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08 May 2024

GSM Foils Limited IPO

GSM Foils is engaged in manufacturing a broad array of Blister Foils and Aluminum Pharma Foils. They have gained wide market popularity as their raw materials are obtained from reliable vendors of the industries. Over the past few years they have acquired definite know-how in different types of foils used in pharmaceutical companies. The products are highly cherished for the abrasion resistance, high tensile strength, durability, bond strength, sealing strength. GSMFL is offering products which are quality tested as per industrial standards. The company has invested in modernized manufacturing techniques and has presented a wide assortment of highly demanded products, including high quality Blister Foils and Strip Pharma Foils.

They work with the ethos of integrity and strive to become one of the most trusted entities that deliver promised quality with the offered products in addition to the exclusive benefits of abrasion resistance, high tensile strength, durability, bond strength and superior sealing strength. GSM Foils IPO is a fixed price issue of Rs 11.01 crores. The issue is entirely a fresh issue of 34.4 lakh shares. GSM Foils IPO price is ₹32 per share. The minimum lot size for an application is 4000 Shares. The minimum amount of investment required by retail investors is ₹128,000. The minimum lot size investment for HNI is 2 lots (8,000 shares) amounting to ₹256,000. Shreni Shares Limited is the book running lead manager of the GSM Foils IPO, while Bigshare Services Pvt Ltd is the registrar for the issue. The market maker for GSM Foils IPO is Shreni Shares.

GSM Foils IPO Overview

Detail	Description
IPO Date	May 24, 2024 to May 28, 2024
Listing Date	[.]
Face Value	₹10 per share
Price Band	₹32 per share
Lot Size	4000 Shares
Total Issue Size	3,440,000 shares (aggregating up to ₹11.01 Cr)
Fresh Issue	3,440,000 shares (aggregating up to ₹11.01 Cr)
Issue Type	Fixed Price Issue IPO
Listing At	NSE SME
Share holding pre issue	9,371,649
Share holding post issue	12,811,649
Market Maker portion	176,000 shares Shreni Shares

GSM Foils IPO Timeline (Tentative Schedule)

Detail	Description
IPO Open Date	Friday, May 24, 2024
IPO Close Date	Tuesday, May 28, 2024
Basis of Allotment	Wednesday, May 29, 2024
Initiation of Refunds	Thursday, May 30, 2024
Credit of Shares to Demat	Thursday, May 30, 2024
Listing Date	Friday, May 31, 2024
Cut-off time for UPI mandate confirmation	5 PM on May 28, 2024

GSM Foils IPO Lot Size

Application	Lots	Shares	Amount
Retail (Min)	1	4000	₹128,000
Retail (Max)	1	4000	₹128,000
HNI (Min)	2	8,000	₹256,000

GSM Foils IPO Reservation

Investor Category	Shares Offered
Retail Shares Offered	50% of the Net Issue
Other Shares Offered	50% of the Net Issue

GSM Foils IPO Promoter Holding

Share Holding Pre Issue	99.99%
Share Holding Post Issue	73.14%

Company & Financials

Incorporated in April 2019, GSM Foils Limited manufactures Blister Foils and Aluminium Pharma Foils, also known as "Strip Foils," used for packaging pharmaceutical medicines such as capsules and tablets. These foils are primary packaging materials that come into direct contact with the medicine, so utmost care is taken to ensure their quality. The company has established a manufacturing facility at Sapphire Building in Thane, Vasai, Maharashtra, covering an area of 7,973 square feet across the ground plus 3 floors. The manufacturing facilities are fully equipped with tools, machinery and amenities necessary to support seamless manufacturing processes, hassle-free production, quality testing, research, storage and packaging. The company is ISO 9001:2015 certified. The company has a presence across India with clients in 13 states and 1 Union territory in the domestic market.

GSM Foils Limited Financial Information

Period Ended	31 Dec 2023	31 Mar 2023	31 Mar 2022	31 Mar 2021
Assets	2,208.18	1,438.18	1,050.65	720.57
Revenue	2,717.87	6,588.69	7,185.04	3,646.23
Profit After Tax	124.79	142.97	63.65	33.93
Net Worth	126.99	835.73	659.06	657.82
Reserves and Surplus	124.79
Total Borrowing	1,412.95	242.43	219.20
Amount in ₹ Lakhs

Key Performance Indicator

KPI	Values
ROE	23.62%
ROCE	1.60%
Debt/Equity	11.13
RoNW	98.27%
P/BV	1.27
PAT Margin (%)	4.59

	Pre IPO	Post IPO
EPS (Rs)	1.53	1.3
P/E (x)	20.98	24.64

Objectives of GSM Foils IPO

The Company proposes to utilize the Net Proceeds from the Issue towards funding the following objectives:

1. Funding of capital expenditure towards the purchase of Plant and Machineries.
2. Funding Working Capital Requirements of the company.
3. General corporate purposes.

GSM Foils IPO Review

The company is operating in a highly competitive segment that also faces volatility in commodity prices. The company has posted inconsistency in its top and bottom lines. Based on FY24 annualized earnings, the issue appears fully priced. Well-informed investors may park moderate funds for the medium to long term.

FAQs for GSM Foils IPO

What is Quality Foils (India) Ltd. IPO?

Quality Foil (India) Ltd. IPO of ₹4.52 crore is a fixed price issue. The IPO share price is fixed at ₹60 with a lot size of 2000 equities per lot. The subscription window will open on March 14, 2023.
When will Quality Foils (India) Ltd. Is IPO allotment available?

The basis of the allotment date is March 21, 2023.
What will be the Quality Foils (India) Ltd. IPO lot size?

One lot of Quality Foils (India) Ltd. IPO has 2000 shares.
When will Quality Foils (India) Ltd. IPO open for subscription?

The IPO will open on March 14, 2023.
When will Quality Foils (India) Ltd. list on exchanges?

The listing date of Quality Foils (India) Ltd. on BSE SME is March 24, 2023.