SME IPO Rappid Valves India Limited Surges On Stock Market Debut
Date
9/30/2024 2:17:35 PM
(MENAFN- KNN India)
New Delhi, Sep 30 (KNN) Rappid Valves India Limited made a strong debut on the NSE SME platform on September 20, with shares opening at Rs 312, marking a significant 40 per cent premium over the issue price of Rs 222 per share.
This robust performance slightly underperformed grey market expectations, which had anticipated a 45 per cent premium.
The initial public offering (IPO) garnered substantial investor interest, achieving an oversubscription rate of 176 times during its three-day offering period.
Non-institutional investors led the demand, subscribing 491 times their allotted quota, while retail investors and qualified institutional buyers subscribed 109 and 56 times their respective allocations.
Established in 2002, Rappid Valves India Limited specialises in manufacturing a diverse range of valve solutions, including ball, gate, globe, butterfly, check, double block, filter, and marine valves.
The company's product lineup, crafted from both ferrous and non-ferrous materials, spans sizes from 15mm to 600mm to meet varied industry requirements.
The company intends to allocate the net proceeds from the IPO towards several strategic initiatives. These include capital expenditure for acquiring a new plant, machinery, and software, as well as renovating its registered office and existing manufacturing facility.
Additionally, funds will be directed towards debt repayment, potential inorganic growth through acquisitions, and general corporate expenses.
This successful listing aligns with the broader trend of strong investor appetite for SME IPOs in the current market landscape.
(KNN Bureau)
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