Devson Catalyst shares to debut today; GMP hints at 42% listing gain
The Rs 42.34 crore SME IPO received an overwhelming response during its subscription window from July 9 to July 11, closing 220.35 times subscribed, reflecting robust demand across investor categories.
By Ritesh Presswala, ETMarkets.com |
ETMarkets.com
Devson Catalyst is set to make its stock market debut on the BSE SME platform on Thursday, July 16, with investor sentiment remaining upbeat. A strong grey market premium (GMP) suggests the stock could deliver a listing gain of around 42%.
The Rs 42.34 crore SME IPO received an overwhelming response during its subscription window from July 9 to July 11, closing 220.35 times subscribed, reflecting robust demand across investor categories.
The public issue comprised a fresh issue of 33.38 lakh shares worth Rs 39.39 crore and an offer for sale (OFS) of 2.50 lakh shares aggregating Rs 2.95 crore.
The company fixed the IPO price at Rs 118 per share. Investors could bid in lots of 1,200 shares, while the minimum investment for retail investors was 2 lots (2,400 shares), translating to an investment of Rs 2.83 lakh at the upper price band.
According to market observers, Devson Catalyst IPO's latest GMP stands at Rs 49 per share, indicating a premium of nearly 42% over the issue price of Rs 118. Based on the current GMP, the stock is expected to list around Rs 167 per share, although grey market trends remain unofficial and may not accurately reflect the actual listing performance.
Of the total proceeds, Rs 17.40 crore has been earmarked for setting up a new manufacturing facility, while Rs 12 crore will be used to fund working capital requirements. Additionally, Rs 5.69 crore has been allocated for general corporate purposes, and Rs 4.63 crore will go towards meeting issue-related expenses.
Devson Catalyst Ltd. is an indigenous manufacturer of catalysts, adsorbents, and ceramic balls used in a wide range of industrial processes. The company's products cater to sectors including oil & gas refining, petrochemicals, steel, fertilisers, and other process industries, helping improve operational efficiency, process reliability, and sustainability.
The company operates a manufacturing facility at GIDC, Wadhwan City, Surendranagar, Gujarat, with an installed production capacity of approximately 6,205 metric tonnes per annum. The facility is equipped with modern manufacturing infrastructure and follows established quality control procedures to ensure consistent product standards.
Devson Catalyst follows a business-to-business (B2B) model, supplying its products exclusively to institutional and industrial customers across domestic as well as international markets. Its customer-focused production planning and customised product offerings enable it to cater to the specific technical and operational requirements of industrial clients.
(Disclaimer: Recommendations, suggestions, views and opinions given by the experts are their own. These do not represent the views of Economic Times)
The Rs 42.34 crore SME IPO received an overwhelming response during its subscription window from July 9 to July 11, closing 220.35 times subscribed, reflecting robust demand across investor categories.
The public issue comprised a fresh issue of 33.38 lakh shares worth Rs 39.39 crore and an offer for sale (OFS) of 2.50 lakh shares aggregating Rs 2.95 crore.
The company fixed the IPO price at Rs 118 per share. Investors could bid in lots of 1,200 shares, while the minimum investment for retail investors was 2 lots (2,400 shares), translating to an investment of Rs 2.83 lakh at the upper price band.
Devson Catalyst IPO GMP today
According to market observers, Devson Catalyst IPO's latest GMP stands at Rs 49 per share, indicating a premium of nearly 42% over the issue price of Rs 118. Based on the current GMP, the stock is expected to list around Rs 167 per share, although grey market trends remain unofficial and may not accurately reflect the actual listing performance.Utilisation of IPO proceeds
The company intends to utilise the net proceeds from the IPO to expand its manufacturing capacity, meet working capital needs, and support general corporate requirements.Of the total proceeds, Rs 17.40 crore has been earmarked for setting up a new manufacturing facility, while Rs 12 crore will be used to fund working capital requirements. Additionally, Rs 5.69 crore has been allocated for general corporate purposes, and Rs 4.63 crore will go towards meeting issue-related expenses.
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The total estimated deployment of the net proceeds is Rs 39.71 crore.
About Devson Catalyst
Devson Catalyst Ltd. is an indigenous manufacturer of catalysts, adsorbents, and ceramic balls used in a wide range of industrial processes. The company's products cater to sectors including oil & gas refining, petrochemicals, steel, fertilisers, and other process industries, helping improve operational efficiency, process reliability, and sustainability.The company operates a manufacturing facility at GIDC, Wadhwan City, Surendranagar, Gujarat, with an installed production capacity of approximately 6,205 metric tonnes per annum. The facility is equipped with modern manufacturing infrastructure and follows established quality control procedures to ensure consistent product standards.
Devson Catalyst follows a business-to-business (B2B) model, supplying its products exclusively to institutional and industrial customers across domestic as well as international markets. Its customer-focused production planning and customised product offerings enable it to cater to the specific technical and operational requirements of industrial clients.
(Disclaimer: Recommendations, suggestions, views and opinions given by the experts are their own. These do not represent the views of Economic Times)
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