ipo

DOMS IPO Kicked Off: Check details here

by Psu Connect
Date: 13-12-23

The shares prices of DOMS IPO, the leading stationary brand, are available at a premium of Rs.482 in grey market premium. As T+3 rule has become mandatory from 1st December 2023, DOMS IPO would be one of the first public issues that opened for subscription on 13th December.

The listed company DOMS Industries has fixed the price band of IPO at Rs.750 to Rs.790 per equity share whereas, the company's shares are maintaining robust demand in the grey market. According to Observers of the Stock market shares of DOMS Industries are available at a premium of Rs.451 in the grey market today.

According to the current scenario, on day one of bidding, the public issues of DOMS Industries Limited has been subscribed 1.53 times whereas its retail portion has been subscribed 6.01 times. The NII portion of the book build issue has been conjunctively subscribed 1.47 times. The stationary brand aims to raise almost Rs.1200 crore from its public offer. The lotted public offer comprises 18 shares of the company.

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Link Intime India private ltd has been appointed as the official registrar of the upcoming IPO. This public issue is proposed to be listed on both BSE and NSE. Surfing on financial revenues it is quite appreciable growth of industry, delivering a healthy and sound growth of operations of 69.71 percent to 77. 28 per cent in FY22-23 and substantial profit growth of 500 percent in FY2023.

On valuation parse at an upper price band of Rs.790/-, based on annnual earnings and post IPO paid capitals the market cap would be added around Rs.4749 crore with P/E on a consolidated basis. The company expects the Indian Domestic writing instrument market to grow at a CAGR of 16 percent till FY28.

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DOMS Industries Limited is engaged in the design, development, manufacturing, and sales of a wide range of stationery and art products and was incorporated in 2006. They are considered to be the 2nd largest Indian branded stationery products market, with a market share of 12 percent by value, as of FY23. The revenue CAGR for the period FY21-23 stood around 73 percent . The company operated on an EBITDA margin of 15.5 percent and PAT margin of 8.50 percent for year ended FY23. The company has officially regained rapid growth over FY21 to FY23.

Growing demand and the company's expansion plan has been contributing to foster company's growth. DOMS has demonstrated impressive financial growth in recent years, solidifying its market position and future potential but had unfortunately clocked a loss of Rs.6 crore in the same period as against a profit a year ago.

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