Abril Paper Tech IPO to Raise ₹13.42 Crore with 27.56% Equity Dilution Ahead of BSE SME Listing
By Shishta Dutta | Updated at: Jan 12, 2026 02:47 PM IST
Mumbai, 01 July 2025: Abril Paper Tech Limited has filed its Draft Prospectus with the BSE SME platform, proposing a public issue of 22,00,000 equity shares at a fixed price of ₹61 per share. The offering aims to raise ₹13.42 crore and marks the company’s debut on public markets, with a 27.56% dilution in post-issue equity shareholding.
Fixed Price Public Issue to Fund Growth and Reduce Promoter Control
The IPO consists entirely of a fresh issue with no offer for sale component. The equity capital will rise post-listing, leading to a notable reduction in promoter holding while increasing public ownership.
| Particulars | Pre-Issue | Post-Issue |
|---|---|---|
| No. of Equity Shares | 57,81,840 | 79,81,840 |
| Promoter Holding (%) | 78.48% | 56.85% |
| Public Holding (%) | 14.80% | 38.29% |
| Market Maker Reservation | — | 1.40% |
B.N. Rathi Securities Ltd will act as market maker, underwriting 1,12,000 shares worth ₹68.32 lakh, with a three-year lock-in commitment.
Proceeds to Be Deployed Towards Machinery, Working Capital and Corporate Needs
Net proceeds of ₹1,247.00 lakh will be strategically invested to scale up operations and improve liquidity.
| Use of Proceeds | Amount (₹ in lakhs) |
|---|---|
| Purchase of machinery | 540.00 |
| Working capital requirements | 650.00 |
| General corporate purposes | 57.00 |
| Total (Net Proceeds) | 1,247.00 |
Issue-related expenses are estimated at ₹95.00 lakh, representing 7.08% of the total issue size.
Strong Revenue Jump in FY25 Reflects Business Expansion and Product Strategy
Abril Paper Tech saw a sharp surge in operating revenue in FY25, following its expansion into sublimation paper trading and manufacturing. FY25 marks the company’s first full-scale year of business activity.
| FY / Period | Revenue from Ops (₹ lakh) | Net Profit (₹ lakh) | EBITDA Margin | PAT Margin | RoNW |
|---|---|---|---|---|---|
| FY 2024-25 | 6,091.08 | 141.29 | 3.30% | 2.32% | 13.43% |
| FY 2023-24 | 682.50 | 42.78 | 9.00% | 6.27% | 17.01% |
This financial performance highlights the company’s ability to scale and diversify within a short period.
Promoter Shareholding to Decrease but Long-Term Commitment Remains
Following the IPO, the promoter stake will reduce from 78.48% to 56.85%. However, SEBI regulations require that 45,37,720 promoter-held shares remain locked in for three years.
| Name | Pre-Issue Holding (%) | Post-Issue Holding (%) |
|---|---|---|
| Vipul Dobariya | 39.69 | 28.75 |
| Ashvinbhai Lathiya | 21.10 | 15.28 |
| Prince Lathiya | 17.69 | 12.82 |
This ensures continued promoter involvement and stability after listing.
SEBI-Compliant Offering Awaits BSE SME Approval for Planned Q3 FY26 Listing
The IPO adheres to SEBI ICDR Regulations under Chapter IX. Abril Paper Tech has applied for listing on the BSE SME platform, with Interactive Financial Services Limited serving as the sole lead manager and KFin Technologies as registrar. There are no ESOPs, warrants, or convertible instruments outstanding, and in-principle approval from BSE is pending. Subject to regulatory clearance and market conditions, the listing is expected in Q3 FY26.
Focused on Sublimation Paper, Company Eyes Nationwide Market Through Expansion
Headquartered in Surat, Abril Paper Tech manufactures sublimation heat transfer paper in GSM variants of 30, 65, 75, and 90. Its products serve the apparel, home textile, and printing sectors. The company operates two coating lines with an annual installed capacity of 600 lakh metres. Proceeds from the IPO will help the company expand production to meet increasing demand and enhance product customisation capabilities across India.
REF: https://www.bsesme.com/download/362446/SME_IPO InPrinciple/DRHP_20250630220019.pdf
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