Rajesh Power Services Limited's shares listed at a premium of 90 per cent over the issue price on Monday, December 2, marking a strong debut on the BSE SME platform. The company's shares showed a 90 per cent gain at Rs 636.5 per share, compared to the issue price of Rs 335 per share.
With a 99 per cent increase from the issue price, the stock rose an additional 5 per cent to reach the upper circuit at Rs 668.3 per share.
Lisitng gains for investors
The solid listing helped investors who placed bid in IPO. For retail IPO investors, the minimum bid was 400 shares. IPO investors who received at least one lot in the Rajesh Power Services issue would have received Rs 1,20,400 per lot at the NSE listing price.
Investors who received at least one lot in the IPO subscription would have profited Rs 1,20,400 (Rs 301 x 400) after listing.
Share performance
The stock was locked in 5 per cent upper circuit at Rs 668.30 per share on BSE (Bombay Stock Exchange), surging about 99.49 per cent amounting to Rs 333.30 per share from the issue price of Rs 335 per share in the IPO.
Rajesh Power IPO details
Issue subscription
The BSE SME issue received over 59 times subscriptions. Bids for over 18.96 crore shares were received for Rajesh Power Services' IPO, compared to 32.09 lakh shares.
IPO size and structure
The Rajesh Power Services IPO, a book-built offer valued at Rs 160.47 crore, consisted of a fresh issue of 27.9 lakh shares, totaling Rs 93.47 crore, and an offer-for-sale (OFS) of 20 lakh shares, totaling Rs 67 crore.
Price band, minimum bid, subscription timeline
Rajesh Power Services' initial public offering (IPO) price ranged from Rs 319 to Rs 335 per share. A minimum application size of 400 shares, or an investment of Rs 1,34,000, was required for the retail category.
On Monday, November 25, the initial public offering (IPO) for Rajesh Power Services went live. The status of the share allocation must be finalized by Thursday, November 28.
Use of IPO proceeds
The company plans to use the money raised from the public offering to buy equipment for cable identification, testing, and fault location. A 1,300 KW DC solar power plant is also planned.
