Envirotech Systems IPO: The initial public offering (IPO) of Envirotech Systems has attracted healthy demand from both retail and non-institutional investors during its final day bidding. The IPO has received bids for 29,64,86,000 as compared to the available shares of 32,92,000, resulting in a stellar subscription rate of 90.06 times as of 04:30 p.m.
The retail portion of the issue was subscribed 60.96 times, the segment reserved for non-institutional buyers had been subscribed 187 times, and qualified institutional buyers had subscribed 68 times, according to exchanges.
Envirotech Systems aims to raise ₹30.04 crore through this IPO, which is entirely a fresh issue of 54 lakh shares. The price band for the offer is set between ₹53 and ₹56 per equity share, with a face value of ₹10 per share. The IPO lot size is set at 2,000 shares, with a minimum investment of ₹1,12,000 required for retail investors.
The allotment of shares is expected to be finalised on Friday, September 20, and the shares are expected to be listed on the NSE SME platform on Tuesday, September 24.
The company intends to use the funds raised for the purchase of land and buildings to set up a factory, working capital requirements, general corporate expenses, and issue-related costs. Share India Capital Services Private Limited is the book-running lead manager for the Envirotech Systems IPO, while Bigshare Services Pvt Ltd has been appointed as the registrar.
As per the Draft Red Herring Prospectus (DRHP), the company is a leading manufacturer of acoustic products, specialising in noise measurement and control solutions for both industrial and commercial applications. Established in 2007, the company has expanded its expertise to include innovative design and manufacturing of acoustical products.
It offers a wide range of services, including research, cost-benefit analysis, and engineering solutions, to deliver efficient noise abatement solutions. Operating across India, it serves a diverse client base, both industrial and commercial, while also exporting certain products internationally.
The company focuses on manufacturing products tailored to meet specific customer demands, providing customised solutions for various noise control requirements. Its products are designed and fabricated based on client specifications, ensuring optimal performance and efficiency.
Although it provides services nationwide, the company's primary focus is on delivering personalised solutions that cater to the unique needs of its customers.
The last grey market premium (GMP) of the issue is zero which indicates cold response of investors for Envirotech Systems shares. Based on the current GMP, the issue may be listed flat at ₹56.
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