Vdeal System shares debut with 51% premium over IPO price on NSE SME

The Rs 18-crore public offer was subscribed to more than 70 times over three days

Shares of Vdeal System were off to a robust start on its stock market debut on September 3 after listing at Rs 170, a premium of 51.79 percent over the issue price of Rs 112 per share on the NSE SME platform.

The listing gains top grey market estimates were shares were trading at a premium of 26 percent. The grey market is an unofficial ecosystem where shares start trading much before the offer opens for subscription and continue to trade till the listing day.

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The Rs 18-crore public offer was subscribed to more than 70 times over three days with retail investors being the most active, buying 75 times their allotted quota. Non-institutional investors bought slightly over 60 times. Qualified Institutional Buyers or QIBs didn't subscribe to the offer.

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Founded in December 2009, Vdeal System Limited provides integrated electrical and automation solutions. The company specializes in smart low voltage (LV) panels, smart medium voltage (MV) panels, smart variable frequency drive (VFD) panels, medium voltage (MV) soft starters, energy management systems (EMS), and smart programmable logic controller (PLC) panels.

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The company plans to use the issue proceeds to meet its working capital requirements, prepay or repay certain secured and unsecured loans, cover general corporate purposes, and meet offer-related expenses.

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