Chamunda Electricals IPO subscribed over 28 times so far on Day 2: Check GMP, price band and other details

The SME initial public offering (IPO) of Chamunda Electricals was fully subscribed on Wednesday with an overall subscription of 28.5 times as of 12:22 pm on the second day of bidding. The IPO, a book-built issue of Rs 14.60 crores, offering a fresh issue of 29.19 lakh shares, will be available for investors to bid till February 6.

The retail portion of the issue was subscribed 43.2 times, while the issue was subscribed 24.1 times in the non-institutional investors’ category on the second day of bidding. Meanwhile, the qualified institutional buyers had subscribed by 6.02 times the allotted portion.

Chamunda Electricals IPO’s GMP on Day 2

Ahead of listing, the company's shares were trading at a grey market premium (GMP) of Rs 13 in the unlisted market on Wednesday, reflecting a 26% premium over the upper end of the IPO price band of Rs 50.

Proceeds from the IPO

The net proceeds from the IPO will be allocated for capital expenditure to acquire new testing kits and equipment, support working capital, repay debt, and fund other general corporate purposes.

Chamunda Electricals IPO price band

The price band for Chamunda Electricals IPO is set at Rs 47-50 per share, with a lot size of 3,000 shares. The IPO allocation reserves 50% for institutional investors, 35% for retail investors, and the remaining 15% for non-institutional investors.

Chamunda Electricals IPO allotment and listing date

Chamunda Electricals is likely to finalize the share allotment process for the IPO on February 7, and the shares are scheduled to be listed on the NSE SME platform on February 11.

About Chamunda Electricals

The company is engaged in the business of providing specialized services of operation and maintenance of sub-station up to 66 KV (kilovolt), testing and commissioning of electrical sub-station up to 220 KV (kilovolt) and solar power generation park of 1.5 MW (Megawatts) capacity.

Within the solar scope, the services include the erection of EHV class equipment, structures and equipment, earthing, control cable works and other associated works for substations up to 220 KV (D Class). Over the years we have built deep expertise to develop solutions and service offerings across our business verticals

During FY10-FY23, power generation in India increased at a CAGR of 4.75% with the same witnessing its highest growth rate in over 30 years in FY23.

For the period ended November 2024, the company clocked revenue from operations of Rs 18 crore with a profit after tax (PAT) of Rs 2.81 crore.

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