscription from 06 September 2023. The company aims for an issue size of ₹5.76 Cr through this IPO.
Company Overview
| Full name | Kahan Packaging Limited |
| Sector | Fast Moving Consumer Goods |
| Industry | Packing |
| Company Website | https://kpackltd.com/ |
About Company
Kahan Packaging started its operations in the year 2016 and, since then has been in the business of manufacturing and supplying Polypropylene (PP)/Density Polyethylene (HDPE) Woven Fabric- Laminated, HDPE/PP woven sacks, Woven Fabric- UnLaminated, PP Woven Bag, PP Woven Bag with Liner, Printed Laminates for Flexible Packaging, woven polymer-based products of different weight, sizes, and colors as per customer’s specifications. The company offers customized bulk packaging solutions to business-tobusiness (“B2B”) manufacturers catering to different industries such as the pesticides Industry, Cement Industry, Chemical Industry, fertilizer industry, and Food Products Industry.
HDPE/PP are two commonly used materials in the bulk packaging industry due to their benefits which include durability, lightweight, versatility, recyclability, chemical resistance, moisture resistance, cost-effective, and high tear resistance which has a lower carbon footprint during transportation due to its lightweight nature.
Presently, the installed production capacity of Factory-I for woven fabrics is 2,600 Metric Tonnes Per Annum (m.t. p.a.).2 which is located in Asangaon, Maharashtra. Recently, the company has expanded its business set up a new manufacturing unit, and installed a Multicolor (up to 8 Colors) Roto-Gravure Printing Machine for flexible packaging and printing processes including polyester, Nylon, BOPP, Foil, low and high-density polyethylene polypro plane and paper with two-sided printing facilities with high-speed hot air dryers with installed production capacity of 500 m.t. p.a.
The Objective of the Issue
- To meet working capital requirements,
- General Corporate Purpose.
IPO Timetable
| IPO Opening date | 06 September 2023 |
| IPO Closing | 08 September 2023 |
| Basis of Allotment | 13 September 2023 |
| Initiation Refund | 14 September 2023 |
| Credit to Demat Account | 15 September 2023 |
| Listing Date | 18 September 2023 |
IPO details
| Issue type | Fixed Price Issue IPO |
| IPO issue size | ₹5.76 Cr – 720,000 shares |
| Fresh Issue | ₹5.76 Cr – 720,000 shares |
| Offer for sale | Nil |
| Face value | ₹10 per share |
| Offer Price | ₹80 per share |
| Lot size | 1600 Shares |
| Market Maker portion | 40,000 shares |
| Listing Exchange | BSE SME |
IPO Lot Size
| Application | Lots | Shares | Amount |
|---|---|---|---|
| Retail (Min) | 1 | 1600 | ₹128,000 |
| Retail (Max) | 1 | 1600 | ₹128,000 |
| HNI (Min) | 2 | 3,200 | ₹256,000 |
Reservation Details
| Other Shares Offered | 50% |
| Retail Shares Offered | 50% |
Financial Performance
| FY 2021 | FY 2022 | FY 2023 | |
| Revenue | 1,211.78 | 1,587.95 | 1,751.79 |
| Expenses | 1,205.44 | 1,566.08 | 1,625.25 |
| Net income | 1.57 | 19.77 | 103.38 |
Valuations & Margins
| FY 2021 | FY 2022 | 9M FY 2023 | |
| EPS | 0.16 | 1.98 | 10.34 |
| PE ratio | – | – | 7.74 |
| RONW (%) | 3.15 | 28.44 | 59.79 |
| NAV | 4.98 | 6.95 | 17.29 |
| ROCE (%) | 11.64 | 10.69 | 19.77 |
| EBITDA (%) | 6.38 | 5.10 | 11.47 |
| Debt/Equity | – | – | – |
Company Promoters
- Mr. Prashant Jitendra Dholakia
- Mr. Rohit Jitendra Dholakia
Promoter Holding
| Pre Issue Share Holding | 99.95% |
| Post Issue Share Holding | 73.49% |
Lead Manager(s)
HEM SECURITIES LIMITED
904, A Wing, Naman Midtown, Senapati Bapat Marg,
Elphinstone Road, Lower Parel, Mumbai-400013, Maharashtra
Phone: +91- 022- 49060000
Email: ib@hemsecurities.com
Website: www.hemsecurities.com
IPO Registrar
PURVA SHAREGISTRY (INDIA) PRIVATE LIMITED
9, Shiv Shakti Industrial Estate, J.R. Boricha Marg, Lower
Parel (East) Mumbai-400011, Maharashtra India
Phone: +91-022-4961-4132, 022-3199-8810
Email: support@purvashare.com
Website: www.purvashare.com
Contact Details
KAHAN PACKAGING LIMITED
212, Jhalawar Service Premises, E S Patanwalla Compound,
LBS Marg, Ghatkopar West, Mumbai 400086, Maharashtra
Phone: +91-22-25004605
E-mail: info@kahanpackaging.com
Website: www.kpackltd.com
Allotment Status
Kahan Packaging IPO allotment status will be available on Purva Sharegistry’s website. Click on this link to get allotment status.
Final thoughts
Kahan Packaging IPO is going to hit Dalal Street soon. applying for an IPO is purely a personal choice. study well about the company and subscribe if you are feeling good about the company. I hope this post will give you enough details to make a fundamental study of the company. learn well and make wise decisions.
Happy Investing
