Unimech Aerospace IPO: GMP Strong Ahead Of Launch, Grey Market Projects Listing Day Gains
Investors can place their bids for the Rs 500-crore Unimech Aerospace IPO from Dec. 23 to Dec. 26. The current GMP trends project an estimated listing day gain of 51.59%.
The initial public offering of Unimech Aerospace And Manufacturing Ltd. has been garnering strong interest in the grey market even before opening for subscription next week.
Ahead of the issue's launch on Dec. 23, the grey market premium or GMP of the Unimech Aerospace IPO was Rs 405 apiece at 11:01 a.m. on Friday, according to InvestorGain platform. This takes the estimated listing price—the sum of GMP and the upper end of the IPO price—to Rs 1,190 apiece.
The estimated listing price implies a potential listing day gain of 51.59%, as compared to upper end of the issue price band of Rs 785.
However, the GMP is not an official price quote for the stock and is based on speculation.
Unimech Aerospace IPO: Key Details
Investors can place their bids for the Rs 500-crore Unimech Aerospace IPO from Dec. 23 to Dec. 26. Share allotment of the issue is likely to be done on Friday, Dec. 27. The shares of the company are expected to be listed on the BSE and NSE on Dec. 31.
The price band has been fixed at Rs 745 to Rs 785 apiece. Retail investors can bid with a minimum lot size of 19 shares, taking the minimum investment value to Rs 14,915 for a single application.
The mainboard IPO comprises a fresh issue of 32 lakh shares aggregating to Rs 250 crore, and an offer-for-sale component of another 32 lakh shares totalling Rs 250 crore.
KFin Technologies Ltd. is the registrar for the offer, whereas Anand Rathi Securities Ltd. and Equirus Capital Pvt. are the book-running lead managers for the issue.
Use Of IPO Proceeds
In its red herring prospectus, Unimech Aerospace said that it would use the proceeds from its IPO to buy machines for expanding its operations and fund its working capital requirements.
A part of the proceeds will also be invested in its subsidiary, while the rest of the funds will go for general corporate purposes.
About The Company
Unimech Aerospace And Manufacturing, founded in 2016, makes complex tools like mechanical assemblies, electro-mechanical systems, and components for aero-engine and airframe production. Between 2022 and 2024, the company supplied SKUs made by it to more than 26 customers across 7 countries.
Unimech Aerospace And Manufacturing Ltd. has two manufacturing facilities in Bengaluru with an area of 1,20,000 sq ft.
Disclaimer: Investments in initial public offerings are subject to market risks. Please consult with financial advisors and read the red herring prospectus thoroughly before placing bids.
