IPO Update: Doms Industries fixes IPO price band at Rs 750-790/share, Offer to raise Rs 1,200 cr

Doms Industries, a leading stationery and art materials company based in Gujarat, has fixed the price band for its upcoming IPO at Rs 750-790 per equity share. Through the public issue opening on December 13th, the firm aims to mobilize Rs 1,200 crore.

The IPO comprises a fresh issue of shares aggregating to Rs 350 crore and an Offer for Sale (OFS) worth Rs 850 crore by existing shareholders. It has reserved shares worth Rs 5 crore for employees at a discount of Rs 75 per share to the final issue price.

Doms enjoys a 29% and 30% market share in core products like pencils and maths boxes as of FY23. It reported strong financial growth recently – net profit zoomed 567.2% YoY to Rs 95.8 crore in FY23 while revenue jumped 77.3% to Rs 1,212 crore. In H1 FY24, it posted a net profit of Rs 70.63 crore on revenue of Rs 761.8 crore.

As the first IPO to open this month, it is likely to see significant investor interest aided by bullish secondary market sentiment. The reasonably valued price band also makes it an attractive bet for IPO investors.