Akash Jha
Despite subdued equity markets, the primary market remained buoyant as three IPO launches and two listings are scheduled for the coming week. On July 20, the Nifty50 fell approximately 3.4% from its record high of 19,992.
The three initial public offerings (IPOs) commencing the following week will total Rs 665 crore, including two from the mainboard segment.
Aeroflex Industries will launch its initial public offering on August 22 with a price range of Rs 102-108 per share.
The Mumbai-based manufacturer of stainless steel flexible hose plans to raise Rs 351 crore through a public issue, which will consist of a fresh issuance of shares worth Rs 162 crore and an offer-for-sale (OFS) of up to 1.75 crore equity shares by promoter Sat Industries.
The funds raised through the portion of the fresh issue will be used for debt repayment, working capital requirements, and general corporate purposes. The promotion will end on August 24.
The second IPO will be issued by Vishnu Prakash R. Punglia’s infrastructure company. On August 24, the Rajasthan-based EPC company will begin accepting subscriptions at a price range of Rs 94-99 per share.
The offer consists solely of a fresh issue of 3,12,000,000 equity shares, and the company will use the proceeds primarily for capital expenditure requirements for the purchase of equipment/machinery in the amount of Rs 62.18 crore, and working capital requirements of Rs 150 crore, in addition to general corporate purposes.
The third initial public offering will be in the SME segment. Sungarner Energies, a provider of power solutions, will open its IPO for subscription on April 21-23 at an offer price of Rs 8 per share. This issue has a fixed price.
The corporation plans to raise Rs 5.31 crore through the sale of 6,400,000 equity shares. The funds, excluding issue expenses, will be used for general corporate purposes and working capital needs.
Pyramid Technoplast, a manufacturer of polymer-based moulded products, will close its Rs 153 crore IPO on August 22. The initial public offering was subscribed 1.61 times on April 18.
In the SME market, Shoora Designs will conclude its initial public offering on August 21, which has been over 10 times subscribed.
The final day for Crop Life Science and Bondada Engineering’s public offerings will be on August 22. To date, approximately 80 percent and 70 percent of these offerings have been purchased.
On the listing front, TVS Supply Chain Solutions, a subsidiary of TVS Mobility Group, will debut on the BSE and NSE on August 23, and botanical products manufacturer Shelter Pharma will list its shares on the BSE SME on the same day, in accordance with their IPO schedules. Analysts speaking on the condition of anonymity revealed that both were receiving a muted response on the grey market prior to their IPOs. The grey market is an unofficial market where IPO shares are traded prior to listing.
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