Final day of SME IPOs: LK Mehta Polymers subscribed 42.28 times, Shanmuga Hospital booked 2.43x

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The SME public issues of LK Mehta Polymers has received healthy demand from investors, oversubscribing 42.28 times on February 17, the final day of bidding, while the demand for Shanmuga Hospital's initial share sale has been much lower, at 2.43 times.

Both public issues had opened for subscription on February 13.

LK Mehta Polymers IPO

Investors have bought 4.39 crore equity shares of the plastic products maker till February 17, against the offer size of 10.4 lakh shares, through 15,314 applications, as per subscription data from BSE.

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The Madhya Pradesh-based company is looking to raise Rs 7.38 crore via an IPO that comprises of solely fresh issue of 10.4 lakh shares at a price of Rs 71 per share.

LK Mehta Polymers intends to utilise IPO proceeds for its incremental working capital requirement, and general corporate purpose.

Shanmuga Hospital IPO

The Tamil Nadu-based multi-specialty hospital operator entered capital markets to raise Rs 20.62 crore via an initial share sale of 38.18 lakh shares at a price of Rs 54 per share. Investors have picked 92.8 lakh shares till Monday via 4,198 applications, BSE data showed.

Shanmuga Hospital, with 151 bed capacity, plans to spend IPO proceeds mainly for purchase of additional medical equipment for its hospital, and the remainder funds for general corporate purposes.

Both companies will finalise the IPO share allotment by February 18. The trading in their respective equity shares will commence on the BSE SME exchange effective February 21, as per the schedule, though it may be subject to change.

Swastika Investmart is acting as the book running lead manager for LK Mehta Polymers IPO, while the merchant banker handling the Shanmuga Hospital issue is Finshore Management Services.