Delta Autocorp IPO subscribed over 113 times on Day 3 so far. Check GMP, price band and other details

The SME initial public offering (IPO) of Delta Autocorp was fully subscribed on Thursday with overall subscriptions of 113.59 times by 12:24 pm on the final day of bidding. The company aims to raise Rs 55 crore through the SME IPO, with the shares set to list on the NSE SME platform.

The retail portion of the issue was subscribed 167.51 times, while the issue was subscribed 110.78 times in the non-institutional investors’ category on the final day of bidding. Meanwhile, the qualified institutional buyers had made 21.27 times of the allotted portion.

Delta Autocorp IPO’s latest GMP

Ahead of listing, the company's shares were trading with a GMP of Rs 116 in the unlisted market on Thursday, indicating a premium of over 89% over the upper end of the IPO price band of Rs 130.

Delta Autocorp IPO size

The IPO is a mix of fresh equity sale of 38 lakh shares and an offer for sale (OFS) of 3.12 lakh shares. Through the issue, the company plans to raise Rs 55 crore.

Price band for Delta Autocorp IPO

The company is offering its shares at Rs 123-130 apiece, and investors can bid for 1,000 shares in one lot.

Delta Autocorp IPO’s issue structure

About 50% of the offer is reserved for QIB investors, 35% for retail investors and the other 15% for non-institutional investors.

Delta Autocorp IPO’s listing, allotment and closing date

The IPO opened on January 7 and will close on January 9. The final allotment will likely be made on January 10. The company's shares are scheduled to get listed on the NSE SME platform on January 14.

Proceeds from IPO

The net proceeds from the public offer will be used to fund expenditure towards setting up an electric three-wheeler fabrication plant, investment in new product development, funding of working capital requirements and for general corporate purposes.

About Delta Autocorp

The company designs, manufactures, and sells electric two- and three-wheelers, utilizing advanced components sourced from renowned original equipment manufacturers (OEMs). These OEMs follow the company's specific design and engineering specifications during the manufacturing process. Additionally, the company provides specialized components that are designed to be fully compatible with its vehicles.

Industry overview

The Indian automobile industry has long been a key barometer of economic health, as it significantly contributes to both macroeconomic growth and technological innovation. The two-wheeler segment, in particular, leads in volume due to a rising middle class and a large, youthful population. Additionally, the increasing focus by companies on tapping into rural markets has further fueled the sector's expansion.

Delta Autocorp’s financial performance

For the period ended October 2024, the company clocked total revenues of Rs 45.17 crore and net profit of Rs 4.80 crore.

IPO’s lead managers and registrar

GYR Capital Advisors is acting as the lead manager to the issue and Link Intime India is the registrar.

Also read | Davin Sons Retail shares list at 20% discount over IPO price on BSE SME platform

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