IPO Watch: SSF Plastics India Ltd has filed its draft red herring prospectus (DRHP) with the capital market regulator, Securities and Exchange Board of India (SEBI), for an initial public offering (IPO).

SSF Plastics is a comprehensive provider of packaging solutions, offering a complete range of services from design through to delivery across key product categories like bottles and containers, caps/closures, tubs, and engineered plastic components, among others.

The company serves a diverse array of end-user sectors including personal care, home care, food and beverages, consumer electronics, engine oil and lubricants, as well as pharmaceuticals.

In terms of financial performance, SSF Plastics achieved a profit of ₹15.19 crore and generated revenue from operations amounting to ₹397.41 crore for the six-month period ending in September 2024.

As per the DRHP, the company’s listed peers are Mold-Tek Packaging (with a P/E of 22.38), Time Technoplast (with a P/E of 27.13), and Shaily Engineering Plastic (with a P/E of 147.66).

IPO details

The proposed IPO consists of a new issuance of equity shares valued at ₹300 crore as well as an offer for sale (OFS) amounting to ₹250 crore from promoters and promoter group entities, as detailed in the draft red herring prospectus (DRHP) submitted on Thursday.

Currently, the promoters and promoter group entities possess a complete 100 percent ownership in the company.

The funds generated from the new issuance will be allocated towards debt repayment, financing capital expenditures for the acquisition of plant and machinery, and for general corporate needs.

IIFL Capital Services Ltd and Nuvama Wealth Management Ltd are serving as the book-running lead managers for this issue.

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