IPO highlights: Quality Power IPO, along with two SME issues fully subscribed on Day 3; check details

Primary markets witnessed the closing of three initial public offerings (IPOs) on Tuesday: one mainboard issue and two small and medium enterprise (SME) issues. Investors also awaited the finalisation of share allotment in two other SME IPOs.

The mainboard issue of Quality Power Electrical Equipments Ltd and NSE SME issues of Tejas Cargo India Ltd and Royalarc Electrodes Ltd were fully subscribed on the last day of bidding, after witnessing a muted demand in the first two days. Markets were also gearing up for new IPO launches this week.

Quality Power IPO Day 3

The ₹858.70-crore mainboard IPO of Quality Power Electrical Equipments Ltd closed for bidding today with tepid demand. The issue was not fully subscribed by the end of the first half of the last day of bidding. At the end of bidding on Day 3, the IPO was booked 1.29 times.

The retail portion of the IPO was subscribed 1.83 times, while the non-institutional investors’ (NIIs) segment was subscribed 1.45 times. The Qualified Institutional Buyers’ (QIBs) quota was bought 1.03 times.

The IPO allotment status is expected to be finalised on February 19. Quality Power shares are scheduled to be listed on the BSE and the NSE on February 21.

Two SME IPOs fully booked on last day

The SME IPOs of Tejas Cargo India Ltd and Royalarc Electrodes Ltd also closed for bidding today. After receiving lacklustre response from investors in the first two days, the SME issues were fully booked on the last day.

The ₹105.84-crore Tejas Cargo IPO was subscribed 1.22 times. The NIIs fully subscribed their quota while the retail investors booked their segment 1.09 times. The QIBs portion was also subscribed 1.33 times.

Meanwhile, the ₹36-crore Royalarc Electrodes IPO was subscribed 1.67 times on Day 3. The retail category was booked 2.2 times, while the NIIs portion was subscribed 1.26 times. The QIBs quota was also fully booked.

The share allotment for both issues is expected to be finalised on Wednesday, February 19. Shares of Tejas Cargo and Royalarc Electrodes are scheduled to be listed on the NSE Emerge platform on February 24 and February 21, respectively.

Allotment awaited in two SME IPOs

Two SME IPOs of Shanmuga Hospital Ltd and LK Mehta Polymers Ltd are set to finalise the share allotment by the end of the day today.

The ₹20.62-crore Shanmuga Hospital IPO was oversubscribed 2.55 times from February 13-February 17. Bidders can check allotment status online on the official websites of BSE or the issue’s registrar, Integrated Registry Management Services Pvt Ltd.

The ₹7.38-crore LK Mehta Polymers IPO was booked more than 44 times from February 13 to February 17. Investors in the issue can check allotment on the websites of the IPO registrar Bigshare Services Pvt Ltd, or the BSE.

Both the SME stocks are scheduled to be listed on the BSE SME platform on February 21.

Upcoming IPOs this week

As many as three SMEs are set to launch their IPOs this week— Swasth Foodtech Ltd, HP Telecom India Ltd and Beezaasan Explotech Ltd.

The Swasth Foodtech IPO opens for subscription on February 20 and closes on February 24. The IPO is a fixed-price issue of ₹14.92 crore. Shares will be offered at a price of ₹94 apiece in a lot size of 1,200.

The HP Telecom India IPO also opens for subscription on February 20 and closes on February 24. It is a fixed-price issue of ₹34.23 crore. Shares in the IPO are priced at ₹108 apiece and would be available in a lot size of 1,200.

The Beezaasan Explotech IPO opens for subscription on February 21 and closes on February 25. It is a book-built issue of ₹59.93 crore. The price band is set at ₹165 to ₹175 per share. The minimum bid quantity for an application is 800.