Ahead of the listing, the company’s shares traded with a premium of Rs 60 in the unlisted market.
The IPO, which was completely a fresh equity sale of 56.9 lakh shares, received massive response from investors with an overall subscription of over 300 times at close.
Net proceeds from the public offer are proposed to be used for working capital requirements of the company and other general corporate purposes.
Divine Power Energy is a manufacturer of Bare Copper/ Aluminium Wire, Bare Copper/ Aluminium Strip, Winding Copper/ Aluminium Wire, Winding Copper / Aluminium Strip.Also Read: Shark tank fame Namita Thapar to rake in Rs 127 crore through Emcure Pharma IPO
Winding wires are manufactured by annealing and insulating wires / strips and covering them with paper, cotton, fiberglass etc.
In the current calendar year, the company started manufacturing wires covered with fiberglass which are used in manufacturing electromagnetic coils, like the one used in lifting magnets which are used to lift heavy objects like containers, machinery etc.
The company has supplied wires covered with fiberglass to markets like Punjab, Bengaluru, Ahmedabad. In the recent past the company has also started trading in super enamelled wires and strips in an effort to cater customer demand and remain competitive.
The company mainly sells winding wires to the power distribution companies and transformer manufacturers. Transformers play a critical role in power distribution by regulating the voltage from generation source to the consumer end.
One of the critical components of a transformer is its coil which plays the role of converting electric energy to magnetic energy and then to electric energy, and changes the voltage and current at the same time. The coil is made from winding the wires in a given ratio as per the capacity and ability of the transformer. The company manufactures winding wires by insulating bare conductors (wires of copper or aluminium) by paper, cotton, super enamel, fiberglass etc. which are used to make coils of the transformers.