Nikita Papers Limited made a weak debut on the NSE SME platform today, listing at ₹90 per share, marking a 13.46% discount against the issue price of ₹104. The underwhelming listing contrasts with recent expectations despite the company’s strong fundamentals and robust FY24 performance.
Headquartered in Shamli, Uttar Pradesh, Nikita Papers is engaged in the manufacturing of various grades of paper catering to industrial, commercial, and printing segments. For FY24, the company reported revenue of ₹338.60 crore and a net profit of ₹16.60 crore.
The ₹67.54 crore SME IPO was entirely a fresh issue of 64.94 lakh equity shares. The proceeds from the issue are earmarked for capital expenditure towards a new power plant, meeting working capital requirements, and for general corporate purposes.
Fast Track Finsec acted as the book running lead manager, while Skyline Financial Services was the registrar to the issue.
Commenting on the IPO journey, Chairman Sudhir Kumar Bansal stated, “As we take the next step in our journey through the proposed initial public offering, our focus remains on building long-term value through responsible growth. At Nikita Papers Ltd, we have steadily expanded our capabilities in Kraft paper manufacturing while maintaining a clear commitment to sustainability and operational efficiency.”
