Airfloa Rail Tech shares made a strong stock market debut on SME platform of the BSE to list at 90 percent premium over its IPO price, following a whopping over 300 times subscription to Rs 91.10-crore issue in the primary market between September 11-15.
Shares of Airfloa Rail Technology were listed at Rs 266 per share on the BSE, a strong premium of 90 percent. The company had set a price band of Rs 133-140 per share. The company's market capitalization post listing of shares stood at Rs 637.60 crore.
Airfloa Rail Tech IPO share listing was almost at par with the expectations in the grey market. The shares of the company were commanding a GMP of 125 percent in the unregulated market, indicating the maximum listing gains. As per SEBI rules, the market listing gains are capped at 90 percent for the SME issues.
Tamil Nadu-based Airfloa Rail Tech operates two manufacturing facilities in Chennai and Kancheepuram. It produces forged and machined components for rolling stock, aerospace and defence sectors, besides undertaking turnkey railway interior projects.
Of the IPO proceeds, Rs 13.7 crore has been allocated for purchase of machinery and equipment, Rs 59.3 crore for working capital, Rs 6 crore for debt repayment, while the balance is set aside for general corporate purposes.
For 2024-25, the company posted a profit of Rs 25.6 crore, up 79.6 per cent from Rs 14.2 crore a year earlier. Revenue rose 61.3 per cent to Rs 192.4 crore from Rs 119.3 crore in the same period.
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