Aeroflex Industries IPO Witnesses Impressive 15.55 Times Subscription on Day 2 of Bidding

23 Aug 2023 , 03:07 PM

Aeroflex Industries, the manufacturer of flexible flow solution products, is experiencing a wave of investor confidence, evident from the overwhelming response to its public issue. The offering garnered bids for a substantial 36.10 crore equity shares, surpassing the offer size of 2.32 crores. This remarkable demand translates into an impressive 15.55 times subscription for the IPO on the second day of bidding by 3.00 PM, which took place on August 23. (Apply for the IPO here)

All investor categories have showcased significant interest in the IPO, with high net-worth individuals subscribing at a rate of 34.81 times the allocated quota, while retail investors displayed a robust demand of 14.87 times their allotted portion.

Promoter Sat Industries’ shareholders have placed bids for 7.3 times the reserved portion, which corresponds to 5 lakh shares of the overall offer size. In the segment designated for qualified institutional buyers, which constitutes 50% of the IPO size, the subscription rate stood at 2.22 times.

The Mumbai-based company has specifically reserved 15% of the issue portion for high net-worth individuals, with the remaining 35% allocated to retail investors.

On its debut day, August 22, the Rs 351-crore public issue achieved a subscription rate of 6.72 times.

The offer is priced within a band of Rs 102 to Rs 108 per share. The post-issue market capitalization of the company is projected to reach Rs 1,400 crore at the higher price band.

Notably, the company holds a unique position in the listed Indian space, without comparable peers. This pioneering stance might contribute to the robust response witnessed in the IPO.