Chemplast Sanmar IPO, Should you Sell or hold after listing?

 Check your IPO allotment for by following simple steps:

First way to Check Allotment:

1) Visit to BSE India website

2) Then Select the name of the company. Select Chemplast Sanmar IPO.

3) Fill the application number of Chemplast Sanmar ltd

4) Fill your Pan Card details

5) Tick on “not Robot” option

6) At the end press “Submit” button

Step 2

Second way to check Allotment:

1) Visit to KFintech private ltd website, you may search in Google.

2) Select name of the IPO company i.e Chemplast Sanmar.

3) Fill the application number of Chemplast Sanmar or you can select the option of filling DP ID.

4) Enter the security code mentioned on your screen

5) At the end press “Submit” button to get you allotment status

Step 3

Date of refund & date of credit of allotment shares of Chemplast Sanmar IPO:

The credit date of allotment IPO shares of Chemplast Sanmar is 23 August 2021. Listing date is 24th August 2021. The refund will be allowed to transfer into the bank accounts of the IPO investors those had not received IPO allotment of shares. The refund initiated on date of 20th August 2021.

Step 4

Chemplast Sanmar IPO, Should you buy, sells or hold after listing of IPO?

There is no any question that chemplast sanmar is the market leader. This company is the market leader in the manufacturing and selling of PWS products, so we can say that Chemplast has pricing power in the speciality Chemicals & PVC sector. The management of the company is also very old. Therefore the company's business model and experience of Promoters is very good. But if we all remember, this company used to trade in the stock market even before today. Yes, there is nothing to be surprised about this. Chemplast got its shares delisted from Bombay Stock Exchange and Madras Stock Exchange. You will be surprised to know that the company had kept the delisting price 15rs. Today, after about 8 more years, the company management is getting the company's shares relisted again. This time the share price of the company has been kept at 530 rs and 541rs. This is a surprising thing. And there has also been an alert for investors. The company generates its stake through its promotional offer for sale. If we check the past track record of the management of the company, then getting the company shares delisted at 15rs has weakened the confidence of the investors somewhere. If we talk about the valuation of the company, then there is an average performance, it is also shocking to see the profit increase suddenly in 3 years. Talking about the company's competitors, among the listed players, a company like Finolex Industry is attracting more investors with strong balance sheet and strong management commentary.

Chemplast acquired a subsidiary of its own. After this, more than 9% profit of the company was also registered, but due to this the equity of the company has also become negative. If we think from the fundamental point of view, then it is not so good and attractive valuations, but Indian stock market is currently running in Bull Run, so if any company is coming with IPO in the market then the valuations are high. If we talk about the listing gains, then even if there is a positive listing due to some reactions, then booking the profit on the IPO listing of the company would be a good strategy. On the other hand, it would not be wrong to say that the listing of the company's IPO becomes negative.

                          

Chemplast share price is also looking very expensive. If a trader wants to make trading positions in this stock after IPO listing, then there will be a suggestion to trade with strict stop loss. It would be best for investors to look at the listed company only. If an investor has been allotted an IPO, it would be a good idea to book a profit, that too if the listing is positive. It is high risk & Moderate return of IPO for investors or traders.  High risk is related to company past performance and previously delisting of stocks.

Chemplast Sanmar subscription Rate:

With the average response from investors, Chemplast sanmar IPO   was subscribed nearly times.. This IPO issue was opening from 10th August to 12th August 2021. The qualified institutional buyers portion was subscribed nearly 2%. If we will talk about non-institutional investors then it was subscribed nearly 10% but retail segment was only confirmed by more than 1.6 times.

The fresh issue of this IPO was nearly Rs 1300cr, where offer for sale was of nearly Rs 2500cr which was by shareholders. The company management will use this IPO raised Capital for meeting the future capital requirements & for reducing the debit of company.

 Business Profile of company:

If we will talk about the Chemplast Sanmar business model then it is a specialty chemicals producer in India with centre around specialty glue PVC sap and custom assembling of beginning materials and intermediates for drug, agro-compound and fine chemicals areas.

The organization finished an essential securing of a chlor-soluble base plant at Karaikal in August 2003, and sloped up the plant limit. This plant had a limit of 33,000 TPA of scathing pop and 30,000 TPA of chlorine. This has been expanded to 52,000 TPA of scathing pop and 46,000 TPA of chlorine.

It is one of India's driving makers of claim to speciality glue PVC resin based on introduced creation limit, as of Dec 2020. What's more, it is additionally the third biggest producer of scathing pop and the biggest maker of hydrogen peroxide in the South India area, based on introduced creation limit as of Dec 2020.

In nutshell, We can say that Chemplast sanmar share price looks bit expensive as compared with the competitor of listed companies of same segment. There is no question on the experience of the company management but for shareholders it looks that there is not much money left on table for shareholders after the listing of IPO. Rest need to track the company performance in the future before making any investment decision.

Disclaimer: It is my personal view on the company IPO listing. Please do your own research before making any buying or selling decision in this stock. Company products data may have been collected from company business website but the view on the IPO listing of the  company is personal.

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