After receiving a strong response for its initial public offering on December 13-15, Data Patterns India will finalise the basis of its share allotment today.
The issue of the defense and electronics solutions provider was subscribed 119.6 times, with retail investors’ portion subscribed 23 times. Qualified institutional buyers and non-institutional investors bid for a whopping 190 and 254 times the portion of shares reserved for them, respectively.
Catch all the live market action here
The company will raise Rs 588 crore through the public issue. Of this, Rs 240 crore as a fresh issue will be utilized for capex expenditure, debt repayment and funding of working capital requirement.
Here’s how to check the share allotment status on the websites of BSE and the IPO registrar:
On the BSE website, follow these three steps:
1. Select issue type (Equity), and issue name (Data Patterns)
2. Enter Application Number and PAN Number
3. And finally check box (I’m not a robot) and click on search button
Also read: Falling grey market premium sent warning to retail, high networth investors
On the IPO registrar’s website, follow these steps:
1. Select Company Name (Data Patterns)
2. Select and accordingly enter either PAN Number, or Application Number, or DP/Client ID, or Account Number / IFSC
3. And finally enter captcha and click on submit button
The shares of Data Patterns were trading at a premium of Rs 280 apiece in the grey market, down from Rs 600 a week ago, as per data from IPO Watch.
This indicates a premium of 47 percent to the issue price of Rs 555-585 per share.
Several brokerages including Angel One, ICICI Direct, Motilal Oswal, Nirmal Bang and Yes Securities had a “subscribe” rating on the issue.
Read all the IPO-related news here
Motilal Oswal Securities is bullish on the company on the back of its vertically integrated business model, well-diversified portfolio, robust order book and strong client relationships.
“The issue is valued at 55x FY21 P/E (on a post issue basis), v/s. 167x for MTAR and 138x for Paras Defense. We believe it could benefit from the government impetus on the defense/ aerospace expenditure,” the brokerage said.
Also read: MapmyIndia sees stellar debut despite market volatility, lists with 53% premium
The company clocked revenue growth at a CAGR of 31 percent during FY19-FY21, EBITDA (earnings before interest, tax, depreciation and amortisation) grew at a CAGR of 90 percent, and profit 169 percent in the same period, while its EBITDA margin expanded from 19.5 percent in FY19 to 41.1 percent in FY21.
After the finalisation of the share allotment today, unsuccessful bidders will get refunds on December 22, while successful bidders will receive shares in their demat accounts on December 23.
Data Patterns is expected to list on the BSE and the National Stock Exchange on December 24.
Disclaimer: The views and investment tips expressed by investment experts/broking houses/rating agencies on moneycontrol.com are their own, and not that of the website or its management. Moneycontrol.com advises users to check with certified experts before taking any investment decisions.
Discover the latest Business News, Sensex, and Nifty updates. Obtain Personal Finance insights, tax queries, and expert opinions on Moneycontrol or download the Moneycontrol App to stay updated!
