Nikita Papers IPO: All Eyes on Listing After Allotment and Zero GMP Signal Cautious Start

Updated: May 30, 2025 09:50

Image Source: Finowings

The much-anticipated Nikita Papers IPO has completed its allotment process today, May 30, with investors now able to check their status via the registrar, Skyline Financial Services. The ₹67.54 crore IPO, which ran from May 27 to May 29, saw only modest demand, closing with an overall subscription of 1.43 times. Non-institutional investors led the way with 2.11 times subscription, while retail investors subscribed at 1.84 times and QIBs at 0.74 times.

Key Highlights:

Allotment Status: Investors can check their allotment on the Skyline Financial Services website by entering their PAN, application number, or DP/Client ID.
GMP & Listing Outlook: The latest grey market premium (GMP) for Nikita Papers has dropped to zero, indicating that the stock is likely to debut around its issue price of ₹104 per share. Earlier, the GMP was as high as ₹8, but tepid institutional interest and muted demand have weighed on listing expectations.
Listing Date: Shares will be credited to successful applicants’ demat accounts by June 2, with listing scheduled for June 3 on the NSE SME platform.
IPO Details: The issue was entirely a fresh offering of 64.94 lakh shares, priced in the range of ₹95–₹104 per share. The minimum lot size was 1,200 shares, requiring an investment of about ₹1.25 lakh for retail applicants.
Company Profile: Nikita Papers manufactures eco-friendly kraft paper for industrial and packaging uses, reporting a profit of ₹15.68 crore for the nine months ended December 2024 on revenues of ₹272.38 crore.

Use of Proceeds: Funds will be directed toward expanding production capacity, modernizing equipment, and supporting working capital needs.

While listing gains appear unlikely due to the lack of a GMP, Nikita Papers’ established market presence and sustainability focus may attract long-term investors post-listing.

Sources: Economic Times, Business Standard, NDTV Profit

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