Azad Engineering IPO Subscribed 3.3 Times On Day 1
The IPO was subscribed 3.3 times as of 5 p.m. on Wednesday.
Azad Engineering Ltd. opened its initial public offering on Wednesday. The IPO consists of fresh issue of Rs 240 crore and an offer for sale of Rs 500 crore.
The price band is fixed at Rs 499–524 per share with a face value of Rs 2 each. The issue will conclude on Friday.
Azad Engineering will use the funds for capital expenditure, pre-payment, repayment in full or part, of borrowings which the company has availed.
IPO Details
Offer opens: Dec. 20.
Offer closes: Dec. 22.
Fresh issue size: Rs 240 crore.
Offer for sale: Rs 500 crore.
Price band: Rs 499–524 per share.
Lot size: 28 shares.
Face value: Rs 2 per share.
Total IPO size: Rs 740 crore.
Listing: NSE, BSE.
Business
Azad Engineering manufactures highly engineered, complex, and life-critical components, which the company supplies to global original equipment manufacturers in the energy, aerospace, defence and oil and gas sectors.
Azad Engineering posted a revenue of Rs 114.3 crore as of September from sale of airfoils, blades for the energy industry. The engineering company competes with manufacturers from China, Europe, the U.S. and Japan.
The company's revenue rose to Rs 251.7 crore in the last financial year compared to Rs 124 crore in fiscal 2020, with a compound annual growth rate of 27% in the period. It posted an Ebitda margin of 31.36% in 2022–23.
Subscription Status Day 1
The IPO was subscribed 3.3 times as of 5 p.m. on Wednesday.
Institutional investors: 0.05 times, or 5%
Non-institutional investors: 6.13 times
Retail investors: 3.92 times
Employee reserved: 2.05 times
