Aeron Composite, a top manufacturer in the aerospace and defense industry, has received a strong response for its initial public offering (IPO), which commenced on August 28 and is set to conclude on August 30. The company’s shares are priced between ₹121 and ₹125, and the IPO has seen enthusiastic participation from various investor groups.
The IPO was fully subscribed on the first day of bidding, indicating high investor interest. The subscription details are as follows:
Qualified Institutional Buyers (QIBs) were oversubscribed nearly 2 times, Non-Institutional Investors (NIIs) were subscribed 1.03 times, and Retail Individual Investors (RIIs) were oversubscribed 2.49 times. Overall, the IPO was 2.03 times subscribed, demonstrating robust market confidence.
The grey market premium (GMP) for the Aeron Composite IPO stands at ₹0. This means that shares are trading at their issue price of ₹125, with no extra premium or discount. A stable GMP indicates that the market views the IPO as fairly priced without significant speculative activity.
Aeron Composite is recognized for its expertise in manufacturing aerospace and defense components. The company plans to use the IPO funds for general corporate purposes and to finance a new production unit. This expansion is expected to enhance the company’s production capacity and market position.
The shares are anticipated to be listed on the stock exchanges once the IPO closes. In case of oversubscription, shares will be allotted on a proportionate basis, and investors will be able to trade them after the listing.
Conducting comprehensive research before investing in an IPO or any financial product helps mitigate risks and increase the chances of making a sound investment decision.
