Tenty IPO

About Tenty IPO

Tenty Limited IPO is an IPO of TBA. It consists of a fresh issue of up to 46,19,200 equity shares. The shares will be allotted on TBA. The credit of shares to the demat account will take place on TBA, and the initiation of refunds will take place on TBA.

Objective of Tenty IPO

• Capital expenditure towards purchase of plant & machinery.
• Working capital requirements.
• General corporate purposes.

Industry Outlook

Currently, the Indian plastic processing industry comprises approximately 30,000 units that use injection moulding, blow moulding, extrusion, and calendering to create a wide range of products. Plastic material is becoming increasingly important across various industries, and per capita consumption is rising quickly.

The plastics industry currently includes about 50,000 businesses, most of which are micro, small, and medium-sized enterprises (MSMEs). These enterprises contribute ₹350,000 crore (US$4,289 crore) to India's economy and employ more than 50,000 people. The country recycles plastic at a rate of 60%, which is higher than that of developed nations. The "Make in India", "Skill India", "Swachh Bharat", and "Digital India" initiatives of the government are increasing plastic production, and by 2027, it is expected that the plastics industry will generate ₹1,000,000 crore(US$12,254 crore) in annual revenue, with 2,00,000 tonnes of exports.

The plastic industry in India market size is estimated at US$4,648 crore in 2024, and is expected to reach US$5,272 crore by 2029, growing at a CAGR of greater than 6.5% during the forecast period (2024-2029).

India's plastic industry is expected to grow in the coming years as demand for plastic products in packaging, automotive, construction, consumer goods, and other sectors continues to increase. Technological developments and growing emphasis on sustainability through development of environmentally friendly plastics are also contributing to the industry's growth. Government initiatives promoting manufacturing and a growing middle class are further contributing to growth of plastic consumption in India.

Company Information

Tenty Limited is engaged in the business of manufacturing writing instruments such as pen bodies, pen caps, ink refills and other plastic products including caps & closures, food containers, bottles & jars, dispensing closures, snap-on lids, cosmetic cream jars, shampoo & conditioner bottles, PET reform fans & fan components, along with embossed, debossed and printed closures as per client specifications from units situated in West Bengal and Assam. In addition to manufacturing, the company also trades in fan components and plastic granules as an additional service to their existing customers. Tenty’s unique expertise spans the entire plastics spectrum, allowing them to provide innovative solutions that are both unbiased and technologically advanced. Their commitment to leveraging world-class technologies and specialist knowledge ensures they deliver not just products but strategic value to their clients. They are dedicated to extending options and opportunities for their clients, helping them to achieve their business goals through cutting-edge solutions.

Risks of Tenty IPO

• The availability of raw material, i.e. plastic granules, is very crucial for their business activities, and any inability to pass on increased prices of key raw materials used for manufacturing their products may affect their profitability.

• They have manufacturing units located in West Bengal and Assam. Any localised social unrest, breakdown of services, or any other natural disaster in and around West Bengal and Assam, or any disruption in production at, or disruption to power sources, or any temporary shutdown of their manufacturing facility, or breakdown or failure of machinery, may have a material adverse effect on their business, results of operations, financial condition and cash flows.

• Any significant decline in the demand for their products, the introduction of alternative technology or consumer habits, or a slowdown of the industry in which they operate may adversely affect their profitability and business prospects.

Anchor Investor Information

The Anchor Investor Bid/ Issue Period shall be one Working Day prior to the Bid/Issue Opening Date.

IPO Registrar and Book Running Lead Managers

Book running lead managers: Gretex Corporate Services Limited

Registrar for the IPO : CB Management Services Private Limited

Business Model

The company earns its revenue through the following sources:

• Manufacturing writing instruments such as pen body, pen caps, ink refills and other plastic products such as Caps & Closures, food containers bottles & jars, dispensing closures, snap-on lids, cosmetic cream jars, shampoo & conditioner bottles, PET reforms, fans & fans components. Along with embossed, debossed and printed closures as per client specifications.

• The company also trades in fan components and plastic granules as an additional service to its existing customers.

Tenty manufactures a wide range of high-technology products in plastics and works as a tier-one supplier to many global giants.

Company Growth Trajectory

Their revenue from operations increased by ₹143.07 crores, from ₹219.18 crores for the financial year that ended on 31 March 2023 to ₹362.25 crores for the financial year that ended on 31 March 2024, representing a growth of 10.01% on account of merger of M/s Dolswap Business Private Limited whose revenue from operations was ₹162.83 crores for FY 2023-24. Their total other income increased by ₹0.32 crores, from ₹1.32 crores for the financial year that ended on 31 March 2023 to ₹1.64 crores for the financial year that ended on 31 March 2024. Their profit/(loss) for the year increased by ₹7.47 crores, from ₹4.34 crores for the financial year that ended on 31 March 2023 to ₹11.81 crores for the financial year ended 31 March 2024, representing a growth of 172.28%.

Company Market Position

The company established their initial factory in the Kasba district of Kolkata, covering an impressive 20,000 square feet. In 2011, they strategically expanded their operations by establishing a new facility in the Poly Park Industrial Area. In 2015, they inaugurated a state-of-the-art manufacturing unit in Sankrail. In 2017, they extended their reach to the northeastern region of India by establishing a new factory in Guwahati. In 2024, they established a new factory in Sankrail.

How To Check Allotment Status of Tenty IPO?

You can check the allotment status of shares either on the website of the National Stock Exchange (NSE) or on the website of the registrar CB Management Services Private Limited. To check the status on the NSE website:

• Visit the NSE website
• Click on “Investor Services” and choose “Application Status Check”
• Choose the issue type — Equity or Debt (Equity in this case)
• Select the Issue Name from the drop-down. The issue name is the company’s name, which is Tenty Limited
• Enter your application number or PAN number
• Check the box which says “I’m not a Robot” and click on “Search” to know the allotment status

Follow these steps to know the allotment status on the registrar’s website:

• Visit the CB Management Services Private Limited website
• Choose “Public Issues” from the “Investor Services” drop-down
• Select Tenty Limited from the drop-down
• Enter your PAN number or Application number
• Click on “Submit” to know the allotment status

How To Apply for Tenty IPO?

• Step 1: Log in to your Kotak Securities Demat account: Log in to your Demat account to access IPO investments. Next, select the current IPO section.
• Step 2: Specify IPO details: Enter the number of lots and the price you wish to apply for.
• Step 3: Enter UPI ID After entering your UPI ID, click submit. This will place your bid with the exchange.
• Step 4: Mandate Notification: Your UPI app will receive a mandate notification to block funds.
• Step 5: Approve Request Your funds will be blocked once you approve the mandate request on your UPI.