MTAR Technologies IPO Subscribed Over 200 Times On Final Day

MTAR Technologies is selling shares in price band of Rs 574-575 per share in IPO.
MTAR Technologies is selling shares in price band of Rs 574-575 per share in IPO.

MTAR Technologies' initial public offering (IPO) was subscribed 200.79 times on the final day of subscription tracking heavy demand in the share sale via IPO, data from the National Stock Exchange showed. MTAR Technologies shares got overwhelming support among investors as it received total bids for 145.79 crore shares as against 72.60 lakh shares on the offer. The price band was fixed at Rs 574- 575 per equity share for the initial share-sale, which got fully subscribed on Wednesday. (Also Read: MTAR Technologies IPO Subscribed Over 100 Times So Far On Final Day )

The non-institutional investors buyers were seen heavily bidding for MTAR Technologies shares as the portion reserved for them was subscribed 522.35 points, while the portion for retail investors was subscribed 12.48 times, NSE data showed. The company plans to raise Rs 596 crore from the IPO.

Ahead of the MTAR Technologies IPO, the firm had raised Rs 179 crore from as many as 15 anchor investors which included marquee foreign investors such as  Ireland Public Limited Company, Nomura Funds, White Oak Capital, Jupiter South Asia Investment Company, as well as Goldman Sachs.

MTAR Technologies will utilise the net proceeds from its fresh issue and the pre-IPO placement to repay debt and for working capital requirements.

The Hyderabad-based MTAR Technologies was incorporated in 1999 and is involved in manufacturing equipments for the aerospace, defence, as well as nuclear energy sectors. The firm is a leading player in the precision engineering industry and also manufactures mission-critical precision components with close tolerance. It works for critical assemblies through its precision machining, assembly, specialized fabrication, testing, and quality control processes. Some of the company's clients include ISRO, Defence Research and Development Organisation (DRDO), HAL, Bharat Dynamics, etc.

The MTAR Technologies IPO is the ninth public offer since the beginning of this year, after Indian Railway Finance Corporation (IRFC), Indigo Paints, Home First Finance Company, Stove Kraft, Brookfield India REIT, Nureca, RailTel Corporation of India, and Heranba Industries. Subscribed over 200.79 times, MTAR Technologies IPO is also the highest subscribed IPO so far in 2021.