About IPO
IPO is a process by which private companies go public for the first time and their shares are listed (open for buying and selling) in the stock market. IPO helps investors get the first mover advantage and also assists companies to assess their net worth in the primary market.
Benefits of IPO to Investors
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Opportunity to invest in new companies or startups, otherwise not accessible to general public
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Allows buying shares at a discount to the market price (post listing)
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Possibility of significant listing gains, especially in IPOs of high growth companies
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Absolute transparency with all critical information available in the draft red herring prospectus.
Who can invest in IPO?
While any individual can invest in IPO, there are three distinct categories of IPO investors:
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Institutional investors or Qualified institutional investors
Commercial banks, mutual fund houses, pension funds, foreign portfolio, trusts, etc. QII allotment is capped at 50% by SEBI.
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High networth investors
Non-Qualified institutional investors with net worth of more than ₹2 lakhs. Allotment for HNIs is capped at 15% of the overall subscription.
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Retail investors
Investors with net worth of less than ₹2 lakhs. Minimum allotment capped at 35%.
How to apply for IPO @
How to enhance chances of IPO allotment?
News
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NSE SME IPO of Yash Optics & Lens subscribed 39%
The initial public offer (IPO) of Yash Optics & Lens received bids for 26,11,200 shares as against 65,61,600 shares on offer, as per NSE data as of 17:00 hours on Wednesday, (27 March 2024). The issue was subscribed 0.39 times.
The issue opened for bidding on Wednesday, (27 March 2024) and it will close on Wednesday, (03 April 2024). The price band of the IPO is fixed at Rs 75 to Rs 81 per share. The minimum order quantity is 1,600 equity shares. The equity shares are proposed to be listed on the SME platform of NSE.
The IPO comprises fresh issue of 65,61,600 equity shares. The promoter and promoter group shareholding will dilute to 71.63% from 97.45% Pre-IPO.
About 3,31,200 equity shares will be reserved for subscription by market maker to the issue. The net issue comprises of 62,30,400 equity shares. The issue and the net issue will constitute 26.49% and 25.16% respectively of the post offer paid up equity share capital of the company.
The company intends to utilize the net proceeds to meet working capital requirements, funding of capital expenditure for setting up a manufacturing unit for backward integration, purchase of plant and machinery at existing manufacturing unit, repayment/ prepayment of certain borrowings availed by the company and to meet general corporate purpose.
Ahead of the IPO, Yash Optics & Lens on Tuesday, 26 March 2024, raised Rs 13.78 crore from anchor investors. The board allotted 17.02 lakh shares at Rs 81 per share to 7 anchor investors.
Yash Optics & Lens is primarily engaged in the business of manufacturing, trading, distribution and supplying of comprehensive range of spectacle/optical lenses. It offers single vision lenses to advanced progressive lenses, customized progressive lenses to personalized progressives for professionals along with wide range of coatings. As of 31 December 2023, the company has total 106 employees.
The company recorded revenue from operations of Rs 18.66 crore and net profit of Rs 4.22 crore for the period as on 30 September 2023.
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SRM Contractors IPO subscribed 17.40 times
The initial public offer (IPO) of SRM Contractors received 7,55,13,970 bids for shares as against 43,40,100 shares on offer, according to stock exchange data at 17:00 IST on Wednesday (27 March 2024). The issue was subscribed 17.40 times.
The issue opened for bidding on Tuesday (26 March 2024) and it will close on Thursday (28 March 2024). The price band of the IPO is fixed at Rs 200 to 210 per share. An investor can bid for a minimum of 70 equity shares and in multiples thereof.
The issue comprises a fresh issue of 62,00,000 equity shares. The company proposed to utilize the net proceeds from the fresh issue to fund capital expenditure requirements for the purchase of equipment and machinery; full and part-payment of certain outstanding secured borrowings; incremental working capital requirements, investment in project specific JV projects and the balance towards general corporate purposes.
Ahead of the IPO, SRM Contractors on Friday, 22 March 2024 raised Rs 39.05 crore from anchor investors. The board allotted 18.59 lakh shares at Rs 210 each to 3 anchor investors.
SRM Contractors is an engineering construction and development company undertaking construction of roads (including bridges), tunnels, slope stabilisation works and other miscellaneous civil construction activities in hilly, challenging and difficult terrains and geography such as the Union Territories of Jammu & Kashmir and Ladakh.
The company executes construction both as an EPC contractor and on an item rate basis for infrastructure projects. It undertakes contracts independently or whenever required, through project-specific joint ventures (JVs) with other infrastructure and construction entities when a project requires meeting specific eligibility requirements of certain large projects, including requirements relating to specific experiences.
The firm reported a net profit of Rs 21.07 crore and sales of Rs 234.55 crore for the nine months ended on 31 December 2023.
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SRM Contractors IPO subscribed 3.56 times
The initial public offer (IPO) of SRM Contractors received 1,54,35,840 bids for shares as against 43,40,100 shares on offer, according to stock exchange data at 17:00 IST on Tuesday (26 March 2024). The issue was subscribed 3.56 times.
