Aequs IPO Oversubscribed 264% on Opening Day as GMP Hits Rs. 44; Should You Apply Before the Deadline?

The Aequs IPO made a strong debut on the primary market with massive investor interest on Day 1. By the end of the first day of bidding, the public issue was oversubscribed 2.64 times, pushing the Aequs IPO GMP sharply higher to Rs. 44.

The Aequs IPO opened for bidding on December 3, and will remain open until December 5th. The allotment is expected on December 8, and the company is scheduled to list on both BSE and NSE on December 10th. The price band for the issue is Rs. 118-124 per share, with a minimum lot size of 120 shares, making it accessible for retail investors.

Aequs IPO GMP, Estimated Listing Price & Expected Return

As of the latest update, the Aequs IPO GMP today stands at Rs. 44. At the upper band of Rs. 124, the estimated listing price works out to approximately Rs. 168, indicating a potential 35.48% listing gain if grey market trends sustain.

The retail investors subscribed it 9.45 times while the NIIs subscribed it 2.35 times and the QIBs participation was seen at 0.49 times in day 1 and the demand is expected to strengthen on Day 2 and Day 3.

Aequs IPO: Issue Structure, Financial Valuation & Analyst View; Apply or Not?

The Aequs ipo is a book-built issue of Rs. 921.81 crore, comprising a fresh issue of Rs. 670 crore and an offer for sale worth Rs. 251.81 crore According to analysts at Anand Rathi, the company's valuation at the upper price band stands at 8.9x FY25 P/S, implying a post-issue market cap of Rs. 83,161 million and an EV/EBITDA of 122.9x.
The brokerage notes that Aequs aims to Increase wallet share among existing aerospace clients by expanding its aerospace component manufacturing capabilities

While the consumer electronics segment offers strong upside potential, analysts emphasise that flawless execution will be crucial for long-term profitability. Considering the company's fundamentals and premium valuations, Anand Rathi has rated the issue "Subscribe for Long Term."

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