Knack Packaging IPO

About this issue

Knack Packaging listed at +10.6% against its issue price of ₹170. The book is 61.11 times subscribed overall. The grey market premium is +₹13 (+7.6%), which is an informal figure and not a quoted price. Our call is Apply, on 88% of our checks.

Segment

Mainboard

Price

₹170

Lot size

88 shares

One lot costs

₹14,960

Issue size

₹439 Cr

Grey market premium

+₹13 (+7.6%)

Subscribed

61.11x

Listed at

+10.6%

Our call

Apply

What we checked

• Profitable in the latest yearPAT ₹92.72 Cr
• Profit grew year on yearPAT +26%
• Revenue grew year on yearRevenue +13%
• Borrowing under half of net worthDebt/net worth 0.62
• Return on net worth above 15%RoNW 35.5%
• Price to book under 6P/B 5.5
• Majority is fresh capital86% fresh issue
• Promoters keep at least half70.6% held post-issue
• Anchor investors participatedAnchor book placed
• Overall book more than 10× covered61.1× overall
• Lead manager above segment medianIDBI Capital Markets & Securities Ltd.: 13 past issues, +35% avg vs +9% segment median

4 further checks could not be judged, because the issue did not disclose enough. They count neither for nor against.