Beezaasan Explotech IPO opens to weak demand, muted debut for two SME issues; check primary market highlights

The primary market investors witnessed a lacklustre day on February 21 as two new stock listings failed to generate any returns for investors. Poor listings also had a rub-off effect on the demand for the newly opened initial public offering (IPO) on Friday and raised concerns over the upcoming issues.

Beezaasan Explotech IPO failed to see any significant demand on the first day of bidding. On the other hand, shares of LK Mehta Polymers and Shanmuga Hospital opened flat on the BSE SME platform.

Here’s a look at the major developments in the IPO market on Friday, February 21:

Poor opening for Beezaasan Explotech Ltd IPO

The SME IPO of Beezaasan Explotech Ltd opened for subscription today without creating any buzz.

At the end of bidding at 5 pm on Day 1, the BSE SME issue was subscribed only 43%. The retail portion of the IPO was booked 33%, while the non-institutional investors (NIIs) segment was subscribed 44%. The Qualified Institutional Buyers (QIBs) category was subscribed 61%.

The ₹59.93-crore Beezaasan Explotech IPO is a book-built issue made up entirely of a fresh issuance of 34.25 lakh shares. The price band has been set at ₹165 to ₹175 per share and the minimum bid size is 800 shares.

The IPO subscription will close on February 25. The allotment of shares is expected to be finalised on February 27. The company's stock is scheduled to be listed on the BSE SME platform on March 3.

Swasth Foodtech India IPO Day 2

The ₹14.92-crore SME IPO of Swasth Foodtech India Ltd was going strong on the second day of bidding. The issue was booked nearly 4 times at the close of bidding on the second day.

The retail portion of the IPO was subscribed more than 6 times, while the NIIs segment was fully booked.

Shares in the IPO are being offered at a price of ₹94 apiece in a lot size of 1,200 units. Bidding in the issue will close on February 24. Allotment of shares is expected to be finalised on February 25. Swasth Foodtech IPO shares are scheduled to be listed on the BSE SME platform on February 28.

HP Telecom India IPO Day 2

Bidding in the ₹34.23-crore SME IPO of HP Telecom India Ltd was slow on the second day of bidding as well.

However, the IPO managed to get fully subscribed on the second day led by the retail investors. Both the retail and NIIs categories were booked 1.06 times and 1.45 times, respectively.

Shares in the IPO are being offered at a price of ₹108 apiece in a lot size of 1,200 units. Bidding for the issue will close on February 24. The IPO share allotment is expected on February 25. HP Telecom India shares are scheduled to be listed on the NSE Emerge platform on February 28.

Two new listings

Shares of plastic products manufacturer LK Mehta Polymers Ltd made a quiet trading debut on Friday with the stock listing flat on the BSE SME platform. The share price opened the session at ₹71.1 apiece, up 0.1% compared to its IPO price of ₹71. Within minutes of the opening of the session, the share price fell 5% to hit the day’s low of ₹67.5 apiece.

Similarly, shares of another SME firm Shanmuga Hospital Ltd also listed flat on the BSE SME platform today at ₹54 apiece, the same as its IPO price. Soon after the listing, the stock declined 5% to hit the lower circuit limit at ₹51.3 apiece.