Purv Flexipack IPO - Apply or Not?

Purv Flexipack IPO

Purv Flexipack IPO consists of a fresh issue of 56,64,000 shares. The company seeks funds for repaying bank loans, funding working capital, and general corporate purposes.

Purv Flexipack IPO – Important Details 

Purv Flexipack IPO DateFebruary 27, 2024 to February 29, 2024
Purv Flexipack IPO Listing DateMarch 5, 2024
Purv Flexipack IPO PriceINR 70 to 71 per share
Purv Flexipack IPO Lot Size1600 Shares
Purv Flexipack IPO Total Issue SizeINR 40.21 Cr
Purv Flexipack IPO Basis of AllotmentMarch 1, 2024
Purv Flexipack IPO Initiation of RefundsMarch 4, 2024
Purv Flexipack IPO Credit of Shares to DematMarch 4, 2024
Purv Flexipack IPO Issue TypeBook Built Issue
Purv Flexipack IPO Listing AtNSE SME

Purv Flexipack IPO – Company Profile

Purv Flexipack distributes plastic-based products like BOPP, Polyester Films, and more. It also serves as a Del Credere Associate for Indian Oil Corporation Limited, focusing on polymer distribution.

In addition to its plastic product distribution, Purv Flexipack has Cool Caps Industries Limited, an SME-listed subsidiary, and four wholly owned step-down subsidiaries: Purv Technoplast, Purv Packaging, Purv Ecoplast, and Re.act Waste Tech. 

Their company provides diverse packaging solutions and manages its warehouse with modern facilities for safe product storage. They uphold stringent inventory management to maintain product quality and track inventory levels accurately. 

Purv Flexipack Ltd IPO – Fundamental Analysis 

Purv Flexipack demonstrates robust revenue and profit growth alongside improving RoNW and EPS. Expanding assets and liabilities present potential investment opportunities pending thorough analysis.

Revenue Growth: 

The company has shown impressive revenue growth over the three years, from ₹13,303.75 lakhs in 2021 to ₹33,317.44 lakhs in 2023, indicating strong sales performance.

Profitability: 

Profit and Loss After Tax (PAT) have also increased steadily, from ₹567.50 lakhs in 2021 to ₹826.13 lakhs in 2023, reflecting growing profitability.

Expenses: 

Expenses have risen in line with revenue, which is expected as the company scales up its operations. However, it’s crucial to ensure that the growth in expenses is sustainable and doesn’t outpace revenue growth.

Return on Net Worth (RoNW): 

RoNW has seen a modest improvement from 9.62% in 2021 to 10.84% in 2