DEE Development Engineers stock debuts with 67% premium over IPO price

Shares of DEE Development Engineers debuted on the exchanges on Wednesday with a premium of 67%. The stock listed at Rs 339 on NSE as against an offer price of Rs 203.

The IPO, which was a combination of fresh equity sale worth Rs 325 crore and an offer for sale (OFS) of Rs 93 crore, was booked nearly 100 times at close. The robust demand was driven by QIB investors, whose category was subscribed over 200 times.

The net proceeds from the fresh issue will be used towards funding working capital requirements, repayment of debt, and other general corporate purposes.


Ahead of the listing, the company's shares were trading with a GMP of Rs 95 in the unlisted market.

Dee Development Engineers is an engineering company providing specialized process piping solutions for industries such as oil and gas, power (including nuclear), chemicals and other process industries through engineering, procurement and manufacturing.

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The company has manufacturing experience of over three and a half decades and has been able to leverage its brand, strategically located manufacturing facilities and engineering capabilities to successfully expand the business.

It also makes and supplies piping products such as high-pressure piping systems, piping spools, high frequency induction pipe bends, longitudinally submerged arc welding pipes, industrial pipe fittings, pressure vessels, industrial stacks, modular skids and accessories including, boiler superheater coils, de-super heaters and other customized manufactured components.

For the nine months ended December 2023, the company clocked revenue from operations of Rs 545 crore and profit after tax of Rs 14.3 crore. In FY23, revenue from operations increased 29% year-on-year to Rs 595 crore, while PAT jumped 57% to Rs 12.9 crore.

SBI Capital Markets and Equirus Capital acted as the book running lead managers to the issue.