Tunwal E-Motors IPO booked over 6 times on day 3 of bidding so far. Check GMP, subscription status

Tunwal E-Motors IPO: Monday, July 15, marked the start of the Tunwal E-Motors IPO subscription period, which ends on Thursday, July 18. With a face value of ₹2, each share in Tunwal E-Motors' initial public offering (IPO) is priced at ₹59. A minimum of 2000 shares, as well as multiples of those, are up for bid.

The IPO of Tunwal E-Motors has allotted 93,10,000 equity shares to non-institutional investors (NII), 93,10,000 equity shares to retail individual investors (RII), and 9,80,000 equity shares to market makers.

As one of the up-and-coming businesses in the electric vehicle (EV) 2-wheeler industry, it is dedicated to promoting innovation in the EV two-wheeler production process. Over the years, the firm has grown a presence in 19 states, over 225 dealers nationwide, over 23 models—including seven two-wheeler variants—and achieved a 346% compound annual growth rate in revenue. Formerly, Jhumarmal Pannaram Tunwal, their promoter, worked in a similar industry, producing and marketing electric cars under the name Tunwal Electrionics, a private company.

An emerging powerhouse in the EV manufacturing industry, Tunwal E-Motors Ltd is leading India's transition to environmentally friendly and sustainable transportation solutions. Since its founding in 2018, the business has grown quickly to take the lead in the industry, focusing in the design, development, production, and distribution of premium electric two-wheelers.

The company's listed peers are Wardwizard Innovations & Mobililty Ltd (with a P/E of 117.96), and TVS Motors Ltd (with a P/E of 66.33).

The firm made ₹10,460.07 lakhs in revenue, ₹1,783.15 lakhs in EBITDA, and ₹1,181.17 lakhs in PAT in FY24.

Tunwal E-Motors IPO subscription status

Tunwal E-Motors IPO subscription status is 6.61 times, on day 3, so far.

The retail portion was subscribed 10.37 times, and NII portion was booked 2.86 times. 

The company has received bids for 12,31,54,000 shares against 1,86,20,000 shares on offer, at 12:41 IST, according to data on chittorgarh.com.

Tunwal E-Motors IPO subscription status was 2.00 times, on day 1, and the issue was booked 3.18 times on the second bidding day.

Tunwal E-Motors IPO details

Tunwal E-Motors IPO is a combination of a fresh issue of equity shares worth ₹81.72 crore and an Offer For Sale (OFS) of 5,750,000 equity shares worth ₹33.93 crore by existing shareholders at the top end of the price band. This equates to a public offering of ₹115.64 crore.

The company intends to use the net proceeds of the offering for the following purposes: supporting the company's working capital needs; research and development; seeking inorganic expansion; and general corporate costs.

Horizon Management Private Ltd is the issue's lead manager. Skyline Financial Services Private Ltd is the registrar to the Issue.

Tunwal E-Motors IPO GMP today

Tunwal E-Motors IPO GMP is +10. This indicates Tunwal E-Motors share price were trading at a premium of ₹10 in the grey market, according to investorgain.com.

Considering the upper end of the IPO price band and the current premium in the grey market, the estimated listing price of Tunwal E-Motors share price was indicated at ₹69 apiece, which is 16.95% higher than the IPO price of ₹59.

Today's IPO GMP points lower and is expected to decline further based on the activity of the grey market during the past nine sessions. Analysts at investorgain.com estimate that the lowest GMP is ₹10 and the maximum GMP is ₹25.

'Grey market premium' indicates investors' readiness to pay more than the issue price.

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