Sanstar, a company that makes specialty plant-based products, began accepting applications from investors today (July 19th) for its initial public offering (IPO). This means regular people like you and me can now invest in the company by buying its shares.
IPO Basics:
- IPO size: ₹510 crore
- Price per share: ₹90 to ₹95
- Subscription open till: July 23rd
- Money raised will be used for: Growing the business
The ₹510 crore that Sanstar aims to raise will come from two parts:
- Fresh Issue: ₹397 crore (approximately $47 million) will be raised by selling new shares.
- Offer for Sale (OFS): Promoter shareholders will be selling up to 1.19 crore shares (approximately 11.9 million shares) worth ₹113 crore (approximately $13.4 million).
Important Note:
Investing in the stock market inherently carries some level of risk. It’s crucial to investigate thoroughly and grasp the potential risks before making an investment.
Additional Info:
- Sanstar’s IPO has been divided into three parts for different types of investors:
- 50% of the shares are reserved for qualified institutional buyers (big investors like banks and insurance companies).
- 15% of the shares are for non-institutional investors (wealthy individuals and companies).
- 35% of the shares are for retail investors (regular people like you and me).
- There have been reports that Sanstar’s shares were trading at a premium (meaning a higher price) in the unlisted market before the IPO. However, this doesn’t guarantee that the price will stay high after the IPO.
By understanding this information, you can make an informed decision about whether or not to invest in Sanstar’s IPO.