Sacheerome IPO Sees Strong Demand On First Bidding Day, Subscribed 3.72 Times

The initial public offering of Sacheerome Limited witnessed robust investor interest on its first bidding day, with an overall subscription of 3.72 times. Retail investors led the charge, driving the retail portion to 5.22 times subscription, while non-institutional investors (NII) booked 3.89 times. The IPO, which opened on June 9, is set to close on June 11.  

Subscription Status And Market Response  

- Sacheerome IPO received bids for 1,49,48,400 shares against 40,18,800 shares available.  
- The retail portion was subscribed 5.22 times, reflecting strong individual investor participation.  
- Non-institutional investors booked 3.89 times, while qualified institutional buyers (QIBs) subscribed 96 percent of their allocated portion.  
- The grey market premium (GMP) stood at 30 rupees, indicating a potential listing price of 132 rupees per share, a 29.41 percent premium over the upper price band.  

IPO Details And Investment Structure  

The Sacheerome IPO consists of a fresh issue of 60,40,800 equity shares, aggregating to 61.62 crore rupees. There is no offer-for-sale component, ensuring that all proceeds will be directed toward business expansion.  

- The price band is set between 96 and 102 rupees per share.  
- Retail investors must bid for a minimum of 1,200 shares, requiring an investment of 1,22,400 rupees.  
- High-net-worth individuals (HNIs) must bid for at least two lots, totaling 2,400 shares and an investment of 2,44,800 rupees.  
- The IPO allocation breakdown includes 50 percent for QIBs, 35 percent for retail investors, and 15 percent for NIIs.  

Business Expansion And Fund Utilization  

Sacheerome plans to use the IPO proceeds to establish a modern manufacturing and research facility at YEIDA. The facility will include a perfumery training center, consumer evaluation center, and specialized infrastructure for fragrance and flavor development.  

- Funds will support the creation of a quality and application center.  
- Investment will enhance production capabilities for natural, synthetic, and identical flavors.  
- The expansion aligns with Sacheerome’s strategy to strengthen its presence in the B2B fragrance and flavor industry.  

Market Outlook And Listing Timeline  

The IPO allotment is scheduled for June 12, with shares credited to demat accounts on June 13. Sacheerome is expected to list on the NSE SME platform on June 16. Investors are closely monitoring the grey market premium, which suggests strong listing gains.  

Source: Sacheerome Limited, Economic Times, InvestorGain, Chittorgarh IPO Tracker