Ex-pack Corrugated Cartons Ltd.’s Rs. 700 million Initial Public Offering (IPO) will officially open today. 

Almost all leading brokers have recommended the IPO as buy and analysts expect it to be oversubscribed by multiple times on its official day itself.

Managed jointly by Capital Alliance and Asia Securities, 83,333,333 ordinary voting shares (a 25% stake) at Rs. 8.40 per share are on offer, resulting in a projected market capitalisation of Rs. 2.8 billion. This translates into an estimated forward PER of 7.7x for FY22 and implied TTM PER (as of August) of 8.9x. 

Funds raised by the IPO will go towards a Rs. 3 billion ultramodern production facility, which is expected to raise monthly volumes from 2,650 metric tons currently, to 4,000 metric tons by 2025. 

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