Harsha Engineers International IPO Subscribed 2.87 Times On Day 1
The IPO comprises fresh shares worth Rs 455 crore and an OFS of 90 lakh shares aggregating to Rs 300 crore by the promoter group.
Harsha Engineers International Ltd.'s Rs 755-crore initial public offering was fully subscribed on the first day, led by demand from retail and non-institutional investors.
The IPO consists of fresh shares worth Rs 455 crore and an offer for sale of 90 lakh shares aggregating to Rs 300 crore by the promoter group, according to its red herring prospectus.
Harsha Engineers also reserved Rs 2.5 crore worth of shares for subscription by its employees.
The issue together will comprise 25.13% of the post-issue equity capital of the company. At the upper end of the price band of Rs 314-330, the company is valued at Rs 3,007 crore.
The Ahmedabad-based precision bearing cage manufacturing firm said it will utilise the proceeds from the fresh issue to repay its existing debt worth Rs 270 crore and use Rs 77.95 crore to fund capital expenditure towards the purchase of machinery.
It will also direct Rs 7.12 crore from the funds towards infrastructure repairs and renovation of existing production facilities.
Incorporated in 2010, Harsha Engineers International is an engineering company that manufactures brass, steel and polyamide cages, along with complex and specialised precision stamped components. The company offers a wide range of bearing cages starting from 20mm to 2,000 mm in diameter for automotive, railways, aviation and aerospace, construction, mining, agriculture, electrical and electronics, renewables sectors, among others.
It also owns a solar EPC business, offering turnkey solutions to all solar photovoltaic requirements.
Subscription Status: Day 1
The IPO subscribed 2.87 times as of 5:00 p.m. on Sept. 14
Institutional investors: 0.06 times.
Non-institutional investors: 5.83 times.
Retail investors: 3.22 times.
Employee reserved: 2.33 times.
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