Indo Farm Equipment IPO Listing: Shares Debut with a 19% Premium
Tractor and farm equipment manufacturer Indo Farm Equipment made a remarkable entry into the stock market today, listing at a 19% premium on the National Stock Exchange (NSE). The IPO, which closed with an overwhelming subscription rate of 229.68 times, has captured the attention of investors across the country.
Key Highlights of the Indo Farm Equipment IPO
- Issue Price: ₹204-₹215 per share
- Listing Price on NSE: ₹256 (19.07% premium over issue price)
- Listing Price on BSE: ₹258.4 (20.19% premium over issue price)
- Opening Price: ₹256
- Day's High: ₹286.71
- Day's Low: ₹256
IPO Performance Overview
The Indo Farm Equipment IPO received a stellar response during its subscription period from December 31 to January 2, 2025. With a total issue size of ₹260.15 crore, the IPO witnessed bids for 194.53 crore equity shares against the 84.70 lakh shares reserved.
Investor Category-wise Subscription:
- Non-Institutional Investors (NII): 503.83 times
- Qualified Institutional Buyers (QIBs): 242.40 times
Retail Investors: 104.92 times
The robust demand was reflected in today's listing, with shares debuting at ₹256 on the NSE and ₹258.4 on the BSE, both significantly above the issue price of ₹215.
Company Financials and Future Plans
Indo Farm Equipment's financial performance has been steadily growing:
- FY23 Revenue: ₹370.75 crore (up from ₹352.08 crore in FY22)
- FY23 Net Profit: ₹15.37 crore (up from ₹13.72 crore in FY22)
The funds raised through the IPO will be allocated towards:
- Business Expansion: Setting up a dedicated plant to boost manufacturing capacity for pick-and-carry cranes.
- Subsidiary Investment: Supporting long-term growth plans.
- Debt Repayment: Reducing financial liabilities.
Corporate General Purposes.
Retail Investors' Interest
For retail investors, the minimum lot size was 69 shares, amounting to an investment of ₹14,835. The high subscription rates indicate strong confidence in the company’s growth potential, driven by its established market presence in the tractor and farm equipment sector.
Why Indo Farm Equipment IPO Stood Out?
Indo Farm Equipment's success in the primary market reflects its robust fundamentals, strong investor confidence, and growth-focused business strategies. With its entry into the secondary market, the company aims to expand its operations and strengthen its position in the highly competitive farm equipment and crane manufacturing industry.
Conclusion
The Indo Farm Equipment IPO listing has turned heads in the stock market with its strong premium and overwhelming investor response. The company's plans for expansion and growth are expected to further boost its performance in the coming years, making it an exciting prospect for investors.
As the stock market continues to witness increased activity in IPOs, keep an eye on Indo Farm Equipment’s progress and the upcoming IPOs that might reshape the market dynamics.
Reference from:- https://upstox.com/news/market-news/ipo/indo-farm-equipment-ipo-listing-date-share-price-live-shares-list-premium-nse-bse-stock-news-review-all-you-need-to-know/article-139133/