Ashish Kacholia-backed Aeroflex Industries IPO Oversubscribed By 97.11x; Check GMP, Allotment Status Details

Aeroflex Industries IPO: The Rs 351 crore initial public offer (IPO) of Aeroflex Industries received robust demand from investors as the issue oversubscribed by 97.11 times. Qualified institutiona buyers (QIBs) were biggest contributors! The company's proposed equity shares in the IPO will be listed on exchanges BSE and NSE. Ace investors like Ashish Kacholia and Jagdish Master have picked up a stake in the company ahead of the IPO.

As per the regulatory data, the IPO recorded 2,25,46,31,730 bids compared to the offered size of 2,32,17,667 equity shares, registering an oversubscription of 97.11 times. The portion for QIBs oversubscribed by 194.73 times, while the non-institutional investors (NII) category subscribed by 126.13 times. The portion reserved for retail individual investors (RII) subscribed by 28.52 times.

The IPO opened on August 22, and closed on August 24 at a price band of Rs 102 to Rs 108 per equity share. The bid lot size was 130 Equity Shares and in multiples thereof.

Pantomath Capital Advisors is the book-running lead manager of the IPO, while Link Intime India is the registrar.

After the IPO, the basis of allotment of equity shares is likely to be carried on August 29, while refunds are expected to be initiated on August 30. As per Chittorgarh data, the equity shares will likely credit in investors demat accounts by August 31. Accordingly, the listing is schedule on August 31 as well.

On August 24, the grey market premium (GMP) of Aeroflex stood at Rs 70 per share. As per TopShareBrokers, this suggests a 64.81% premium listing to Rs 178 per share (upper price band of Rs 108 + Rs 70 per share).

Aeroflex plans to utilise the proceeds of the fresh issue for repayment of certain outstanding secured borrowing, funding of working capital, and general corporate purposes.

Aeroflex manufacturers and supplies environment-friendly metallic flexible flow solution products including braided hoses, unbraided hoses, solar hoses, gas hoses, vacuum hoses, braiding, interlock hoses, hose assemblies, lancing hose assemblies, jacketed hose assemblies, exhaust connectors, exhaust gas recirculation (EGR) tubes, expansion bellows, compensators and related end fittings collectively known as flexible flow solutions catering to global as well as domestic markets.

Among key strategies, Aeroflex plans to expand its portfolio of solutions to capitalize on large opportunities across industrial segments. Further, it is looking to scale up in-house design and R&D efforts.

Further, the company plans to expand its operations in geographies such as the USA, Europe, Far East Region and Middle East and North Africa (MENA) region by opening up of own strategic delivery locations in these regions, expanding its share of supplied products, as well as by diversifying its portfolio.