EPC company Ceigall India IPO was subscribed 13.75 times, Ola Electric issue picks up momentum.
MUMBAI, Aug 5 (The CONNECT) – Despite the weak market conditions, investors thronged to subscribe to two major IPOs today with the public issue of engineering, procurement and construction company Ceigall India Limited getting subscribed 13.75 times on the final day of bidding, while the Rs 6,145.56 crore Offering of Ola Electric Mobility Limited was fully subscribed on the second day of bidding.
Vinit Sambre, Head – Equities at DSP Mutual Fund, said the market witnessed drawdown, driven by sharp cuts in markets such has Nikkei, Taiwan and Korea. The data on US employment is not encouraging either. These developments are causing panic, particularly as Indian markets, which trade at high valuations, could also see some sell-offs.
The Ceigall issue received bids of 30,67,00,770 shares against the offered 2,23,13,663 equity shares, at a price band of ₹380-401, according to the data available on the stock exchanges.
Qualified Institutional Buyer Portion was subscribed 31.5 times. Non-Institutional Investors Portion and Retail Portion were subscribed 14.39 times and 3.71 times respectively, whereas, Employee Portion was subscribed with 11.16 times.
ICICI Securities Limited, IIFL Securities Limited, and JM Financial Limited are the book running lead managers and Link Intime India Private Limited is the registrar to the offer. The equity shares are proposed to be listed on BSE and NSE.
The Ola issue received bids of 49,43,85,840 shares against the offered 46,51,59,451 equity shares, at a price band of ₹72-76, according to the data available on the stock exchanges. Overall the issue was subscribed 1.06 times.
Ola Electric manufactures EVs and certain core EV components like battery packs, motors and vehicle frames at the Ola Futurefactory. Its business focuses on capturing the opportunity arising out of electrification of mobility in India and also to export its EVs in select international markets in the future. It commenced the delivery of its first EV model, the Ola S1 Pro, in December 2021, followed by delivery of Ola S1 in September 2022, the Ola S1 Air in August 2023 and the Ola S1 X+ in December 2023.
Leading brokerage firms like Anand Rathi, Deven Choksey Research, Canara Bank Securities, and BP Equities, have given a “Subscribe” rating to the issue highlighting the company’s strong revenue growth, significant market share in the E2W segment, and robust investment in R&D and technology
