Twinkle Papers Launches Rs.27.52 cr. SME IPO

Incorporated in 1995, Twinkle Papers Ltd. is engaged in the manufacturing of corrugated boxes and polymer-based molded packaging products. With nearly three decades of industry experience, the company offers a wide range of packaging and material handling solutions catering to industries such as food, dairy, pharmaceuticals, textiles, construction chemicals, and other industrial sectors. Its manufacturing facility is located at Malerkotla, Punjab, and the company derives a significant portion of its revenue from products such as drums and cans, pallets, and corrugated boxes.

Twinkle Papers is launching its SME IPO on the BSE platform to raise funds for capacity expansion, machinery purchases, debt repayment, and working capital requirements.

Financial Performance:

Profit & Loss statement

Particulars FY25 FY24 FY23
Total Income 83.98 58.75 54.96
EBITDA 9.63 8.47 5.47
Profit Before Tax 4.46 2.80 1.24
PAT 3.47 1.60 0.90
EPS (Rs.) 3.36 1.54 0.87

Twinkle Papers has reported strong growth in its financial performance over the last three years. Total income rose from Rs.54.96 cr. in FY23 to Rs.83.98 cr. in FY25, while PAT surged from Rs.0.90 cr. to Rs.3.47 cr. during the same period. EBITDA also improved steadily, reflecting better operational efficiency and scale.

IPO Details:

Particulars Details
IPO Type Book Built Issue
Exchange BSE SME
IPO Opens 29th June 2026
IPO Closes 1st July 2026
Basis of Allotment 2nd July 2026
Listing Date 6th July 2026
Face Value Rs.10 per share
Price Band Rs.64 – Rs.69 per share
Issue Size Rs.27.52 cr.
Fresh Issue 39.88 lakh shares
Offer for Sale Nil
Market Maker Portion 2 lakh shares
Lot Size 2,000 shares
Minimum Investment Rs.1.38 lakh
Retail Maximum Application 4,000 shares (Rs.2.76 lakh)

Objects of the issue:

The company proposes to utilize the IPO proceeds for:

  • Expansion of the existing manufacturing facility.
  • Purchase of additional machinery and equipment.
  • Repayment of certain borrowings.
  • Funding working capital requirements.
  • General corporate purpose

Key Strengths

  • Nearly three decades of experience in the packaging industry.
  • Diversified portfolio of packaging and material handling products.
  • Established relationships across multiple end-user industries.
  • Consistent growth in revenue and profitability.
  • Capacity expansion plans supported through IPO proceeds.
  • Strategic manufacturing location in Punjab catering to industrial customers

Risk Factors:

  • Around 90% of revenue is generated from three key product categories.
  • High dependence on the domestic market, with Punjab contributing a major share of revenue.
  • Customer concentration remains relatively high, with the top ten customers accounting for a significant portion of sales.
  • The company faces competition from both organized and unorganized players in the packaging industry.

Conclusion:

Twinkle Papers Ltd. operates in the growing packaging solutions segment and has demonstrated a steady improvement in its financial performance over the last three years. The proposed IPO is aimed at expanding manufacturing capabilities, strengthening operations, and supporting future growth. With an established presence in the packaging industry, improving profitability, and expansion plans underway, the company appears well-positioned to benefit from rising demand for industrial and packaging products. However, investors should also consider customer concentration and regional dependence risks while evaluating the issue.

MT | Money Times

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