Unimech Aerospace and Manufacturing’s IPO received a tumultuous response from all category investors as the issue was subscribed 175.31 times on the last day of the issue, Thursday. The ₹500 crore issue generated bids worth ₹64,731 crore.
The tech solutions company’s IPO that launched on Monday had a price band of ₹745-785. The IPO included ₹250 crore worth of new issues and an equal amount offered for sale by promoters and selling shareholders.
The issue attracted bids of 82.46 crore shares, compared to the 47.04 lakh shares on offer. The retail and HNI portions were subscribed 56.74 times and 263.79 times respectively, while the quota for qualified institutional buyers was subscribed a whopping 317.63 times. The employee quota (20,134 shares) was bid 97.80 times.
Unimech Aerospace and Manufacturing has secured ₹149.55 crore from anchor investors ahead of its IPO. Foreign and domestic institutions that participated in the anchor book included Goldman Sachs India Equity Portfolio, ICICI Prudential Transportation and Logistics Fund, Tata India Innovation Fund, Motilal Oswal, Edelweiss Trusteeship, Ashoka India Investment Fund, Abakkus Diversified Alpha Fund-2, VQ Fastercap Fund HSBC Flexi Cap, Copthall Mauritius, Clarus Capital and others.
The funds raised from the issues will be used for capital expenditure (expansion through the purchase of machinery and equipment); working capital requirements; investment in material subsidiary for: – purchase of machinery and equipment, to finance working capital needs; and repayment/prepayment, in whole or in part, of certain loans availed by it; and general business purposes
The company’s niche focus on aerospace and defense, export-driven model and planned capacity expansions position it well for growth in high-potential sectors such as semiconductors and renewable energy, making it a promising long-term investment.
Founded in 2016, Unimech’s product range includes engine lifting and balancing beams, assembly, disassembly and calibration tools, ground support equipment, airframe mounting platforms, engine transport stands, mechanical and electromechanical turnkey systems and precision components.
