Investing.com | Editor Ambhini Aishwarya
Published Nov 17, 2023 01:05AM ET
Kalyani Cast Tech, a company specializing in the casting business, made a striking entry into the stock market today with its shares opening at ₹264.1 on the BSE SME platform. This price represented a significant 90% premium over its initial public offering (IPO) price of ₹137-139 per share. The strong debut continued as the stock price climbed to ₹277.3.
The company’s IPO, which took place from November 8-10, was met with overwhelming interest from investors and was oversubscribed by more than 208 times. Non-institutional buyers took the lead in this rush for shares, followed by retail investors and qualified institutional buyers.
This remarkable market performance comes after the IPO garnered ₹30.11 crore (INR10 crore = approx. USD1.2 million) through the issuance of 21.66 lakh new shares. The capital raised is earmarked for enhancing working capital and meeting corporate needs. Gretex Corporate Services, Bigshare Services, and Gretex Share Broking were responsible for facilitating the issue.
Kalyani Cast Tech has established itself in the production of various casting products, including bearing housing for electrical locomotives, MG coupler components, adapters for WDG4 Locomotives, CI brake blocks, and an assortment of cargo containers such as ISO containers and custom containers designed for parcel cargo.
The successful market debut underscores investor confidence in Kalyani Cast Tech’s business model and growth prospects. Prior to its listing, the company’s shares were already trading at a 68% premium in the grey market, indicating high investor anticipation.
This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.
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Written By: Investing.com