August 16, 2024
New Delhi, India
SME IPO Listing
Aesthetik Engineers Ltd made a remarkable debut on the NSE SME platform today, with its share price opening at ₹110.20, a substantial 90% premium over the IPO issue price of ₹58. The company’s initial public offering (IPO) was met with overwhelming demand, reflected in its strong grey market performance and significant oversubscription.
Market Debut:
- Stellar Opening: Aesthetik Engineers shares opened at ₹110.20 per share on the NSE SME, marking a 90% increase from the IPO issue price of ₹58. This impressive opening highlights strong investor interest in the company.
- IPO Subscription: The Aesthetik Engineers IPO was available for subscription from August 8 to August 12. The offering received an overwhelming response, with a subscription rate of 705.26 times on the final day of bidding. Shares were priced between ₹55 and ₹58, with a face value of ₹10 each. Investors could bid in multiples of 2000 shares.
Company Background:
- Established in 2003: Aesthetik Engineers Ltd is engaged in providing interior design services, along with designing, manufacturing, and installing façade systems. The company serves various sectors, including hotel, residential, commercial, and infrastructure projects.
- Product Offerings: The firm’s services include the design, engineering, manufacturing, and installation of architectural façades, aluminum doors and windows, railings, staircases, and Glassfibre Reinforced Concrete (GFRC).
- Financial Performance: Between March 31, 2023, and March 31, 2024, Aesthetik Engineers Ltd saw a significant increase in financial performance. The company’s profit after tax (PAT) grew by 346.76%, while revenue increased by 50.64%, indicating robust business growth.
IPO Details:
- Issue Size: The Aesthetik Engineers IPO was valued at ₹26.47 crore, consisting of a fresh issue of 4,564,000 equity shares with a face value of ₹10. The IPO did not include an “offer for sale” component.
- Use of Proceeds: The company plans to use the net proceeds from the IPO to cover issue costs, meet working capital requirements, fund capital expenditures, and pursue general corporate purposes.
Grey Market Performance:
- Grey Market Premium (GMP): Aesthetik Engineers IPO had a GMP of +45, indicating a strong demand in the grey market. This premium suggested that the shares were expected to list at an estimated price of ₹103 per share, 77.59% higher than the IPO price.
Disclaimer:
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