Fabtech Technologies Cleanrooms IPO GMP Soars Above 120% Ahead Of Listing On Jan. 10

The initial public offering of Fabtech Technologies Cleanrooms concluded it's 3-day subscription period on Jan. 7. The SME issue recieved a fantastic response from the investors as it was booked over 740 times on Tuesday led by strong demand from Non-Institutional investors.

The grey market premium for Fabtech Technologies Cleanrooms IPO reached a new high as the public issue garnered significant investor attention. The GMP trends have shown a consistent rise after the SME issue was fully booked on Day 1, and it kept rising as the bidding for the IPO entered its final few hours.

The Fabtech Technologies Cleanrooms IPO is entirely a fresh issue of 32.64 lakh shares aggregating to Rs 24.74 crore with no offer-for-sale component.

Fabtech Technologies IPO price band was set between Rs 80 and 85 per share. Retail investors were required to apply for a minimum of 1,600 shares in one lot, taking the investment amount to Rs 1,36,000 for a single lot application.

Of the 32,64,000 shares offered -- 6,19,200 (18.97%) were reserved for qualified institutional buyers, 4,65,600 (14.26%) for non-institutional investors, 10,86,400 (33.28%) for retail investors and 9,28,000 (28.43%) for Anchor investors.

Maashitla Securities Pvt. is the registrar for the Fabtech Technologies IPO, while Vivro Financial Services Pvt. Was appointed as its book-running lead manager. Rikhav Securities Ltd. is the market maker for this SME IPO. 

The grey market premium of Fabtech Technologies Cleanrooms IPO was Rs 105 as of 12:29 p.m. on Wednesday, Jan. 8. This projects a listing gain of 123.53% with shares of Fabtech Technologies anticipated to list at Rs 190 at the upper end of the price band.

The GMP trends have shown upward movement since the SME issue opened for subscription on Jan. 3. The GMP for Fabtech Technologies IPO was Rs 50 on Jan. 2 before jumping to Rs 75 on Jan. 3. As the subscription entered the final few hours on its final day the grey market rate of Fabtech Technologies Cleanrooms shares rose further to Rs 105.

Note: GMP or grey market price is not an official price quote for the stock and is based on speculation.

Against the issue price of Rs 85 per share.

The allotment for the Fabtech Technologies Cleanrooms IPO will be finalised on Wednesday, Jan. 8, with successful bidders getting their credit of shares to Demat accounts on Jan. 9. Refunds will be initiated to non-allottees on the same day.

Fabtech Technologies IPO will list on BSE SME with a tentative listing date fixed as Friday, January 10.

The company will use a portion of the IPO proceeds to fund its proposed acquisition of Kelvin Air Conditioning and Ventilation Systems Pvt. The money raised via the IPO will further go towards long-term working capital needs and general corporate purposes.

Fabtech Technologies Cleanrooms Ltd. reported a revenue of Rs 62.22 crore and a net profit of Rs 5.4 crore for the period ended Sept. 30, 2024. In FY24, its revenue declined by 22% to Rs 98 crore from Rs 125.10 crore in FY23. The net profit during this period decreased 27% year-on-year to Rs 5.78 crore from Rs 7.96 crore.

Disclaimer: Investments in initial public offerings are subject to market risks. Please consult with financial advisors and read red herring prospectus thoroughly before placing bids.