August 28, 2024
New Delhi, India
Orient Technologies IPO
Orient Technologies shares made a stellar debut on the stock exchanges today, opening at a significant premium over the issue price. The shares opened at ₹288 on the NSE, marking a 39.80% increase from the issue price of ₹206, while on the BSE, the stock opened even higher at ₹290, up 40.78%. The strong listing performance reflects the high demand witnessed during the IPO subscription period.
IPO Overview:
- Subscription Details: The IPO, available for subscription between August 21 and August 23, was oversubscribed 151.71 times, with strong participation across investor categories.
- Retail investors subscribed 66.87 times.
- Non-institutional investors (NII) subscribed 300.60 times.
- Qualified institutional buyers (QIBs) subscribed 189.90 times.
Market Anticipation and Debut Performance: Market experts had anticipated the stock to open at a premium of around 38% – 40%, given the high demand during the IPO period. The strong listing confirmed these expectations, with the share price soaring at the opening bell.
Company Background: Orient Technologies, a Mumbai-based IT solutions provider, has extensive experience in cloud and data management services, IT infrastructure, and IT-enabled services (ITeS). The company serves public and commercial sectors, including banking, financial services, insurance (BFSI), IT, healthcare, and pharmaceuticals.
IPO Structure:
- Total Size: The IPO was valued at ₹214.76 crore.
- Fresh Issue: ₹120 crore.
- Offer for Sale (OFS): 46 lakh equity shares by promoters Ajay Baliram Sawant, Umesh Navnitlal Shah, Ujwal Arvind Mhatre, and Jayesh Manharlal Shah.
Use of Proceeds: Orient Technologies plans to utilize the net proceeds from the fresh issue for various corporate needs, including capital expenditure and the acquisition of an office building in Navi Mumbai.
Anchor Investor Participation: The company raised ₹64.43 crore from anchor investors a day before the subscription opened, underscoring the strong institutional interest in the offering.
Lead Managers and Registrar:
- Book Running Lead Manager: Elara Capital (India) Private Limited.
- Registrar: Link Intime India Private Ltd.
Disclaimer:
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