Snehaa Organics Ltd., a Telangana-based solvent recovery and recycling company, has launched its SME IPO to raise ₹32.68 crore. Backed by strong financial growth, attractive valuations, and positive grey market sentiment, this IPO is drawing strong retail interest.
IPO Details
- Issue Type: SME IPO (Fresh Issue)
- Issue Size: ₹32.68 crore (26.79 lakh shares)
- Price Band: ₹115 – ₹122 per share
- Lot Size: 1,000 shares
- Minimum Retail Application: 2 lots (2,000 shares = ₹2.44 lakh)
- Exchange: NSE SME
Reservation Structure
- Retail Investors: ~45.17%
- NIIs: ~45.13%
- QIBs: ~4.7%
Important Dates
- Opening Date: August 29, 2025
- Closing Date: September 2, 2025
- Allotment Date: September 3, 2025
- Refund & Demat Credit: September 4, 2025
- Listing Date: September 5, 2025
Company Overview
Founded in 2017, Snehaa Organics Ltd. specializes in solvent recovery, purification, and trading. Its client base includes pharmaceutical, agrochemical, and specialty chemical companies.
Notably, it is the first solvent recycling company to launch an IPO in India, giving it a unique competitive edge.
Financial Highlights
| Metric | FY24 (₹ Cr) | FY25 (₹ Cr) |
|---|---|---|
| Revenue | 23.7 | 26.2 |
| Net Profit (PAT) | 3.66 | 7.34 |
| EBITDA | 5.92 | 11.56 |
| PAT Margin | 15.4% | ~28% |
| EPS (FY25) | – | ₹9.78 |
| RoE | – | ~49.7% |
| RoCE | – | ~50.4% |
Net profit doubled in one year, reflecting strong operational efficiency and profitability.
Valuation & Ratios
- P/E: 11.99× (FY25 earnings)
- Industry Avg P/E: ~50×
- P/BV: 0.70×
- EBITDA Margin: ~43.5%
- PAT Margin: ~28%
At current pricing, Snehaa Organics appears undervalued compared to peers in the chemicals industry.
Utilization of IPO Proceeds
- Working Capital: ₹23.94 crore
- Loan Repayment: ₹3.50 crore
- General Corporate Purposes
Funds will strengthen its balance sheet and support direct raw material procurement.
Strengths
- Doubling of profits in one year
- High RoE and RoCE (~50%)
- First-mover advantage in solvent recovery segment
- Strong B2B client base
- Experienced promoters
Risks
- Reliance on a few major customers
- Business concentration in Telangana
- Regulatory and environmental compliance risks
- Related-party transactions
Analyst Views
- Khandwala Securities: “Subscribe” – attractive valuation, strong margins.
- Avinash Mentor Research: Highlights industrial relations and operational scale.
- Bizz Buzz: Notes long-term value and unique position as India’s first solvent recycling IPO.
Conclusion
The Snehaa Organics Ltd. IPO combines:
- Strong growth in financials
- Attractive valuation vs. peers
- Positive GMP and healthy subscription demand
- Niche industry leadership
Verdict: Suitable for both listing gains and long-term investors looking at the specialty chemicals ecosystem.
Subscription
| Investor | 29 Aug 2025 | 01 Sep 2025 | 02 Sep 2025 |
|---|---|---|---|
| Anchor | |||
| QIB | 1 | ||
| Non-Institutional | 0.93 | ||
| BNII | 0.97 | ||
| SNII | 0.84 | ||
| Retail | 2.59 | ||
| Total | 1.72 |
GMP Trend:
| Date | GMP |
|---|---|
| 29 Aug 2025 | ₹20(16.39%) |
It should be noted that IPO GMP is subject to extreme volatility, so an investment decision based solely on Patel Retail IPO GMP will prove risky. Therefore, before to investing, consider all factors and make the right investment decision whether to invest in Patel Retail IPO or not.
How to Check IPO Allotment Status:
Skyline Financial Ser.
To check IPO allotment status, follow the steps below:
- Click on the below allotment status check button.
- Select Company Name.
- Enter your PAN Number, Application Number or DP Client ID (Anyone).
- Click on Search.
NSE Website
To check IPO allotment status, follow the steps below:
- Click on the below allotment status check button.
- Select Company Name.
- Enter your PAN Number, Application Number or DP Client ID (Anyone).
- Click on Search.
BSE Webiste
To check IPO allotment status, follow the steps below:
- Click on the below allotment status check button.
- Select Company Name.
- Enter your PAN Number, Application Number or DP Client ID (Anyone).
- Click on Search.
📌 Stock Market Disclaimer
- Disclaimer: This post is for informational and educational purposes only and does not constitute financial advice or a recommendation to buy/sell any stock or share. Investing in the stock market involves risk. Past performance is not indicative of future results. Always conduct your own research or consult a licensed financial advisor before making investment decisions.
- The information provided on this platform is for educational and informational purposes only. It should not be considered as investment advice, stock recommendations, or financial guidance.
- ⚠️ Stock Market Investments
- Investing in equities, derivatives, mutual funds, and other financial instruments involves market risks, volatility, and the possibility of capital loss.
- Past performance of stocks or indices is not indicative of future returns.
- Always conduct your own research or consult a SEBI-registered financial advisor before making investment decisions.
- ⚠️ IPO (Initial Public Offerings)
- IPO details, issue size, subscription data, and allotment status shared here are based on publicly available information from company filings, stock exchanges, and merchant bankers.
- Investing in IPOs carries risks including listing volatility, business uncertainties, and sector performance dependency.
- Neither acceptance of applications nor allotment guarantees profits. Investors should evaluate their risk appetite before subscribing.
- ⚠️ GMP (Grey Market Premium)
- Grey Market Premium (GMP) is an unofficial and unregulated indicator of expected IPO listing price.
- GMP data is collected from market observers and informal trading circles; it does not have any legal or SEBI recognition.
- GMP values are highly speculative and may differ significantly from actual listing prices. Investors should not rely solely on GMP while taking investment decisions.
- ✅ General Advisory
- We do not provide any buy/sell/hold recommendations.
- Readers and investors are solely responsible for their investment actions and decisions.
- This platform, its authors, and affiliates are not liable for any direct or indirect financial loss arising from the use of this information.
- 🔒 Always invest responsibly and diversify your portfolio.
Open Demat Account
by Mirae Asset (m,Stock)
