HP Telecom India IPO opens to tepid demand, issue booked 67% so far: Check subscription, price band and key dates

The ₹34.23-crore NSE SME issue is available for subscription till February 24.

The fixed price issue was booked nearly 71% so far on the first day of bidding. As per the NSE data, the fixed price issue attracted bids for over 21.3 lakh shares against 30.09 lakh shares on offer.

The retail investors applied for over 8.96 lakh shares against the allocation of 15.04 lakh shares. The retail quota was booked approximately 60%. The Non-Institutional Investors (NIIs) booked their category nearly 81% with bids for 12.16 lakh shares against 15.04 lakh shares reserved for them.

Here are the key details about the SME issue for the investors interested in applying for the shares of HP Telecom India Ltd.

HP Telecom India IPO offer size, price band and minimum investment

HP Telecom India IPO consists exclusively of a fresh issue of 31.69 lakh equity shares, aggregating to ₹34.23 crore. The issue does not have any offer-for-sale (OFS) component.

The company has fixed the IPO price at ₹108 per share for the IPO. The minimum lot size is 1,200 shares, amounting to a minimum investment of ₹1,29,600. The retail investors need to apply for at least a single lot size.

Interactive Financial Services Ltd is the book-running lead manager of the HP Telecom India IPO. The registrar for the issue is Bigshare Services Pvt Ltd. The market maker for the IPO is Aftertrade Broking Pvt Ltd.

HP Telecom India IPO key dates

Following the subscription, HP Telecom India IPO allotment status is expected to be finalised on Tuesday, February 25. Refunds will be issued on Thursday, February 27, and the allottees will also receive shares in their Demat accounts the same day.

The company has proposed to list its shares on the NSE SME platform, Emerge, on February 28.

About HP Telecom India and use of IPO proceeds

HP Telecom India Ltd, incorporated in 2011, initially started operations as a mobile phone distributor. The company has now diversified into the distribution of home appliances. It has secured exclusive rights for the distribution of Sony LED TVs, mobiles and other brands in Gujarat. Its product portfolio includes LED/LCD home theatres and air conditioners.

Currently, it is the sole distributor of Apple products in Chhattisgarh, Madhya Pradesh and select cities in Uttar Pradesh and Gujarat.

It has secured exclusive distribution rights for top brands like Sony, Nokia, Intex and Apple. During the Covid-19 pandemic, the company pivoted to manufacturing N95 masks.

The mobile phones and accessories distributor has proposed to use the net proceeds generated from its initial public offering for funding the company’s working capital requirements as well as for general corporate purposes.

HP Telecom India Key Financials

As of September 30, 2024, the company’s revenue from operations stood at ₹581.23 crore. It reported a net profit of ₹5.23 crore in the same period.

For the financial year ended March 31, 2024, HP Telecom India’s revenue from operations was recorded at ₹1,058.91 crore compared to ₹637.5 crore in the preceding fiscal (FY23).

Its profit after tax (PAT) for FY24 stood at ₹8.6 crore, marking a 35% year-on-year increase compared to ₹6.35 crore in FY23.