Atmastco Ltd, an engineering, procurement, and construction company, started its initial public offering (IPO) on Thursday (February 15). On the first day of bidding on Thursday, the SME IPO, valued at Rs 56.25 crore, had garnered a subscription rate of 27 per cent, with bids received for 18,59,200 shares against the total offer of 69,39,200 shares. Investors have until February 20 to participate in the IPO.
In terms of subscription rates, the retail category saw a 0.50 times subscription, while the non-institutional quota received a 0.04 times subscription. The allotment of shares for the Atmastco IPO is scheduled for February 21, with listing on both the NSE SME platform slated for February 23.
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Market observers have noted that unlisted shares of Atmastco Ltd are trading at a Rs 30 premium in the grey market compared to the issue price. This Rs 30 grey market premium suggests an anticipated 38.96 per cent listing gain from the public issue. However, it’s important to note that grey market premiums are subject to change based on market sentiments.
The Atmastco IPO consists of a fresh issue of 54.8 lakh equity shares and an Offer For Sale (OFS) of 18.25 lakh shares, both priced at Rs 77 per share. The company aims to raise Rs 42.2 crore through the fresh issue and Rs 14.06 crore via OFS. The funds raised from the fresh issue will primarily go towards funding working capital requirements and partially towards loan repayment and general corporate purposes.
Investors interested in participating in the IPO can apply for a minimum of 1,600 equity shares and in multiples of 1,600 shares thereafter. Affinity Global Capital Market Private Ltd is serving as the sole lead manager for the public issue.
Vibhor Steel Tubes
Meanwhile, the IPO of steel pipes maker Vibhor Steel Tubes was subscribed by a whopping 101.30 times on the second day of bidding on Wednesday. The IPO received bids for 36,39,20,733 shares against 35,92,445 shares on offer, garnering a 101.30 times subscription, as per NSE data.
The portion for non-institutional investors subscribed 252.07 times, while the quota for retail individual investors (RIIs) received 90.11 times subscription. The category for qualified institutional buyers (QIBs) subscribed 8.52 times.
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