Aten Papers & Foam IPO is a book-built issue worth ₹31.68 crore, consisting entirely of a fresh issue of 33 lakh shares. The IPO opens for subscription today on June 13, 2025, and closes on June 17, 2025. The allotment process is expected to be finalised on June 18, 2025, with a tentative listing on the BSE SME scheduled for June 20, 2025.
The price band for the IPO is set between ₹91 and ₹96 per share. Investors must apply for a minimum lot size of 1,200 shares. Retail investors need to invest at least ₹1,09,200, but to avoid oversubscription issues, bidding at the cutoff price would require ₹1,15,200. High Net-Worth Individuals (HNIs) must apply for a minimum of two lots, amounting to ₹2,30,400.
Swastika Investmart Limited is the book-running lead manager, while Skyline Financial Services Private Limited is handling the registrar services. Sunflower Broking Private Limited is the market maker for the IPO. For more details, refer to the Red Herring Prospectus (RHP).
Industry Outlook
- The Indian paper and paperboard packaging market is projected to grow from USD 12.87 billion in 2024 to USD 17.74 billion by 2029, at a CAGR of 6.63%. The rising demand for sustainable packaging solutions is driving this growth, as industries shift away from plastic packaging.
- India contributes 5% to the global paper market, with over 800 paper mills producing more than 16 million tons annually. Paper production in India saw a 6.7% increase from June 17022 to January 2023, indicating a growing market.
- The adoption of aseptic and compostable paper packaging is gaining momentum, with companies investing in sustainable solutions. Aten Papers & Foam Limited can capitalise on this shift by innovating its product range, offering biodegradable and food-safe packaging options to meet the needs of environmentally conscious consumers.
Aten Papers & Foam IPO Objectives
The company plans to allocate the net proceeds from the issuance to the following purposes:
- The funds will be used to upgrade infrastructure and enhance production capacity, ensuring better efficiency in manufacturing high-quality paper-based products.
- Additional funds will support day-to-day operations, ensuring smooth procurement of raw materials like kraft paper and adhesive paper to meet growing industry demand.
- The remaining funds will be used for general corporate purposes.
About Aten Papers & Foam Limited
Aten Papers & Foam Limited, established on January 7, 2019, began its journey as a private limited company before transitioning into a public limited company on July 18, 2024. Based in Ahmedabad, Gujarat, the company plays a vital role in the paper product supply chain by procuring paper from mills and reselling it to clients in the packaging industry. Its product portfolio includes kraft paper and duplex board, available in various grades, thicknesses, and specifications. Additionally, it sources wastepaper from stockists and supplies it to paper mills, serving as a key raw material for production.
With a strong presence in Gujarat, the company operates from its registered office and a godown in Changodar, Ahmedabad. The expertise of its management team, backed by over two decades of industry experience, has driven its strategic growth and market expansion. Led by promoters Mr. Mohamedarif Mohamedibrahim Lakhani and Mrs. Amrin Lakhani, the company continues to adapt to industry demands with a vision for long-term sustainability.
To strengthen its operations, the company plans to set up three wastepaper processing units in Ahmedabad, utilising funds from its issue proceeds. The proposed units in Changodar, Sanand, and Narol will enhance its ability to process wastepaper, a critical raw material for paper mills. This expansion aims to reinforce its market position while contributing to a more sustainable paper supply chain.
How To Check the Allotment Status of Aten Papers & Foam IPO?
Steps to check IPO allotment status on Angel One’s app:
- Log in to the Angel One app.
- Go to the IPO Section and then to IPO Orders.
- Select the individual IPO that you had applied for and check the allotment status.
- Angel One will notify you of your IPO allotment status via push notification and email.
How To Apply for the Aten Papers & Foam IPO Online?
- Login to Your Angel One Account: Open the Angel One app or website and log in with your credentials.
- Locate the IPO Section: Navigate to the 'IPO' section on the platform.
- Select IPO: Find and select the Aten Papers & Foam IPO from the list of open IPOs.
- Enter the Lot Size: Specify the number of lots you want to bid for.
- Submit Your UPI ID: Enter your UPI ID to link your payment method and submit your application.
- Approve Funds: Once you receive the bid request on your UPI app, approve it by entering your UPI PIN.
