Sonalis Consumer Products Limited

As per financial performance, Sonalis Consumer Products Limited has posted total income/net profits of Rs 4.2 Cr / Rs 0.68 Cr (9M FY23), So company has very limited financial data. Issue is priced at a P/BV of 0.95 as per NAV of Rs 31.64/- post issue. As per annualised FY23 earnings on fully diluted equity post issue, asking price is at P/E of around 6.57. As per RHP, comparison between listed peers are shown in above table. On BRLM's front, Expert Global Consultants Private Limited is associated with this SME IPO and handled two SME IPOs in last 3 years.  Expert Global Consultants Private Limited : This is 3rd IPO from this BRLM. From last 2 IPOs, one opened below issue price and remaining opened above issue price or at par on the day of listing. As of now, from last 2 IPOs, all are trading above issue price or at par. ( As on 05.06.23 ) As Per financials, Sonalis Consumer Products Limited has very limited financial data, RoNW is 19.6% and P/E is 6.57 as per annualised FY23 earnings. BRLM has handled only two IPOs. With this much little financial data, its not possible to analyse any company. So we are giving AVOID rating to this SME IPO, readers must consult a qualified financial advisor prior to making any actual investment decisions.

• 1 Sonali Nilesh Kocharekar
• 2 Smita Shashikant Shah