Emmbi Polyarns sees dismal debut

Settles at Rs 28.65 on BSE, at a discount of 36.33% to the initial public offer price of Rs 45

Emmbi Polyarns saw a dismal debut today. The stock settled at Rs 28.65 on BSE, at a discount of 36.33% to the initial public offer price of Rs 45

Earlier today, the stock listed at Rs 45.50 on the BSE, a premium of 1.11% over the issue price of Rs 45. The stock hit a high of Rs 48.35 and low of Rs 26.50

The counter clocked high volume of 5.71 crore shares on BSE.

Emmbi Polyarns had set the issue price at Rs 45, at higher end of price band of Rs 40-45 per equity share. The company's initial public offering (IPO) of 1.64 crore shares remained open for bidding between 1 to 3 February 2010. The IPO was subscribed 1.2 times.

The company plans to utilise the IPO funds to expand the present facility to increase the present installed capacity from 5,000 metric tonne per annum (mtpa) to 17,800 mtpa and for working capital requirements.

Mumbai-based Emmbi Polyarns mainly focuses on packaging solutions. It is engaged in the manufacture and sale of jumbo bags and woven sacks and various woven polymer-based products such as container liners, protective irrigation system, canal liners, flexi tanks, car covers etc.