Resourceful Automobile share price: Stock makes flat debut as shares list at ₹117 on BSE SME

The ₹11.99 crore initial share sale was oversubscribed 419 times, receiving bids worth close to ₹4,800 crore. The category reserved for non-institutional investors (NIIs) was subscribed 315.61 times, while retail individual investors quota received 496.22 times the subscription.

Resourceful Automobile had reserved 47.8% each of the total issue size for NIIs and retail investors, respectively. The remaining 5.04% of the issue was set aside for the market maker portion.

The company's IPO, a fixed-price issue at ₹117 per equity share, was live from August 22 to August 26.

The public offer was entirely a fresh issue of 10.25 lakh shares; there was no offer-for-sale (OFS) component.

The company intends to use the IPO proceeds for expansion by opening new showrooms in Delhi/NCR, clearing debt, fund working capital requirements, and general corporate purposes.

Swastika Investmart Ltd was the IPO's book-running lead manager, while Cameo Corporate Services Ltd was the registrar.

About Resourceful Automobile

Founded in 2018, Resourceful Automobile, a Delhi-based company, operates under the brand name Sawhney Automobile. It deals in Yamaha two-wheelers. With two outlets and a workforce of eight, it specialises in selling and servicing motorcycles and scooters.

In the financial year 2023-24 (till February 2024), Resourceful Automobile reported ₹17.24 crore as revenue from operations as against ₹19.4 crore for the entire FY23. Its profit after tax (PAT) during the 11 months of FY24 stood at ₹1.5 crore, up from ₹41.5 lakh in fiscal year 2023.