The Initial Public Offering (IPO) of Lakshya Powertech Limited, a well-known company in the power sector, opened for subscription on Wednesday, October 16. The IPO has been a hot topic in the market, attracting significant interest from investors. This SME (Small and Medium Enterprises) IPO aims to raise ₹49.91 crore through the sale of 27.73 lakh shares. Here’s a breakdown of what’s happening with Lakshya Powertech’s IPO and why it’s attracting so much attention.
Lakshya Powertech IPO Subscription Status
There has been strong interest from investors in Lakshya Powertech’s IPO. The overall subscription has already exceeded expectations. The retail portion of the IPO is particularly popular, being oversubscribed by more than 34 times. The segment reserved for non-institutional investors has also seen significant demand, with subscriptions over 17 times. The high subscription rates are a clear indication of investor confidence in the company and its potential to generate good returns.
The price band for Lakshya Powertech’s IPO is set between ₹171 and ₹180 per equity share. The Grey Market Premium (GMP), which reflects the demand for shares before they are officially listed on the stock exchange, has been quoted at ₹169. This suggests that shares of the company could be listed at ₹349, representing a premium of about 93.89%. The strong GMP indicates a high level of interest and that investors are willing to pay a premium for the shares.
Lakshya Powertech IPO Details
- IPO Size: Lakshya Powertech is looking to raise ₹49.91 crore through this IPO. The funds will be used to repay borrowings, meet working capital needs, and for general corporate purposes.
- Subscription Dates: The IPO opened on Wednesday, October 16, and will close on Friday, October 18.
- Lot Size: Investors can apply for the IPO in lots, with each lot consisting of 800 shares.
- Reservation: The IPO offers 5,24,800 shares to qualified institutional buyers (QIB), 3,96,000 shares to non-institutional investors, and 8,96,000 shares to retail investors.
Lakshya Powertech IPO Allotment and Listing Dates
- Allotment Date: The final share allotment is expected to be completed by Monday, October 21.
- Refund Date: Investors who do not receive shares are likely to get their refunds by Tuesday, October 22.
- Demat Account Credit: Successful bidders should have the shares credited to their demat accounts by Tuesday, October 22.
- Listing Date: Lakshya Powertech’s shares are expected to be listed on the NSE SME platform on Wednesday, October 23.
Lakshya Powertech operates in the growing power sector, which has seen increased demand for energy solutions in recent years. The company has a strong track record of project execution and a diversified portfolio of power-related projects. These solid fundamentals, combined with the overall growth in the power industry, make the company an attractive investment opportunity.
Additionally, the high Grey Market Premium suggests that investors expect the company to perform well once its shares are listed on the stock exchange. The company’s plan to use the funds from the IPO for debt repayment and the expansion of its operations has also boosted investor confidence.
Lakshya Powertech’s IPO has generated strong demand, particularly from retail investors. With a high GMP and strong subscription rates, investors are optimistic about the company’s future. The company’s solid fundamentals and the growing need for power solutions have driven interest in this IPO. As the subscription period progresses, investors are eagerly waiting for the allotment results and the listing of the company’s shares on the NSE SME platform.
For those considering investing in Lakshya Powertech, this IPO presents an exciting opportunity in the expanding power sector. Keep an eye on the subscription progress, allotment, and listing dates to make informed decisions.
