The Issue includes a fresh Issue of up to 7,20,000 Equity Shares of the Company at INR 80 per share, totaling to INR 5.76 crores. The company intends to use the funds raised to meet its working capital requirement.
Kahan Packaging IPO – Important Details
| Kahan Packaging IPO Date | 6th September to 8th September 2023 |
| Kahan Packaging IPO Listing Date | 18th September 2023 |
| Kahan Packaging IPO Price | INR 80 |
| Kahan Packaging IPO Lot Size | 1600 Shares |
| Kahan Packaging IPO Total Issue Size | INR 5.76 crores |
| Kahan Packaging IPO Basis of Allotment | 13th September 2023 |
| Kahan Packaging IPO Initiation of Refunds | 14th September 2023 |
| Kahan Packaging IPO Credit of Shares to Demat | 15th September 2023 |
| Kahan Packaging IPO Issue Type | Fixed Price Issue |
| Kahan Packaging IPO Listing At | BSE SME |
Kahan Packaging IPO – Company Profile
The Company started its operations in the year 2016, since then has been in the business of manufacturing and supply of Polypropylene (PP)/ High Density Polyethylene (HDPE) Woven Fabric- Laminated, HDPE/PP woven sacks, Woven Fabric- Un- Laminated, 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.
It offers customized bulk packaging solutions to business-to-business (“B2B”) manufacturers catering to different industries such as Agro Pesticides Industry, Cement Industry, Chemical Industry, Fertilizer Industry, Food Products Industry.
The Company was founded by its promoters Prashant Jitendra Dholakia & Rohit Jitendra Dholakia with the overall experience of more than 25 years in the field of packaging industry and have knowledge of the products and industry in which the company operates.
Kahan Packaging Limited IPO Objective
The key objective behind Kahan Packaging’s IPO is to support the company’s robust growth plans. With the capital raised, the company aims to:
- Fund working capital requirement: With the expansion of the business, the company will be in the need of additional working capital requirements. The major capital will be invested in the trade receivables, inventories and payment to trade payables and funding day to day operations. The Company will meet the requirement to the extent of ₹4 crores from the Net Proceeds of the Issue.
- General corporate purpose: The company plans to deploy the balance funds towards general corporate purpose which is not limited to meeting expenses incurred in ordinary course of business such as strategic initiatives including advancement of information technology, meeting future branch and business expansion,etc.
Kahan Packaging Limited IPO Risks And Challenges
Investing in IPOs comes with its own set of risks and challenges. For Kahan Packaging’s IPO, these are some of the major risks and challenges
- Customer Dependency : The company derives a significant portion of its revenue from a limited number of customers, the loss of one or more such customers, the deterioration of their financial position or prospects, or a reduction in their demand for our products could adversely affect our business, financial position and future prospects of the Company.
- Geographical Dependency: The company generates major domestic sales from the State of Maharashtra. For the financial year ended March 31, 2023, 98% of the revenue was from Maharashtra. Any adverse developments affecting the operations in these regions could have an adverse impact on our revenue and results of operation.
- Industry Dependency: Majority of the revenue is dependent on a single business segment i.e. woven fabrics. An inability to anticipate or adapt to evolving upgradation of products or inability to ensure product quality or reduction in the demand of such products may adversely impact our revenue from operations and growth prospects
Kahan Packaging Limited IPO Peer Comparison
| Company | Total Income (₹ in lakhs) | Face Value per Equity Share (₹) | P/E | EPS (₹) | RoNW (%) | NAV per Equity Share (Basic) (₹) |
| Kahan Packaging Limited | 1755.93 | 10 | 7.74 | 10.34 | 59.79% | 17.29 |
| Sah Polymers Limited | 9721.62 | 10 | 54.43 | 2.10 | 4.29% | 33.95 |
| Rishi Techtex Limited | 10725.11 | 10 | 17.63 | 1.51 | 3.65% | 38.45 |
| Uflex Ltd | 681700.88 | 10 | 11.14 | 33.75 | 8.40% | 402.43 |
Kahan Packaging Limited IPO Financial Information
| Particular | As at 31 March 2021 | As at 31 March 2022 | As at 31 March 2023 |
| Revenue (₹ in lakhs) | 1,211.78 | 1,587.95 | 1,751.79 |
| Equity (₹ in lakhs) | 49.75 | 69.53 | 172.91 |
| Expenses (₹ in Million) | 1,205.44 | 1,566.08 | 1,625.25 |
| Profit and Loss After Tax (₹ in lakhs) | 1.57 | 19.77 | 103.38 |
| RoNW (%) | 3.15% | 28.44% | 59.79% |
| Diluted EPS only (₹) | 0.16 | 1.98 | 10.34 |
| NAV per Equity Share (₹) | 4.98 | 6.95 | 17.29 |
| Total Assets (in lakhs) | 898.33 | 975.15 | 1,449.34 |
| Total Liabilities (in lakhs) | 1,276.43 | 905.63 | 848.59 |
Kahan Packaging Limited IPO – Industry & Market Potential
In coming years, the Indian packaging industry will see substantial growth. The increasing awareness regarding clean water, safety,food, and pharmaceuticals along with adoption of next gen digital technologies will aggressively penetrate and drive the Indian packaging industry.
