Srigee DLM Limited, a plastic injection molding and polymer compounding specialist, is set to launch its ₹16.98-crore SME IPO on May 5, 2025, with a price band of ₹94 – ₹99 per share. The company designs and manufactures precision components for consumer durables, automotive, and electronics sectors, leveraging in-house R&D and partnerships with OEMs like Symphony Limited. Financials show steady growth, with FY24 revenue at ₹54.65 crore and PAT at ₹2.97 crore, reflecting a 5.46% margin. Funds will fuel capacity expansion and working capital needs.
₹33
₹99
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Expert Opinions
Srigee DLM IPO enters a market cautiously optimistic about India’s manufacturing sector, driven by “Make in India” initiatives and rising demand for precision plastic components. Srigee DLM’s strengths include its specialization in injection molding for consumer durables and electronics, in-house R&D capabilities, and partnerships with OEMs like Symphony Limited. Financials show steady growth, with FY24 revenue at ₹54.65 crore and PAT at ₹2.97 crore (5.46% margin), supported by an ROE of 24.49% and ROCE of 25.80%, reflecting efficient capital deployment.
However, risks like raw material price volatility, client concentration, and regulatory compliance in the plastic manufacturing sector pose challenges. The FY24 net asset value (NAV) of ₹34.18, suggests a premium valuation relative to book value, demanding scrutiny of scalability. Long-term prospects hinge on capacity expansion and leveraging India’s manufacturing push, but success depends on mitigating supply-chain risks and diversifying clientele, making it suitable for medium-risk investors comfortable with sector cyclicality and execution uncertainties.
Investor Considerations
Srigee DLM IPO has demonstrated consistent growth in the OEM sector, with a revenue of ₹54.65 crore and a profit after tax of ₹2.97 crore. The company maintains a low debt-to-equity ratio of 0.15, reflecting prudent financial management. Operating within the plastic and polymer industry, Srigee DLM caters to diverse sectors, including automotive and home appliances, indicating a broad market presence.
The IPO valuation, with a price-to-book value of 2.90 and a PAT margin of 5.69%, suggests a reasonable entry point for investors. The company’s expansion into mobile assembly and electronics sub-assembly showcases its adaptability and potential for future growth. However, risks include reliance on key clients and exposure to raw material price fluctuations. For investors, Srigee DLM offers a balanced opportunity with moderate growth prospects. While short-term gains may be limited, the company’s strategic initiatives position it well for long-term value creation.
| Date | GMP | Trend |
|---|---|---|
| 10 May 2025 11.10 | ₹33 | Up |
| 09 May 2025 15.46 | ₹25 | Down |
| 08 May 2025 10.55 | ₹33 | Up |
| 07 May 2025 11.16 | ₹30 | --- |
| 06 May 2025 11.44 | ₹30 | Up |
| 05 May 2025 18.26 | ₹25 | Up |
| 04 May 2025 12.06 | ₹9.9 | --- |
| 03 May 2025 15.10 | ₹9.9 | --- |
| 02 May 2025 11.04 | ₹9.9 | --- |
| 01 May 2025 11.21 | ₹9.9 | --- |
| 30 Apr 2025 18.58 | ₹9.9 | Up |
| 29 Apr 2025 10.14 | ₹00 | --- |
| 28 Apr 2025 20.49 | ₹00 | --- |
FAQs
The Grey Market Premium showed poor accuracy in predicting Srigee DLM’s listing performance. While the GMP of ₹33 predicted a positive premium of 33.33% over the issue price, the stock delivered a much stronger gain of 90%. With a substantial prediction error of 42.50%, the GMP significantly underestimated the magnitude of gains, though it correctly predicted the positive listing direction, demonstrating its limitations as a reliable price predictor in this case.
Srigee DLM IPO Current GMP is ₹33.
Srigee DLM IPO Expected Returns is 33.33%.
Srigee DLM IPO estimated listing price is ₹132.