 "Gala Precision Engineering’s IPO Soars 201.44 Times Amid High Demand")
Gala Precision Engineering Ltd has announced its initial public offering (IPO) with a price range set between Rs 503 and Rs 529 per share. The IPO has seen overwhelming demand, being subscribed 201.44 times by the closing day, with non-institutional investors leading the charge at 414.65 times. The total offering includes 25.58 lakh new shares and 6.16 lakh shares from existing shareholders, aiming to raise Rs 168 crore. The proceeds will support a new manufacturing facility in Tamil Nadu, equipment purchases in Maharashtra, debt repayment, and other corporate needs. Gala Precision specializes in precision components used across various sectors, including renewable energy and automotive. The shares are expected to be listed on BSE and NSE.
Gala Precision Engineering Ltd has made headlines with its impressive initial public offering (IPO), which recently attracted a staggering 201.44 times subscription by the closing day. The IPO, which opened for bidding, initially saw a remarkable response, with bids for 44.8 million shares against only 22,238 shares on offer, according to data from the National Stock Exchange (NSE).
The enthusiasm was particularly notable among non-institutional investors, who subscribed to the offering 414.65 times. Qualified Institutional Buyers (QIBs) also showed strong interest, with a subscription rate of 232.54 times, while Retail Individual Investors (RIIs) accounted for 91.99 times subscription.
Gala Precision Engineering has set the price band for its IPO at Rs 503-529 per share, aiming to raise Rs 168 crore. The offering includes a fresh issue of 2.55 million equity shares worth Rs 135.34 crore, along with an offer-for-sale (OFS) of 616,000 equity shares valued at Rs 32.58 crore from promoters and other stakeholders. Proceeds from the fresh issue are expected to fund the establishment of a new facility in Tamil Nadu to manufacture high tensile fasteners, alongside other significant corporate expenditures.
The company specializes in manufacturing precision components, including various types of springs and special fastening solutions, supplying products to major sectors like renewable energy, automotive, and infrastructure. Gala’s shares are expected to be listed on the Bombay Stock Exchange (BSE) and NSE.
As the IPO stirs significant Market interest, investors are keenly watching the company’s growth trajectory in the precision engineering sector.
Tags: Gala Precision Engineering, IPO, stock Market, investment, Rs 168 crore, NSE, BSE, share subscription, engineering firm, precision components.
What is the Gala Precision IPO?
The Gala Precision IPO is a chance for people to buy shares in the company as it becomes publicly listed on stock exchanges.
Why was the IPO so popular?
The IPO was very popular because many investors showed strong interest, leading to a subscription rate of 201.44 times on the last day.
What does it mean to subscribe 201.44 times?
It means that for every share available, investors wanted to buy more than 201 shares. This shows high demand for the company’s stock.
When will the shares be listed?
The shares are expected to be listed on the stock exchange a few days after the bidding ends, but the exact date will be announced by the company.
How can I invest in this IPO?
To invest in the IPO, you need to have a brokerage account, submit a bid during the IPO period, and follow the instructions provided by your broker.
