Rajesh Power Services Shares List On BSE SME At 90% Premium To IPO Price
After a strong listing, the Rajesh Power Services stock rallied further to hit the upper circuit limit at Rs 668.30.
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Shares of Rajesh Power Services Ltd. made a strong debut on Monday on the BSE SME platform. The stock was listed at Rs 636.50 apiece on the BSE's small and medium enterprises platform, with a premium of 90% over the issue price of Rs 335.
After a strong listing, the stock rallied further to hit the upper circuit limit at Rs 668.30.
At the upper circuit, every one lot of 400 shares would have made gains of Rs 1,33,320 (Rs 333.30x400) over the minimum investment of Rs 1,34,000.
Rajesh Power Services IPO GMP
Ahead of the listing, Rajesh Power Services GMP hinted at a premium of Rs 144, or 42.99%. According to InvestorGain, the projected listing price of the initial public offering of Rajesh Power Services was Rs 479 apiece ahead of the listing.
Note: GMP or grey market price is not an official price quote for the stock and is based on speculation.
Rajesh Power Services IPO Details
The initial share sale opened for subscription on Nov. 25 and closed on Nov. 27, after a three-day bidding period.
The Rajesh Power Services IPO witnessed a strong response from investors across categories.
The issue was subscribed 59 times over the bidding period. It was booked 138.81 times in the non-institutional investors’ category. Retail investors subscribed their portion by 31.96 times, while qualified institutional buyers subscribed their quota by 46.39 times.
The public offer was a combination of a fresh issue of 27.9 lakh shares, worth Rs 93.47 crore, and an offer for sale of 20 lakh shares worth Rs 67 crore.
Rajesh Power Services IPO price band was fixed between Rs 319 to Rs 335 per share.
Share allotment for bidders was finalised on Nov. 28. BigShare Services Pvt. Ltd. was the registrar for the issue. ISK Advisors Pvt. Ltd. was its book running lead manager, while Sunflower Broking was the market maker.
Rajesh Power Services IPO: Use Of Funds And Proceeds
The funds raised through the public offering will be used to acquire equipment for cable identification, testing, and fault detection. A portion of the proceeds will also be utilised in the establishment of a 1,300 KW DC solar power plant. Moreover, the company plans to strengthen its in-house technical capabilities for producing Green Hydrogen and will purchase necessary equipment, such as electrolysers. The remaining funds will be allocated for working capital requirements and general corporate purposes.
About Rajesh Power Services Ltd.
Rajesh Power Services provides engineering, procurement, and construction contracting services to state transmission and distribution companies, and private utilities. The company, founded in 1971, specialises in EPC services for extra high voltage underground cables and transmission lines, HV/MV/LV underground cable laying, overhead MVCC conductor installation, and other related offerings. Its significant clients include GIFT City in Gujarat, Gujarat Metro Rail Corp., Adani Renewables and Reliance Industries Ltd.
