Ahead of the listing, the company’s shares commanded a premium of Rs 50.
The IPO received a robust response from investors with a subscription of 276 times at close. While the NII category was booked the most at 799 times, retail investor portion was subscribed 169 times. The QIB portion of the issue was booked 70 times.
The public offer was completely a fresh equity issue of 21.6 lakh shares with a face value of Rs 10 apiece. Through the share sale, the company mopped up Rs 21.6 crore.
The company is engaged in the business of manufacturing ready-to-assemble valve components catering to the manufacturing of the valves.
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It makes and supplies various types of valve components which are used in the manufacturing of ball valves, butterfly valves and other valves including forging products.Further, the company’s manufacturing system has been certified for the establishment and application of the quality management system for the manufacturer of materials according to directives 2014/68/EU by PED and the products manufactured by closed die forging have been certified to comply with the requirements specified by NORSOK.
Increasing demand for valves from the pharmaceuticals industry due to the outbreak of the Covid pandemic, growing focus on the development of smart cities globally, rising need for connected networks to maintain and monitor industrial equipment, and surging requirement for establishing new nuclear power plants and revamping existing ones are the key driving factors for the industrial valves market.
Net proceeds from the IPO will be used for funding capex towards the installation of additional plant and machinery, working capital requirements and general corporate purposes.