Paramount Speciality Forgings IPO Day 2: Issue subscribed 3 times on high retail demand

Paramount Speciality Forgings IPO has received a strong response from investors. On Wednesday, the second day of bidding, the NSE SME issue was subscribed 3.08 times.

Retail investors led the demand as they subscribed 4.96 times the portion reserved for them. The IPO was booked 1.45 times in the non-institutional investors (NIIs) category, while the qualified institutional buyers (QIBs) portion was subscribed 1.14 times.

Paramount Speciality Forgings IPO: Offer size, price band and other details

Paramount Speciality Forgings IPO is worth ₹32.34 crore and consists of a combination of fresh issue of 48.02 lakh shares aggregating to ₹28.33 crore along with an offer for sale of 6.8 lakh shares amounting to ₹4.01 crore. Paramount Speciality Forgings IPO price band has been fixed at ₹57 to ₹59 per share.

Retail investors interested in applying for Paramount Speciality Forgings IPO can place bids for a minimum lot size of 1 lot consisting of 2,000 shares, which aggregates to an investment of ₹1,18,000. On the other hand, high net-worth individuals (HNIs) can place bids for a minimum of 2 lots or 4,000 shares which amounts to an investment of ₹2,36,000.

Paramount Speciality Forgings IPO listing date, allotment status

Paramount Speciality Forgings IPO is open for subscription from September 17 to September 20. The share allotment status is likely to be finalised on Monday, September 23. After the share allotment status of the public issue is finalised, refunds will be initiated for unsuccessful bidders on Tuesday, September 24. Successful bidders will receive shares of Paramount Speciality Forgings in their Demat accounts on the same dau.

The company’s shares will be listed on the NSE SME platform, Emerge, on Wednesday, September 25.

Paramount Speciality Forgings IPO registrar and promoters

The registrar for Paramount Speciality Forgings IPO is Purva Sharegistry India Pvt Ltd. The book running lead manager is Swaraj Shares & Securities Pvt Ltd, and the market maker for the issue is Shreni Shares.

Paramount Speciality Forgings promoters include Aliasgar Roshan Hararwala, Aliasgar Abdulla Bhagat, Mohammed Salim Hararwala, Abdulla Aliasgar Bhagat, Hoozefa Saleem Hararwala, Abbasali Salim Hararwala, Zahid Mohamadi Hararwala and Roshan Alihusain Hararwala. The promoters jointly held 100% stake in the company before the issue and after the issue their stake will reduce to 72.15%.

Paramount Speciality Forgings: Key financials

In FY24, Paramount Speciality Forgings’ revenue increased over 1% to ₹113.63 crore compared to ₹112.24 crore in FY23. The company’s profit-after-tax (PAT) grew more than 163% to ₹7.25 crore in FY24 against ₹2.75 lakh in FY23. In FY24, Paramount Speciality Forgings’ net worth grew over 46% to ₹22.91 crore compared to ₹15.66 crore in FY23.

Paramount Speciality Forgings IPO objective

Paramount Speciality Forgings plans to use the proceeds of the public issue for the purchase of machinery and equipment and for other general corporate purposes.

About Paramount Speciality Forgings

Paramount Speciality Forgings Limited was incorporated in 1994. The company is a manufacturer of steel forgings and offers a range of forged products. The company’s manufacturing facilities are located in Kamothe and Khalapur, Maharashtra.