The issue opened for bidding on Tuesday (26 March 2024) and it will close on Thursday (28 March 2024). The price band of the IPO is fixed at Rs 200 to 210 per share. An investor can bid for a minimum of 70 equity shares and in multiples thereof.
The issue comprises a fresh issue of 62,00,000 equity shares. The company proposed to utilize the net proceeds from the fresh issue to fund capital expenditure requirements for the purchase of equipment and machinery; full and part-payment of certain outstanding secured borrowings; incremental working capital requirements, investment in project specific JV projects and the balance towards general corporate purposes.
Ahead of the IPO, SRM Contractors on Friday, 22 March 2024, raised Rs 39.05 crore from anchor investors. The board allotted 18.59 lakh shares at Rs 210 each to 3 anchor investors.
SRM Contractors is an engineering construction and development company undertaking construction of roads (including bridges), tunnels, slope stabilisation works and other miscellaneous civil construction activities in hilly, challenging and difficult terrains and geography such as the Union Territories of Jammu & Kashmir and Ladakh.
The company executes construction both as an EPC contractor and on an item rate basis for infrastructure projects. It undertakes contracts independently or whenever required, through project-specific joint ventures (JVs) with other infrastructure and construction entities when a project requires meeting specific eligibility requirements of certain large projects, including requirements relating to specific experiences.
The firm reported a net profit of Rs 21.07 crore and sales of Rs 234.55 crore for the nine months ended on 31 December 2023.
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Krystal Integrated Services IPO ends with decent subscription
The initial public offer (IPO) of Krystal Integrated Services received 3,96,36,380 bids for shares as against 29,99,448 shares on offer. The issue was subscribed 13.21 times.
The Non Institutional Investors (NIIs) category was subscribed 43.91 times. The Qualified Institutional Buyers (QIBs) category was subscribed 7.33 times. The Retail Individual Investors (RIIs) category was subscribed 3.32 times.
The issue opened for bidding on 14 March 2024 and it closed on 18 March 2024. The price band of the IPO was fixed at Rs 680 to 715 per share.
The offer comprised a fresh issue of equities aggregating to Rs 175 crore and offer for sale (OFS) of 17.5 lakh equity shares.
Of the net proceeds of fresh issue, the company will be using Rs 10 crore towards re- and pre-payment of certain borrowings, Rs 100 crore will be used to fund working capital requirements, Rs 10 crore to fund capital expenditure for purchase of new machinery, and the balance for general corporate purposes.
On the post-issue expanded equity, the holding of Krystal Family Holdings will stand reduced to 69.33%.
Ahead of the IPO, Krystal Integrated Services on Wednesday, 13 March 2024 raised Rs 90.03 crore from anchor investors. The board allotted 12.59 lakh shares at Rs 715 each to 10 anchor investors.
Krystal Integrated Services is a company that provides facilities management services. They offer a wide range of services such as housekeeping, sanitation, landscaping, gardening, mechanical, electrical and plumbing services, waste management, pest control, fa?ade cleaning, and other services such as production support, warehouse management, and airport management.
The company provided services to 135 hospitals and medical colleges, 228 schools and colleges (other than medical colleges), one airport, four railway stations, and 30 metro stations, along with catering services on certain trains and train routes end September 2023.
The firm reported a net profit of Rs 20.59 crore and sales of Rs 451.61 crore for the six months ended on 30 September 2023.
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Krystal Integrated Services IPO subscribed 13.21 times
The initial public offer (IPO) of Krystal Integrated Services received 3,96,26,200 bids for shares as against 29,99,448 shares on offer, according to stock exchange data at 17:30 IST on Monday (18 March 2024). The issue was subscribed 13.21 times.
The issue opened for bidding on Thursday (14 March 2024) and it will close on Monday (18 March 2024). The price band of the IPO is fixed at Rs 680 to 715 per share. An investor can bid for a minimum of 20 equity shares and in multiples thereof.
The offer comprises fresh issue of equities aggregating to Rs 175 crore and offer for sale (OFS) of 17.5 lakh equity shares.
Of the net proceeds of fresh issue, the company will be using Rs 10 crore towards re- and pre-payment of certain borrowings, Rs 100 crore will be used to fund working capital requirements, Rs 10 crore to fund capital expenditure for purchase of new machinery, and the balance for general corporate purposes.
On the post-issue expanded equity, the holding of Krystal Family Holdings will stand reduced to 69.33%.
Ahead of the IPO, Krystal Integrated Services on Wednesday, 13 March 2024 raised Rs 90.03 crore from anchor investors. The board allotted 12.59 lakh shares at Rs 715 each to 10 anchor investors.
Krystal Integrated Services is a company that provides facilities management services. They offer a wide range of services such as housekeeping, sanitation, landscaping, gardening, mechanical, electrical and plumbing services, waste management, pest control, fa?ade cleaning, and other services such as production support, warehouse management, and airport management.
The company provided services to 135 hospitals and medical colleges, 228 schools and colleges (other than medical colleges), one airport, four railway stations, and 30 metro stations, along with catering services on certain trains and train routes end September 2023.
The firm reported a net profit of Rs 20.59 crore and sales of Rs 451.61 crore for the six months ended on 30 September 2023.
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