Contact Details of Aten Papers & Foam IPO
Registered office: Block-A, 102/A, F. F, Tirmizi Heights, Opp Bombay Housing Colony, Near Kirtikunj Society, Ahmedabad 380028, Gujarat, India
Phone: +91-9537861212
E-mail: cs@atenpapers.com
Aten Papers & Foam IPO Reservation
|
Investor Category |
Shares Offered |
|
QIB Shares Offered |
Not more than 5% of the Net Issue |
|
Retail Shares Offered |
Not less than 47.50% of the Net Issue |
|
NII (HNI) Shares Offered |
Not less thann 47.50% of the Net Issue |
Aten Papers & Foam IPO Lot Size
|
Application |
Lots |
Shares |
Amount |
|
Retail (Min) |
1 |
1,200 |
₹1,09,200 |
|
Retail (Max) |
1 |
1,200 |
₹1,15,200 |
|
HNI (Min) |
2 |
2,400 |
₹2,30,400 |
Aten Papers & Foam IPO Promoter Holding
The promoters of the company are Mr. Mohamedarif Mohamedibrahim Lakhani and Mrs. Amrin Lakhani.
|
Share Holding Pre-Issue |
99.99% |
|
Share Holding Post Issue |
- |
Note: Equity dilution will be determined by subtracting the Share Holding Post Issue from the Share Holding Pre Issue.
Key Performance Indicators for Aten Papers & Foam IPO
|
KPI |
Value |
|
RoE (%) |
49.31 |
|
RoCE (%) |
23.23 |
|
Price to Book Value |
9.55 |
|
PAT Margin |
2.87 |
|
Particulars |
Pre IPO |
Post IPO |
|
EPS (₹) |
3.97 |
7.41 |
|
P/E (x) |
24.16 |
12.95 |
Note: The Pre-IPO EPS is based on the pre-issue shareholding as per the RHP and the latest FY earnings as of March 31, 2024. The Post-Issue EPS is calculated using the post-issue shareholding and annualised FY earnings as of September 30, 2024, as stated in the RHP.
Aten Papers & Foam IPO Prospectus
Aten Papers & Foam IPO Registrar and Lead Managers
Aten Papers & Foam IPO Lead Managers
- Swastika Investmart Limited
Registrar for Aten Papers & Foam IPO
Skyline Financial Services Private Limited
- Contact Number:02228511022
- Email Address: ipo@skylinerta.com
Aten Papers & Foam IPO Registrar
Financial Performance of Aten Papers & Foam Limited
| Particulars | Year ending on March 31, 2024 | Year ending on March 31, 2023 |
|---|---|---|
| Revenue from Operation (in ₹ lakh) | 9,679.82 | 9,099.72 |
| Profit After Tax (PAT) (in ₹ lakh) | 278.10 | 50.26 |
| Return on Equity (%) | 49.31 | 12.59 |
| Total Borrowings (in ₹ lakh) | 1,567.00 | 1,603.33 |
| Return on Capital Employed (%) | 23.23 | 8.70 |
| Operating Cash Flows (₹ in lakh) | 189.01 | 45.96 |
| EBITDA (in ₹ lakh) | 515.26 | 187.58 |
Know before investing
Strengths
8Aten Papers & Foam Limited benefits from over 20 years of industry expertise.
A diverse product portfolio ensures a one-stop solution for customers.
A ₹900 lakh credit facility strengthens financial position and bargaining power.
In-house logistics with four commercial vehicles ensures efficient deliveries.
Ready stock availability enables consistent supply and timely order fulfillment.
Expansion into wastepaper processing with ₹425 lakh investment boosts sustainability.
Strong presence in Gujarat, generating over 97% of domestic revenue.
Business operations are set to scale up with increased working capital.
Risks
8Aten Papers & Foam Limited operates entirely on rented premises, posing risks.
Dependence on a few suppliers may disrupt business and impact revenue.
Lack of supply contracts could lead to product shortages and losses.
Competition from promoter group entities may reduce business opportunities.
Expansion into wastepaper processing lacks operational experience and certainty.
Heavy reliance on Gujarat sales increases exposure to regional risks.
A related party's legal issues may impact business and profitability.
Dependence on a few key customers threatens revenue stability.
