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Synopsis: Lakshya Powertech Ltd, an engineering and power service provider, made a strong debut on the NSE SME platform, Emerge, with shares opening at a 90% premium over the IPO price of Rs180. The stock surged to hit its 5% upper limit at Rs359.10, marking a 99.5% gain from the issue price. Over 8.06 lakh shares were traded, with a market cap reaching Rs362.11 crore. The IPO, which was oversubscribed by over 573 times, aimed to raise funds for debt repayment, working capital, and other general purposes.
Lakshya Powertech IPO Listing Success
On its first trading day, Lakshya Powertech's shares saw a significant jump, opening at Rs342, a 90% premium to the IPO price of Rs180. The SME stock quickly hit the 5% upper circuit, touching Rs359.10, and recording a near 100% gain from its issue price. The company, which raised Rs49.91 crore through the IPO, saw over 8.06 lakh shares change hands on the NSE, with a traded value of Rs28.49 crore. Its market capitalization stood at Rs362.11 crore.
Strong IPO Subscription
Lakshya Powertech's IPO, which was open from October 16 to October 18, 2024, received an overwhelming response, being oversubscribed by 573.46 times. Investors bid for more than 108.31 crore shares against the 18.88 lakh shares on offer. Prior to its IPO, the company raised Rs13.39 crore from anchor investors, allotting 7.44 lakh shares at Rs180 per share.
Utilization of IPO Proceeds
The funds raised through the IPO will be used for various purposes, including repaying existing debt, fulfilling working capital requirements, and covering general corporate expenses. The allotment of shares was finalized on October 21, 2024, with KFin Technologies serving as the registrar for the issue.
About Lakshya Powertech
Established in 2012, Lakshya Powertech specializes in engineering, procurement, construction, and commissioning services, particularly in mechanical and electrical domains. The company also offers operations and maintenance services for gas-fired power plants, catering to clients across both the public and private sectors. With this successful listing, Lakshya Powertech has cemented its position in the SME segment, reflecting strong investor confidence.
Disclaimer: Stock market investments are subject to risks. Investors should conduct their own research or consult financial advisors before making any decisions.
