Jyoti CNC Automation IPO: Issue subscribed 2.5 times on Day 1, retail portion booked over 8 times

In FY23, Jyoti CNC Automation reported a profit of Rs 15.06 crore against a loss of Rs 48.3 crore in the previous fiscal.

Jyoti CNC Automation's initial public offering was subscribed 2.5 times on the first day of bidding, January 9, with bids for 4.4 crore shares against an issue size of 1.75 crore shares.

Retail investors led the race and bought 8.2 times, high net-worth individuals picked 3.6 times their allotted quota while qualified institutional buyers were yet to warm to the issue, subscribing only 2 percent of their reserved portion.

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The Rs 1,000-crore public offer will close on January 11. The offer is entirely a fresh issue of 3.02 crore shares with the price band being fixed at Rs 315-331 per share. The stock is expected to be listed on the NSE and BSE on January 16.

Also read: Jyoti CNC Automation IPO fully subscribed on Day 1, GMP surges 29%

The company plans to use the net proceeds to finance long-term working capital needs and for the repayment of some of the borrowings and the remaining amount will be used for general corporate purposes.

The company operates three manufacturing facilities — two in Gujarat and one in Strasbourg, France. These units have an annual manufacturing capacity of 4,400 machines in India and 121 in France.

In FY23, Jyoti CNC Automation reported a profit of Rs 15.06 crore against a loss of Rs 48.3 crore in the previous fiscal. The revenue increased by 24.5 percent to Rs 929.3 crore.

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