The IPO market has recently seen significant momentum with several mainboard and SME companies entering the fray, garnering substantial response from investors. According to reports, investors are showing keen interest in these IPOs and are also reaping good returns from them.
One notable example in the IPO market is Sai Swami Metals & Alloys Limited, whose IPO subscription closed at a whopping 543 times on Friday. The anticipation for its listing is now palpable among investors and market enthusiasts.
Retail investors show heightened interest
Retail investors have shown significant interest in the IPO of Sai Swami Metals & Alloys. The SME IPO is valued at 15 crore rupees, with the company launching 23,72,000 equity shares. However, bids have been received for 128.98 crore equity shares. The retail investor category has subscribed 533 times, while the non-retail investor category has seen an increase in subscription to 538 times.
Exchange data shows that 11,86,000 equity shares were reserved for retail investors, instilling confidence in their participation.
Company Overview
Sai Swami Metals & Alloys Limited is based in Ahmedabad and manufactures stainless steel appliances. Its shares are scheduled to be listed on the BSE SME platform on May 8th. The IPO opened on April 30th with a share price of 60 rupees. Fifty percent of this IPO was reserved for retail investors. The funds raised through this IPO will be utilized for purchasing machinery, investing in subsidiary companies, and fulfilling working capital requirements.
The overwhelming response to Sai Swami Metals & Alloys Limited’s IPO reflects the growing interest of investors in the Indian capital market. The significant oversubscription indicates investor confidence in the company’s prospects and its growth potential. As the IPO market continues to thrive, it presents opportunities for both companies and investors to capitalize on India’s economic growth trajectory.