Kahan Packaging stock lists at nearly double the IPO price on BSE SME exchange

Shares of Kahan Packaging were listed today at Rs 152 on the SME BSE platform. The stock rose 90% at the open from its IPO price of Rs 80. The public offering opened for subscription on September 6, 2023 and closed on September 8, 2023.
SME’s IPO was oversubscribed 690 times. According to data available on BSE, investors bought 49.67 crore shares in three days from September 6 against the offer of 7.2 lakh shares, leading to a subscription of 689, 92 times. The number of shares on offer stood at Rs 3,973.95 crore as against the total capital raised by the IPO of Rs 5.76 crore.
Retail investors bought 1,044.8 times their allotted quota, while high net worth individuals (HNIs) and other investors bought 14.15 crore shares, equivalent to 416.2 times their reserved quota.
The company raised Rs 5.76 crore through the IPO. Of the 7.2 lakh shares, Kahan Packaging reserved 40,000 shares for the market maker and the remaining 6.8 lakh shares were distributed to retail and HNI investors in a ratio of 50:50 i.e. is 3.4 lakh shares. Manufacturer of woven polypropylene (PP) and high-density polyethylene (HDPE) fabrics providing customized bulk packaging solutions for business-to-business (B2B) manufacturers. It is aimed at the agricultural pesticide, cement, chemical, fertilizer and food industries.
Post listing, Kahan Packaging shares rose nearly 100% and touched an intraday high of Rs 159.60. Meanwhile, the 30-share BSE Sensex rose 160 points or 0.24 per cent to Rs 67,679.47 in early morning trade.