Globally, the packaging industry sector has positioned itself as one of the fastest growing industries across all countries. The industry is worth over $ 917 billion (in 2019), growing at a CAGR 2.8% to reach to $ 1.05 trillion by 2024.
In India’s case, packaging is the fifth largest sector in its economy and is one of the highest growth sectors in the country. According to the Packaging Industry Association of India (PIAI), the sector is growing at CAGR 22% to 25%.
Kahan Packaging Limited IPO – Type of Offer
The company will issue 7,20,000 new shares at INR 80 per share to raise capital. This fund will be used to fund the future working capital requirement.
Kahan Packaging Limited IPO Offer Size
The company will issue 7,20,000 new shares at INR 80 per share to raise capital.
Kahan Packaging Limited IPO Allotment Structure
As this is a Fixed price IPO, the allotment structure for Kahan Packaging Limited is planned as follows:
Retail Individual Investors (RII):These individual investors apply for shares with a total value of less than Rs. 2 lakhs.
Other than retail individual investors: Such applications where the value exceeds INR 2 lakhs .
Market Maker Reservation: A certain percentage or number of shares is reserved for market makers. The company has set aside 40,000 shares for this purpose.
How to apply for a Kahan Packaging IPO through Alice Blue?
To apply for the Kahan Packaging IPO through Alice Blue, you would typically follow these steps:
- Open a Demat and Trading Account: If you don’t have one already, you would need to open a Demat and trading account with Alice Blue.
- Check for IPO Details: Once your account is active, you can check for the Kahan Packaging IPO details in the IPO section of the Alice Blue platform.
- Place the Bid: Enter the number of shares you wish to buy and place your bid within the IPO’s price band.
- Submit the Application: Confirm all your details and submit your application.
You can apply for Kahan Packaging IPO at Alice Blue in just a few clicks!
Check Allotment Status: Post the allotment process, you can check the allotment status to see if you have received any shares.
Please note that the allotment of shares is not guaranteed and will depend on the demand for the IPO.
How to Check Kahan Packaging IPO Allotment Status on Alice Blue?
Checking the allotment status of an IPO in Alice Blue is usually straightforward. Please follow these general steps:
Log in to your Alice Blue Account: You can do this through the Alice Blue website or their trading app.
- Navigate to the Portfolio or IPO Section: This might differ based on the layout of Alice Blue’s platform, but generally, you can find the status of your IPO application under the ‘Portfolio’ or ‘IPO’ section.
- Find the IPO Allotment Status: Look for a sub-section called ‘IPO Allotment Status’ or something similar. This is where you can see the status of the IPOs you have applied for.
- Select the Kahan Packaging IPO: If you have applied for multiple IPOs, there might be a dropdown menu or a list where you can select the IPO you are interested in. Select the Kahan Packaging IPO.
- Check the Status: The status of your application should be displayed here. If the shares have been allocated to you, it would be mentioned here.
If you face any issues, it’s recommended to contact Alice Blue’s customer support for detailed assistance.
Apart from Alice Blue, there are other ways to check the allotment status of the Kahan Packaging IPO:
● Registrar’s Website: Visit the website of Purva Sharegistry (India) Private Limited , the registrar of the Kahan Packaging IPO. On the homepage, look for the ‘IPO Allotment Status’ option. You must enter your PAN and application number or Demat account number to check your allotment status. Click on the ‘Submit’ button to view your IPO allotment status.
● BSE SME: You can also check the allotment status on the official websites of the Bombay Stock Exchange (BSE) SME (Small Medium Enterprise) Platform . You would need your application number and PAN to check the status.
Please note that the allotment status will only be available after the allotment process has been completed, a few days after the IPO window closes.
Kahan Packaging Limited IPO Offer Registrar
The registrar for the Kahan Packaging Limited IPO is Purva Sharegistry (India) Private Limited. They are responsible for ensuring the IPO allotment and refund processes are carried out smoothly.
Contact information for the registrar:
Purva Sharegistry (India) Private Limited
9, Shiv Shakti Industrial Estate, J. R. Boricha Marg, Lower Parel (East),
Mumbai 400011, Maharashtra, India.
Tel. No.: +91 022 49614132
Email: [email protected]
Website: www.purvashare.com
Kahan Packaging IPO FAQs
What is the allotment date of the Kahan Packaging IPO?
The allotment date is 13th September 2023
What is the price band of Kahan Packaging IPO?
The company is going to issue shares at INR 80 per share.
What is the size of the Kahan Packaging IPO?
The Issue includes a fresh Issue of up to 7,20,000 Equity Shares of the Company at INR 80 per share, totaling to INR 5.76 crores. The company intends to use the funds raised to meet its working capital requirement.
What is the listing date of the Kahan Packaging IPO?
The listing date is 18th September 2023.
