Latest IPO in India: Nikita Papers Ltd – Positive Opportunity with ₹67 Cr Issue

Published On: 25/05/20252 min read

Latest IPO in India: Nikita Papers Ltd – Positive Opportunity with ₹67 Cr IssueNikita Papers Ltd is launching its Initial Public Offering (IPO) on May 27, 2025, aiming to raise ₹67.54 crore through a fresh issue of 64.94 lakh equity shares. This SME IPO, set to list on the NSE Emerge platform, offers investors an opportunity to participate in a company with a strong commitment to sustainability and operational efficiency.

Company Overview

Established in 1989 and headquartered in Shamli, Uttar Pradesh, Nikita Papers Ltd specializes in manufacturing Kraft paper ranging from 80 to 200 GSM. With an installed capacity of approximately 1,33,000 MTPA, the company serves diverse industrial packaging needs. Nikita Papers has consistently evolved through technological upgrades and strategic expansions, including the installation of biomass and RDF-based power plants, aligning with its sustainability goals.

IPO Timeline

  • Anchor Investor Bidding: May 26, 2025
  • IPO Opens: May 27, 2025
  • IPO Closes: May 29, 2025
  • Allotment Finalization: May 30, 2025
  • Refunds Initiation: June 2, 2025
  • Shares Credited to Demat: June 2, 2025
  • Listing Date: June 3, 2025

Price Band

  • Price Band: ₹95 to ₹104 per share
  • Face Value: ₹10 per share
  • Issue Type: Book Building
  • Total Issue Size: ₹67.54 crore
  • Fresh Issue: 64.94 lakh shares
  • No Offer-for-Sale (OFS): Entirely a fresh issue

Lot Size

  • Lot Size: 1,200 shares
  • Minimum Investment: ₹124,800
  • Retail Investor Quota: Not less than 33.24% of the net offer

Key Dates

  • IPO Open Date: May 27, 2025
  • IPO Close Date: May 29, 2025
  • Allotment Date: May 30, 2025
  • Refunds Initiation: June 2, 2025
  • Shares Credited to Demat: June 2, 2025
  • Listing Date: June 3, 2025

Financials

Financial Year Revenue (₹ Cr) PAT (₹ Cr) Net Worth (₹ Cr) Reserves & Surplus (₹ Cr) Total Borrowing (₹ Cr)
FY 2022 358.49 6.95 46.10 37.48 124.74
FY 2023 401.31 8.65 54.74 46.13 163.02
FY 2024 346.78 16.60 77.37 59.20 189.24
Dec 2024 272.38 15.68 93.05 74.88 206.71

Strengths

  • Experienced Promoters with industry expertise
  • Sustainability focus with biomass and RDF-based power generation
  • Strategic expansion into premium Kraft paper segments
  • Strong dealer and supplier network
  • Consistent financial performance

Risks

  • Dependence on raw material availability
  • Stiff competition in the paper manufacturing sector
  • Exposure to regulatory compliance risks
  • Vulnerability to economic and demand fluctuations

IPO Anchor Investors Details

Category Shares Offered Percentage (%)
Anchor Investors 18,50,400 28.49%
Qualified Institutional Buyers 12,33,600 18.99%
Non-Institutional Investors 9,25,200 14.25%
Retail Individual Investors 21,58,800 33.24%
Market Maker 3,26,400 5.03%

IPO Promoter Holding Details

Shareholding Category Pre-Issue Holding (%) Post-Issue Holding (%)
Promoters 100% 73.67%
Public 0% 26.33%

IPO Grey Market Premium (GMP)

Date GMP (₹)
May 25, 2025 ₹20

Final Thoughts

Nikita Papers Ltd’s IPO presents an opportunity to invest in a company with a strong track record in the paper manufacturing industry and a clear commitment to sustainability. The company’s strategic initiatives, experienced leadership, and consistent financial growth make it an attractive proposition for investors looking at SME IPOs. However, potential investors should consider the associated risks and conduct thorough due diligence before investing.

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