The IPO of Mangal Electrical Industries is open for subscription at a price band of ₹533-₹561. The IPO comprises 71 lakh fresh shares and is trading at a 4% premium in the grey market. Analysts are advising to subscribe for long-term investment. Allotment is expected on August 25th and listing on August 27th.
IPO News: The IPO of Mangal Electrical Industries opened for subscription on August 20th and will remain open until August 22nd. The transformer manufacturing company aims to raise ₹400 crore, which includes 71 lakh fresh shares. The IPO's price band is ₹533-₹561 per share, and the grey market premium is recorded at approximately 4%. Analysts consider it attractive for long-term investment.
₹120 crore raised from anchor investors
Prior to the IPO launch, Mangal Electrical raised ₹120 crore from anchor investors on Tuesday, August 19th. Major investors such as Abakkus Diversified Alpha Funds, LC Pharos Multi Strategy Fund VCC, Societe Generale, Finavenue Capital Trust, Svøm India Alpha Fund, Sundaram Alternative Investment Trust, Imap India Capital Investment Trust, Sunrise Investment Trust, and Earth AI Growth Fund participated.
Shares divided into three categories
Mangal Electrical's IPO is in the form of a book-built issue. It includes 71 lakh equity shares as a fresh issue. Offer For Sale (OFS) is not included in this issue. The company has divided the proposed portion into three categories. More than 50 percent of the portion is reserved for Qualified Institutional Buyers (QIB), approximately 35 percent for Retail investors, and 15 percent for Non-Institutional Investors (NIIs).
Price Band and Lot Size
The IPO of Mangal Electrical is available at a price band of ₹533-₹561 per share. The lot size is set at 26 shares. Investors can apply for a minimum of 26 shares and in multiples thereof. Retail investors will have to invest a minimum of ₹14,586 for one lot and a maximum of ₹1,89,618 for 13 lots or 338 shares.
Grey Market Premium
Before the IPO opened, shares of Mangal Electrical were trading at ₹586 per share in the grey market. This indicates a premium of approximately ₹25 or 4.46 percent higher than the upper end of the issue price. This showed initial enthusiasm among investors.
Allotment and Listing Date
Applications for Mangal Electrical's IPO will close on August 22nd. Allotment is likely to be finalized on August 25th. Shares can be credited to Demat accounts on August 26th. Shares are likely to be listed on the BSE and NSE on August 27th.
