Aeroflex Industries Ltd. was fully subscribed on the first day of its initial public offering.
It had been subscribed 1.38 times by 11:18 a.m. The bidding was led by the non-institutional investors' portion, which was subscribed at 1.98, followed by retail investors that saw a subscription of 1.90 times.
The manufacturer of stainless-steel hoses will have an IPO issue size of Rs 351 crore. It consists of a fresh issue of Rs 162 crore and an offer for sale of Rs 189 crore by the promoter group at a price band of Rs 102–108 apiece.
The company raised Rs 103.97 crore from anchor investors ahead of its IPO. It allocated 95.99 lakh equity shares to 15 funds at Rs 108 apiece, according to the BSE circular.
"The company's existing capabilities to provide value added solutions, consistent efforts to move up in the flow solutions value chain and operational and functional excellence have contributed to their track record of healthy financial performance and growth," Investmentz said in a note.
The management said it aids them in strengthening its trust and engagement with the customers and enhances its ability to retain these customers and extend their engagement across products and geographies, according to the note.
Investmentz Says Investment Rationale Are
The company is expected to grow in terms of revenue at a compound annual growth rate of 35–40% by FY26.
Serves critical requirements of conventional and new-age industries with global clientele.
Significant barrier to entry and exit.
Continuous investment in new product development and design
Environmental-friendly products and environment, health and safety-compliant organisation.
Strong financial performance with robust margin and returns.
Strategic corporate promoter with experience of scaling up multiple diverse businesses.
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