Danish Power IPO Day 2: Transformer Manufacturer's Issue Subscribed 12 Times; Retail Portion Lead With Bids Over 14x Till Now

Investors have responded favourably to Danish Power's initial public offering of transformers. On Wednesday, the second day of bidding, the IPO has already been subscribed for 12.01 times.

Retail individual investors led the bidding, subscribing 14.84 times the portion set aside for them. While the qualified institutional buyers (QIBs) category was booked 6.90 times, the portion designated for non-institutional investors (NIIs) was subscribed 13.26 times.

As part of the initial public offering, 52.08 lakh equity shares are being offered. For one day on October 21, the anchor investor bidding took place.

Prior to Danish Power, KP Green Engineering had the largest SME IPO, with an issue size of Rs 189.5 crore.

Price band

Subscriptions will be accepted for the Rs 197.90 crore IPO, with prices ranging from Rs 360 to Rs 380 per share.

Minimum bid and lot size

Interested investors can bid for at least one lot size, consisting of 300 shares, taking the transaction value to Rs 1,08,000. High-net-worth individuals can bid for a minimum of two lots worth Rs 2,16,000.

The company has set aside 50 per cent of the offer for QIBs, 35 per cent for retail investors, and 15 per cent for NIIs.

Listing and subscription dates

The company's shares will be available for subscription starting on Tuesday, October 22, 2024, and ending on Thursday, October 24, 2024. On Tuesday, October 29, 2024, these are expected to go public on the NSE SME.

On Friday, October 25, 2024, successful bidders are anticipated to receive their shares for the Danish Power IPO, and on Monday, October 28, 2024, the demat accounts of the allottees will be credited.

Registrar and book running lead manager

Hem Securities Ltd is the book-running lead manager of the IPO, while Link Intime India is the registrar.

Company financials

The company reported revenue of Rs 332.5 crore and consolidated profit after tax (PAT) of Rs 38.07 crore for the fiscal year 2023-2024 (FY24). Revenue was Rs 71.93 crore and PAT was Rs 9.98 crore in the first quarter of FY25.