Utkal Speciality Industries IPO: Check GMP, price band, subscription and other details

The IPO of Utkal Speciality Industries India opened for subscription on Wednesday, seeking to raise Rs 34.5 crore through a fresh issue of shares. The SME issue, which will close on June 12, is priced in the range of Rs 62-66 per share and will be listed on the NSE SME platform. The company has fixed the lot size at 2,000 shares, requiring a minimum investment of Rs 2.64 lakh for retail investors at the upper end of the price band.

Despite the issue opening for subscription, the stock is currently commanding zero grey market premium (GMP), indicating a muted listing expectation in the unofficial market. At the current GMP, the shares are expected to list around the issue price of Rs 66, although grey market trends can change significantly before listing.

The IPO consists entirely of a fresh issue of 52.34 lakh shares, with no offer-for-sale component. Following the issue, the company’s shareholding will increase from 1.43 crore shares to 1.95 crore shares.

The company plans to utilise the proceeds primarily for expansion and debt reduction. About Rs 11 crore will be used towards repayment or prepayment of borrowings, Rs 9.6 crore will fund machinery purchases for a new manufacturing facility in Khurda, Odisha, while Rs 5.3 crore has been earmarked for working capital requirements.

Incorporated in 2015, Utkal Speciality Industries manufactures paper-based products and packaging materials catering to a diverse customer base that includes manufacturers and retailers. The company offers paper-based alternatives for packaging and consumer applications amid growing demand for sustainable products.

The company operates an integrated manufacturing facility and cites its strategic location on the Kolkata-Chennai highway, diversified product portfolio and lower freight costs due to proximity to southern suppliers as key competitive advantages.

Financially, the company has reported steady growth in profitability. For FY25, revenue stood at Rs 50.3 crore, while net profit rose to Rs 6.68 crore from Rs 3.24 crore a year earlier. EBITDA increased to Rs 9.22 crore from Rs 6.19 crore during the same period.For the nine months ended December 2025, the company reported revenue of Rs 40.9 crore and profit after tax of Rs 5.48 crore.

The IPO allocation structure is tilted towards retail investors, who have been allocated 59.4% of the net issue. Non-institutional investors have been allotted 39.6%, while qualified institutional buyers have been reserved only 1% of the issue.

Affinity Global Capital Market is the book-running lead manager to the issue, while Cameo Corporate Services is acting as registrar. Giriraj Stock Broking is the market maker.

The allotment is expected to be finalised on June 15, with shares likely to be credited on June 16. The stock is scheduled to make its market debut on June 17.

With the GMP currently at zero, investors will closely watch subscription levels over the next three days to gauge whether demand improves ahead of listing.

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