Tunwal E-Motors IPO: NSE SME issue subscribed 2 times on first day; check key details

Tunwal E-Motors Limited IPO (Tunwal E-Motors IPO) saw a strong demand from investors on the first day of bidding, on Monday, July 15. The initial public offering (IPO) of the electric vehicles maker was subscribed two times at the end of bidding on the first day.

Tunwal E-Motors Ltd IPO received bids for over 3.62 crore shares against 1.86 crore shares on offer, leading to an overall subscription of 1.94 times, as per the NSE data.

Retail investors led the demand for Tunwal E-Motors IPO shares. Retail investors placed bids for 2.66 crore shares against 93.1 lakh shares set aside for the category leading to a subscription of 2.85 times. The Non-Institutional Investors (NIIs) applied for over 95.98 lakh shares compared to 93.1 lakh shares set aside for them. The category was subscribed 1.03 times.

Tunwal E-Motors IPO issue size, price band and lot size

The Tunwal E-Motors Ltd IPO is valued at ₹115.64 crore. The electric vehicle maker’s public issue comprises a combination of a fresh issuance of 138.5 lakh shares, aggregating to ₹81.72 crore, along with an offer for sale of 57.5 lakh shares aggregating to ₹33.93 crore.

The price band for Tunwal E-Motors IPO has been fixed at ₹59 per share. Retail investors can bid for a minimum lot size of 2000 shares which aggregates to an investment of ₹1,18,000. High Net Worth Investors (HNIs) can place bids for a minimum of 2 lots or 4,000 shares which amounts to ₹2,36,000.

Tunwal E-Motors IPO allotment status and listing date

The subscription window for Tunwal E-Motors IPO is open from July 15 to July 18. The share allotment is likely to be finalised on Friday, July 19. The successful bidders will receive shares in their demat accounts on July 22, and refunds for unsuccessful bidders will be initiated the same day.

Tunwal E-Motors shares will be listed on the NSE SME platform Emerge. The tentative IPO listing date is Tuesday, July 23.

Tunwal E-Motors IPO objective

The EV maker plans to use the proceeds of the public issue to fund the company's working capital requirements. The funds will also be used for research and development, pursuing inorganic growth, and other general corporate purposes.

Tunwal E-Motors IPO key financials

In FY24 Tunwal E-Motors’ revenue grew nearly 38% to ₹105.54 crore compared to ₹76.55 crore in FY23. The EV maker’s profit after tax surged 217% in FY24 to ₹11.81 crore compared to ₹3.72 crore in FY23. The net worth of the company increased 150% in FY24 to ₹20.53 crore compared to ₹8.21 crore in the preceding fiscal.

Tunwal E-Motors IPO Promoters

Tunwal E-Motors’ promoters are Jhumarmal Pannaram Tunwal, Amitkumar Pannaram Mali And Jhumarmal Pannaram Tunwal HUF. The promoters of the EV maker collectively hold 97.04% stake in the company ahead of the issue. After the public issue the shareholding of the promoters in Tunwal E-Motors will reduce to 2.34%.

Tunwal E-Motors IPO registrar

The registrar for Tunwal E-Motors IPO is Skyline Financial Services Private Ltd. The book running lead manager for the public issue is Horizon Management Private Limited. The market makers for the EV maker’s public issue are Nikunj Stock Brokers and Giriraj Stock Broking.

About Tunwal E-Motors Limited

Tunwal E-Motors was incorporated in December 2018 as an EV manufacturing company. The company specialises in designing, developing, manufacturing, and distributing high-quality electric two-wheelers. Its product portfolio comprises 23 electric two-wheeler models. The company operates through 256 dealers in 19 states. Its manufacturing facility is located in Sikar, Rajasthan. As of March 31, 2024, the company had 64 permanent employees.