The initial public offering (IPO) of Transrail Lighting Limited has opened for subscription today, December 19, 2024. Investors can participate in this IPO until December 23, 2024. The engineering and construction company has decided on an IPO price range of ₹410 to ₹432 per share.
Through this IPO, Transrail Lighting aims to raise ₹838.91 crore, which includes a mix of fresh issue shares and an offer for sale (OFS) by existing shareholders. Out of this total, ₹400 crore is allocated for issuing fresh shares, while the remaining amount will come from the OFS.
The funds raised through fresh shares will help the company expand its operations, manage debts, and improve its infrastructure.
Market analysts report that Transrail Lighting shares are currently trading at a grey market premium (GMP) of ₹135. This indicates a positive sentiment among investors, with shares being valued higher than their price band in the unofficial market.
IPO Details at a Glance
- IPO Dates: The IPO will be available for subscription from December 19, 2024, to December 23, 2024.
- Price Band: ₹410 to ₹432 per equity share.
- Lot Size: Investors need to bid for a minimum of 34 shares per lot. The smallest investment required is ₹14,688.
- Issue Size: ₹838.91 crore (₹400 crore fresh shares and the rest through OFS).
- Listing: Shares will be listed on the BSE and NSE, with a tentative listing date of December 27, 2024.
About Transrail Lighting Limited
Transrail Lighting is a leading company in power transmission and distribution. It specializes in engineering, procurement, and construction (EPC) services. Over the years, it has expanded into rail infrastructure and civil construction, diversifying its business portfolio.
The company has a strong track record of financial performance, with steady revenue and profit growth. Its robust order book and focus on large-scale projects position it well in the growing Indian infrastructure sector.
Key Dates to Remember
- IPO Closing Date: December 23, 2024
- Allotment Date: Expected on December 24, 2024
- Listing Date: Likely on December 27, 2024. Note that December 25, 2024, is a market holiday for Christmas.
The positive grey market premium and high demand on the first day indicate strong investor confidence. However, investors are advised to do their own research and consider factors like the company’s financial performance, growth potential, and associated risks before investing.
The Transrail Lighting IPO offers an opportunity to invest in a growing player in India’s infrastructure sector. With its focus on power transmission and expansion into new areas, the company shows potential for long-term growth. For those interested, bidding is open until December 23, 2024, and shares are expected to list soon after on the BSE and NSE.
Investors should evaluate their financial goals and risk tolerance before making any decisions.
