The Signoria Creation IPO opened for subscription on Tuesday, March 12, and will close on Thursday, March 14. Priced in the range of ₹61 to ₹65 per share of face value ₹10 each, the IPO offers a lot size consisting of 2,000 shares. Investors can bid for a minimum of 2,000 shares and in multiples thereof.
The IPO reserves not more than 50% of the shares for qualified institutional buyers (QIBs), at least 15% for non-institutional Institutional Investors (NIIs), and a minimum of 35% for retail investors. Additionally, the employee portion is reserved for 40,000 equity shares, while the market maker category holds 72,000 equity shares.
According to the Red Herring Prospectus (RHP), Signoria Creation specializes in manufacturing and selling women’s clothing, including dresses, dupattas, kurtis, trousers, tops, and co-ord sets. Renowned for their classic Kurtis available in a variety of colors, patterns, and sizes, the brand offers modern, fashionable, and comfortable clothing options. The company recently expanded its product lineup by introducing Co-ord Sets for women during the first quarter ending June 30, 2023.
According to the Red Herring Prospectus (RHP), Signoria Creation Limited’s listed peer is Nandani Creations Ltd, which currently has a Price-to-Earnings (P/E) ratio of 585.90.
In terms of financial performance, Signoria Creation Limited witnessed significant growth during the fiscal years ending on March 31, 2022, and March 31, 2023. The company’s revenue surged by 62.13%, demonstrating strong top-line growth. Additionally, the profit after tax (PAT) soared by an impressive 242.14%, highlighting the company’s robust bottom-line performance and profitability.
These financial indicators underscore Signoria Creation Limited’s promising trajectory and potential for sustained growth in the women’s clothing segment. Investors may find this growth trajectory appealing as they consider participating in the Signoria Creation IPO.
Based on the information provided, the subscription status of the Signoria Creation IPO on day 2 is as follows:
- Overall subscription status: 85.37 times
- Retail investors’ portion: 138.37 times
- Non-institutional buyers’ portion: 60.14 times
- Qualified Institutions Buyers’ portion: 32%
The company has received bids for 8,84,44,000 shares against 10,36,000 shares on offer as of 12:34 IST.
However, the last line seems to contradict the initial statement. The IPO subscription status cannot be both 85.37 times and 50.12 times on the same day unless there are different sources or timings for the data. Please double-check the information for accuracy or clarification.
Here’s a summary of the key information:
- IPO Size: ₹9.28 crore
- Offer Details: Fresh issue of 14,28,000 equity shares
- Face Value: ₹10 per share
- Offer Type: Completely fresh issue, no offer-for-sale component
- Use of Proceeds: Financing general corporate objectives and working capital needs
- Registrar: Bigshare Services Pvt Ltd
- Book Running Lead Manager: Holani Consultants Private Limited
- Market Maker: Holani Consultants
- Tentative Timeline:
- Basis of Allotment: Finalized on Friday, March 15
- Refunds Initiated: Monday, March 18
- Shares Credited to Demat Accounts: Monday, March 18
- Listing Date: Tuesday, March 19
- Listing Exchanges: BSE and NSE
Investors interested in participating in the Signoria Creation IPO should refer to the official prospectus and consult with their financial advisors for further guidance.
As per the information provided, the grey market premium (GMP) for Signoria Creation IPO today is +70. This means that Signoria Creation shares are trading at a premium of ₹70 in the grey market.
Considering the upper end of the IPO price band and the current grey market premium, the estimated listing price of Signoria Creation shares is indicated at ₹135 apiece. This represents a 107.69% increase from the IPO price of ₹65.
The trend in the grey market premium for the Signoria Creation IPO has been upward based on the last 10 sessions’ activities. The lowest GMP observed was ₹0, while the highest was ₹120, according to analysts at investorgain.com.
The grey market premium serves as an indicator of investors’ willingness to pay more than the issue price for the shares, and the current premium suggests a strong interest and potential for a robust listing. However, it’s essential to note that grey market prices are not official and can fluctuate based on various factors. Investors should conduct thorough research and consult with financial experts before making investment decisions.
Signoria Creation IPO Review
The company is an emerging brand in women wears with traditional designs and outfits. It has posted growth in its top and bottom lines for FY21 to FY23. Though on the basis of H1-FY24 performance, the issue appears aggressively priced, historically, as claimed by the management, it derives nearly two third of revenues with commensurate profits in the second half due to seasonality aspect. Hence, well-informed investors may park funds for the medium to long term rewards,” advised Dilip Davda, the contributing editor at Chittorgarh.
Disclaimer: The opinions and investment insights provided are intended solely for informational purposes and should not be construed as financial advice. Bystox.in strongly advises users to consult certified financial experts or professionals before making any investment decisions. We emphasize the importance of conducting thorough research and seeking personalized guidance tailored to individual financial goals and circumstances. Please be aware that investing involves inherent risks, and past performance is not indicative of future results. Bystox.in does not assume any responsibility or liability for the accuracy, completeness, or reliability of the information provided. Users are encouraged to exercise caution and diligence in their investment endeavors. Remember, your financial well-being is paramount, and seeking expert advice is highly recommended.