Accord Transformer & Switchgear IPO: GMP Signals 18% Premium — What Investors Should Know

The IPO price band is Rs 43 to Rs 46 per share, with an estimated listing price premium of 18 percent. Shares are set to list on BSE SME on March 2.

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accord transformer IPO will conclude its subscription process today
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The initial public offering (IPO) of Accord Transformer and Switchgear Ltd. will close for subscription on Feb 25. The SME IPO was subscribed to more than 35 times on the second day of bidding on Feb. 24.

The BSE SME has received bids for 28,31,82,000 shares against 39,78,000 on offer, leading to an overall subscription of 71.19 times on Wednesday. The IPO opened for subscription on Feb. 23.

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The Qualified Institutional Buyers' (QIBs) segment was fully subscribed on Day 2, while the Non-Institutional Investors (NIIs) booked the issue 36.47 times. The retail portion of the IPO was booked 59.74 times.

Here's all you need to know about the SME IPO of Accord Transformer and Switchgear.

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Accord Transformer IPO GMP Today

The grey market premium (GMP) for the Accord Transformer and Switchgear IPO stood at Rs 8 on Feb. 25, according to InvestorGain. The latest GMP indicates an estimated listing price of Rs 54 apiece at a premium of 17.39% over the upper limit of the price band of Rs 46 per share.

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Note: GMP does not represent official data and is based on speculation.

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Accord Transformer IPO: Key Details

The Accord Transformer IPO is a book build issue of Rs 25.59 crore. The SME IPO comprises only a fresh issue of 56 lakh shares. The price band for the IPO has been fixed between Rs 43 and Rs 46 per share.

Retail investors can invest by bidding for two lots comprising 6,000 shares, requiring an investment of Rs 2,76,000. High Net-Worth Individuals (HNIs) must bid for at least three lots, amounting to an investment of Rs 4,14,000.

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GYR Capital Advisors Ltd. is the book-running lead manager and Kfin Technologies Ltd. is the registrar of the issue. Giriraj Stock Broking Ltd. is the market maker of the company.

ALSO READ: PNGS Reva Diamond IPO GMP: What Does Grey Market Signal On Second Day Of Subscription

Accord Transformer IPO: Allotment And Listign Date

The share allotment is proposed to be finalised on Feb. 26. The company will transfer shares to the demat accounts of the successful bidders on Feb. 27 and refunds for non-allottees will be processed on the same day. 

Shares of Accord Transformer and Switchgear are proposed to be listed on the BSE SME platform on March 2.

Use Of Proceeds

The company has proposed to use proceeds from the IPO to fund capex for buying machinery and equipment, funding working capital requirements and general corporate purposes. 

About Accord Transformer

Accord Transformer and Switchgear is a manufacturer of power and distribution transformers, switchgear, and related electrical equipment. It was founded in 2014.

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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.

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