Aeron Composite IPO Day 1: Issue subscribed 72% so far; check key dates, price band and more

Aeron Composite IPO: The initial public offering (IPO) of Aeron Composite, a supplier of fibreglass reinforced polymer products, has been subscribed 72% so far on Wednesday, the first day of bidding.

The portion for retail investors was subscribed 76%, while the non-institutional investors (NIIs) quota was subscribed 26%. The part set aside for qualified institutional buyers received 99% subscription.

Aeron Composite IPO has set a price band of ₹121-₹125 per share and is live from August 28 to August 30. The public offer is solely a fresh issuance of shares worth ₹56.1 crore.

On Tuesday, the Ahmedabad-based company raised ₹15.17 crore from anchor investors, including India Ahead Venture Fund, AG Dynamic Funds Limited, Nav Capital VCC, Finavenue Capital Trust, Galaxy Noble Global Opportunities Fund PCC, and Craft Emerging Market Fund PCC.

A total of 12,14,000 equity shares were allotted to as many as ten fund schemes at ₹125 per equity share, the upper end of its IPO price band.

Investors can bid for at least 1,000 shares and in multiples after that. The 35% of the issue is set aside for retail investors, 15% for HNIs and 50% for QIBs.

The fresh issue proceeds will be used to fund the capital expenditure requirements for setting up an additional manufacturing plant in Gujarat and for general corporate purposes.

Aeron Composite IPO: Key dates

• Bidding period: August 28 to August 30
• Allotment finalisation: September 2
• Refund initiation: September 3
• Credit to Demat account: September 3
• Listing on NSE Emerge: September 4

About Aeron Composite

Incorporated in 2011, Aeron Composite Ltd manufactures and supplies fibreglass-reinforced polymer (FRP) products, including FRP rods, FRP pultruded products and FRP moulded gratings.

For the financial year 2023-24 (till February 2024), the company reported a revenue of ₹179.1 crore and a profit after tax (PAT) of ₹9.42 crore. Its revenue stood at ₹179.38 crore in 2022-23, and its profit was ₹6.61 crore.