Oswal Pumps IPO Set to Open It's IPO...
10 Jun, 2025
Aten Papers and Foam is one of the key players in India for supplying paper products, now coming with its initial public offering ( IPO) that is going to open on June 13, 2025. The IPO is set to be launched on SME with a fresh issue of 33 lakh shares with no OFS component. It means all the IPO proceeds will be used in the company's growth rather than providing an exit to existing shareholders.
The subscription window for the IPO will be open for 3 days while closing on June 17, 2025. The allotment will be finalised by June 18, 2025, with the tentative listing date of June 20, 2025. The IPO will be listed on the BSE SME. Skyline Financial Services has been appointed as the registrar for the issue and Swastika Investment is the sole book running lead manager.
As per the RHP filed by Aten Papers and Foam, it is planning to utilize the net proceeds from the IPO for several strategic purposes. Some of the IPO proceeds will be used for capital expenditure to enhance operational capacity, some will be used for meeting working capital requirements and general corporate purposes. This strategic use of funds will help in strengthening the market position of the company and support its expansion plan for the paper products supply chain sector.
Founded in 2019, Aten Papers and Foam has rapidly established itself as a crucial intermediary in the paper product supply chain. The company sources paper from various mills and supplies it to clients in the packaging products industry. Additionally, it purchases wastepaper from stockists and sells it to paper mills, providing essential raw material for the industry.
Aten Papers and Foam’s product portfolio is diverse, encompassing a wide range of grades, thicknesses, widths, and standards for products such as kraft papers and duplex boards, tailored to customer specifications.
The company has demonstrated robust financial growth over the past year. In the financial year 2024-25 (FY25), Aten Papers and Foam reported a revenue from operations of ₹138.69 crore, marking a 43% increase from ₹96.79 crore in FY24. Profit after tax (PAT) surged to ₹7.01 crore in FY25, up from ₹2.78 crore in the previous fiscal year, an increase of approximately 1.5 times.
Earnings before interest, tax, depreciation, and amortization (EBITDA) also saw a significant jump, doubling from ₹5.15 crore in FY24 to ₹10.65 crore in FY25. This strong performance underscores the company's operational efficiency and growing demand for its products in the packaging and paper supply chain sectors.
Aten Papers and Foam’s IPO comes at a time when the Indian paper and packaging industry is experiencing steady growth, driven by rising demand for sustainable packaging solutions and increased industrial activity. The company's role as an intermediary connecting paper mills with packaging product manufacturers and facilitating the recycling of wastepaper positions it well to capitalize on these trends.
The absence of an OFS component in the IPO signals management’s confidence in the company’s prospects and a commitment to long-term value creation for new investors.
With a strong financial track record, clear objectives for capital deployment, and a pivotal role in the paper supply chain, Aten Papers and Foam’s upcoming IPO is poised to attract attention from investors seeking exposure to the expanding packaging and paper products sector. The outcome of the IPO and subsequent market performance will be closely watched as an indicator of investor sentiment towards SMEs in this segment.
Read more :
