Rulka Electricals IPO subscription: Issue booked 2.6x within hours of launch, check key details

Rulka Electricals IPO opened to a strong demand from investors on Thursday, May 16. The initial public offering (IPO) of the company was subscribed more than twice within hours of launch.

The book-built issue worth ₹ 26.4-crore comprises a fresh issue of 8.42 lakh shares amounting to ₹19.8 crore and an offer- for-sale (OFS) of 2.81 lakh shares worth ₹6.6 crore.

The public issue was booked 2.65 times with biddings for more than 19.85 lakh shares compared to 7.47 lakh shares on offer until 2:18 pm on the first day of bidding, the NSE data showed.

The retail portion was booked 2 times with biddings for 7.64 lakh shares against 3.73 lakh shares reserved for the segment. The non-institutional investors’ (NIIs) category was also fully subscribed with applications for more than 2.32 lakh shares against 1.6 lakh shares on offer.

However, the public issue did not receive any bids from the qualified institutional buyers (QIBs). The company has set aside 2.13 lakh shares for QIBs.

Rulka Electrical IPO’s book running lead manager is Beeline Capital Advisors Pvt Ltd. The registrar for the SME IPO is Bigshare Services Pvt Ltd and the market maker for the issue is Sunflower Broking.

Rulka Electrical IPO price band, lot size and minimum investment

Rulka Electrical IPO price band has been fixed at ₹223 to ₹235 per share. The retail investors can bid for a single lot size of 600 shares which translates to a minimum investment of ₹1,41,000. For the high net worth individuals (HNIs) the minimum application size is 2 lots, or 1,200 shares, amounting to a minimum investment of ₹2,82,000.

Rulka Electricals IPO allotment and listing

Rulka Electricals IPO subscription window opened on May 16 and will close on May 21. The allotment of shares will be done on May 22, 2024. Subsequently refunds will be issued to bidders who have not been allotted shares on May 23. Rulka Electricals shares are likely to list on the NSE SME platform on May 24.

Rulka Electricals IPO objective

The company will use the funds raised via the public issue to meet its working capital requirements, fulfilling general corporate purposes and for meeting the offer expenses.

About Rulka Electricals Limited

The company was founded in 2013 and is engaged in providing electrical and fire-fighting solutions for a diverse clientele including industrial, commercial, retail, and theatres. The company is also engaged in offering services such as electrical solutions, electrical panels, solar EPC contracts and turn-key electrical warehousing projects. The company generates 100% of its revenue through Turnkey Projects. As of February 29th, 2024, the company has 92 employees on its payroll.

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