The initial public offering of agricultural production and exporters of UMA commodities receive a good response especially from retail investors on the first day of offer, March 28 because the IPO subscribe to 2.14 times the reduction offer for 1.97 crore equity shares against the size of 92.30 lakh equity stocks.
Retail investor offers 2.90 times the portion set aside for them, while the non-institutional investor quota subscribes to 46 percent.
Institutional buyers who meet the requirements have not started bidding. Half of this offer is for Qibs, 35 percent for retail investors and the remaining 15 percent for non-institutional investors.
UMA exports plan to collect Hospital 60 Crore through its first public offering which is a fresh problem for shares.
Clean acceptance will be used for working capital requirements and company general needs.
Band prices for offers, which are closed on May 30, has been repaired at Rs 65-68 per share. Investors can bid for a minimum of 220 shares and in multiples afterwards.
UMA exports are engaged in trade and marketing agricultural products and commodities such as sugar, spices such as dry red chili, turmeric, coriander, cumin seeds, grasslands such as rice, wheat, corn, sorghum, and farm feed such as soybean food and cake de -Oiled rice.
The company imported Lentil, Faba Beans, Black Urad Dal and Dal tour in India in large quantities of Canada, Australia and Myanmar. This is a B2B trader who specializes in sugar and lentils, maintains and distributes shares to institutions such as producers and exporters.
The company has the presence of PAN-India markets and exports to countries such as Sri Lanka, UAE and Afghanistan and corn to Bangladesh, etc.
Treating the income adapted to FY21 per share of RS 3.63 with a posting base, the company will register on P / E (price-to-income) 18.71x with a close market of Rs 229.9 Crore, while the export of Sakuma’s colleague. Traded on P / E 16.20x, said Marwadi Financial Services.
Brokers have set a ‘avoid’ rating to this IPO because companies operate in a competitive environment with low margins (EBITDA margins 2.83 percent on FY21) and do not offer many values for investors.
UMA exports recorded a profit of 46.3 percent in Rs 12.18 Crore at FY21, but revenues fell 7.2 percent to Rs 752.02 Crore in the previous year.
It recorded RS 8.97 Crore’s profit at RS 523.9 Crore’s revenue for the six months ending September 2021.