The shares of HM Electro Mech made a great start in the stock market on Friday, 31 January. The company’s shares were listed at ₹ 81 on BSE SME, which is at a premium of 8 percent from the issue price of ₹ 75.
IPO gets strong response
The ₹ 27.74 crore IPO of HM Electro Mech was opened for subscription from January 24 to January 28. The price band of this SME IPO was fixed at ₹ 71-75 per share. The IPO received tremendous demand during a three -day bidding and subscribed to 91.75 times. A total of 22.57 crore shares were bidding, while the offer had only 24.60 lakh shares.
The reserve post for retail investors was filled 95.55 times, while the category of non-institutional investors (NII) found 183.65 times subscription. At the same time, 16.01 times the bidding took place in the qualified Institutional Buyers (QIB) category.
IPO of HM Electro Mech: Complete information
The IPO of the HM Electro Mech was a fresh issue of 36.99 lakh shares completely, which included no sale offer for cell (offs) components. Retail investors could apply in this issue with a minimum lot of lot size of 1600 shares, for which investment of at least ₹ 1.2 lakh was required.
The issue was reserved for 20% of qualified institutional bidder (QIB), while non-institutional investors (NIIs) were allocated up to 15%. Retail investors were allocated up to 35% of the net issue.
Prior to IPO, the company raised ₹ 7.9 crore from anchor investors on 23 January 2024.
The company will use the amount raised from the fresh issue to meet the needs of its working capital and for general corporate purposes.
Beeline Capital Advisors PVT Ltd has been appointed as Book Running Lead Manager for HM Electro Make IPO, while the Registrar of this issue is Cameo Corporate Services Limited. Along with this, the market maker Spread X Securities is private limited for this IPO.