Jyoti CNC Automation IPO Subscribed 3.92 Times On Day 2

Jyoti CNC Automation Ltd.'s initial public offering was subscribed 3.92 times on day two. It launched its IPO on Tuesday to raise up to Rs 1,000 crore via a fresh issue.

The IPO was fully subscribed within 2.5 hours on the first day, led by demand from retail investors and employees.

The price band is fixed at Rs 315–331 per share. The three-day IPO closes on Thursday.

Of the total issue size, 75% is reserved for qualified institutional buyers, 15% for non-institutional investors and the remaining 10% for retail individual investors.

Jyoti CNC Automation Ltd. has raised Rs 447.7 crore from anchor investors ahead of its initial public offering on Jan. 9.

The company allotted 1,35,27,190 shares at Rs 331 apiece to 37 anchor investors. It included investors such as Nippon Life India Trustee, Goldman Sachs Funds, ICICI Prudential Midcap Fund and Kotak Mahindra Trustee, among others.

Goldman Sachs Funds secured 5.30% of the allocation, while ICICI Prudential Midcap Fund and ICICI Prudential Infrastructure Funds each netted 1.77%.

Nine domestic mutual funds applied through a total of 21 schemes, the company said in an exchange filing. They have collectively netted 39.11% of the anchor portion of Rs 175.12 crore.

• Issue opens: Jan. 9.

• Issue closes: Jan. 11.

• Total issue size: Rs 1,000 crore.

• Face value: Rs 2 apiece.

• Fixed price band: Rs 315–331 per share.

• Minimum lot size: 45 shares.

• Listing: NSE and BSE.

Incorporated in 1991, the Rajkot-based company is a computerised-numerical-control manufacturer and supplier. It has a wide range of CNC machines, with a product range that includes turning centres and vertical and horizontal machining centres.

As of June 30, 2023, Jyoti's production capacity was 4,400 machines per year in India and 121 machines per year in France. In the last three financial years, it has supplied over 7,200 machines to more than 3,000 customers, including the Space Applications Center.

The company also has 29 sales and service centres in Romania, France, Poland, Belgium, Italy and the UK.

The IPO was subscribed 3.92 times as of 5 p.m. on Wednesday.

• Institutional investors: 22% or 0.22 times.

• Non-institutional investors: 6.49 times.

• Retail investors: 11.08 times.

• Employee Reserved: 5.08 times