H.M. Electro Mech Limited successfully debuted on the BSE SME exchange on January 31, 2025, with its shares listing at ₹81 per share, reflecting an 8% premium over its IPO issue price of ₹75.
IPO Performance and Investor Response
The company's ₹27.74 crore SME IPO was open for subscription from January 24 to January 28 and witnessed an overwhelming demand, being oversubscribed 91.75 times.
- Retail Investor Category: Oversubscribed 95.55 times
- Non-Institutional Investors (NII): Oversubscribed 183.65 times
- Qualified Institutional Buyers (QIB): Subscribed 16.01 times
The IPO attracted bids for 22.57 crore shares against 24.60 lakh shares, indicating strong market interest.
Key IPO Details and Fund Utilisation
The IPO comprised a fresh issue of 36.99 lakh shares without any Offer for Sale (OFS) component.
Retail investors were required to apply for a minimum of 1,600 shares, amounting to an investment of around ₹1.2 lakh. The company intends to use the funds raised for:
- Working capital requirements
- General corporate purposes
Additionally, before the IPO launch, H.M. Electro Mech secured ₹7.9 crore from anchor investors on January 23, 2024.
Company Overview: H.M. Electro Mech Limited
Founded in 2003, H.M. Electro Mech Limited is a prominent provider of infrastructure solutions specializing in:
- Turnkey projects, including the supply, installation, testing, and commissioning of pumping machinery
- Electrification projects for Indian Railways, municipal corporations, and banks
- EPC (Engineering, Procurement, and Construction) projects, including water supply infrastructure, cross-country pipelines, and civil construction works.
The company also sells pumps, pipes, transformers, and motors, expanding its presence in the infrastructure and industrial equipment sectors.
Summary
H.M. Electro Mech Limited made a successful debut on the BSE SME exchange on January 31, 2025, with shares listed at ₹81, an 8% premium over its IPO price of ₹75. The company’s ₹27.74 crore SME IPO was oversubscribed 91.75 times, with significant demand across retail and non-institutional investor categories. The funds raised will be used for working capital and general corporate purposes. The IPO consisted of a fresh issue of shares and was preceded by ₹7.9 crore raised from anchor investors. Founded in 2003, H.M. Electro Mech specializes in infrastructure solutions, including turnkey and electrification projects, and selling industrial equipment like pumps and transformers.
Easy & quick
Leave A Comment?