Osel Devices hits upper circuit after listing at 24% premium on NSE SME; check details

Shares of Osel Devices Limited made a strong debut on the NSE SME platform, Emerge on Tuesday, September 24, with the listing of its shares at ₹198.05 apiece, up 23.78% compared to its initial public offering (IPO) price of ₹160.

After listing, the stock declined more than 4% to trade at ₹190.1 apiece. However, the stock recovered early losses to hit the 5% upper circuit limit at ₹207.95 apiece on the NSE.

The minimum bidding quantity for Osel Devices IPO was 800 shares. Considering the minimum application size, successful bidders in the public offer would have made a profit of at least ₹30,440 (₹198.05- ₹160 x 800) as soon as the stock started trading on the exchange.

Osel Devices IPO was booked more than 194.31 times during the bidding that started on September 16 and ended on September 19. Investors across categories placed bids for over 57.06 crore shares of Osel Devices against net issue size of 29.36 lakh shares. The non-institutional investors (NIIs) quota was booked 321.75 times. Retail investors’ quota was oversubscribed nearly 206.07 times, while the qualified institutional buyers’ segment was booked 78.01 times.

Osel Devices IPO share allotment status was finalised on September 20. Refunds were initiated for unsuccessful bidders on September 23 and shares of Osel Devices were credited to the Demat accounts of successful bidders the same day.

Osel Devices plans to use the proceeds of the public issue to repay its loans, fund its working capital requirements, and for other general corporate purposes.

Osel Devices IPO was worth ₹70.66 crore and consisted of a fresh issue of 44.16 lakh shares. The price band was fixed at ₹155 to ₹160 per share.

Osel Devices Limited was founded in 2006. The company manufactures LED display systems and hearing aids for commercial use, such as advertising media and billboards. Osel Device’s manufacturing facility is located in Greater Noida and has a production capacity of 15,000 square feet of LED display per year and 4,00,000 units of hearing aids per year. As of March 31, 2024, the company employed 68 people.