EMS Limited IPO Makes Strong Market Debut, Shares List at 33% Premium

21 Sep 2023 , 09:58 AM

EMS Limited, an infrastructure firm specializing in sewerage solutions, made a remarkable stock market debut with its initial public offering (IPO) listing at a substantial premium. The company’s shares opened on the NSE at Rs 282.05, reflecting a premium of 33.67% over the IPO price of Rs 211. On the BSE, they began trading at Rs 281.55, representing a premium of 33.44%.

The IPO of EMS Limited received an overwhelming response from investors, with a subscription rate of 75.28 times. Investors purchased a total of 81.21 crore equity shares, surpassing the offering size of 1.07 crore shares. Qualified institutional buyers displayed significant interest, subscribing to 153.02 times their allocated quota, while high-net-worth individuals subscribed at 82.32 times. Retail investors also participated actively, subscribing 29.79 times their allotted quota.

The company had set an IPO price band of Rs 200-211. Through the public issue, which opened on September 8, EMS Limited successfully raised Rs 321.24 crore.

EMS Limited specializes in water and wastewater management and has a strong emphasis on government projects. The company boasts a proven track record of successful project execution and maintains a robust order book.

According to the IPO draft, as of July 31, 2023, the company was actively operating and maintaining 18 projects, which included Wastewater Scheme Projects (WWSPs), Water Supply Scheme Projects (WSSPs), Sewage Treatment Plants (STPs), and Hybrid Annuity Model (HAM) projects, with a combined value of Rs 1,744.9 crore. Additionally, they were managing 5 O&M projects amounting to Rs 99.3 crore.