Hyderabad company MTAR Tech’s IPO subscribed 201 times – Times of India

MUMBAI: The Rs 600-crore IPO for MTAR Technologies, a Hyderabad-based precision engineering options company, which closed on Friday, was subscribed 201 times, making it the fifth most subscribed supply since 2000. The company collected within the IPO about Rs 84,000 crore in opposition to shares price Rs 417 crore that was on supply in the course of the bidding course of, official knowledge confirmed.
The institutional half within the IPO was subscribed virtually 165 times. Non-institutional buyers’ portion, additionally known as excessive internet price people, was subscribed over 650 times and the retail portion over 28 times. This was the best ever subscription to an IPO of dimension of over Rs 200 crore and one of the best ever within the manufacturing sector, service provider bankers stated.

Given the sturdy subscription determine that was recorded from day 1 of the IPO, the gray market premium for MTAR Tech shares have been rising. On Friday night it was within the Rs 530-535 per share vary.
Since the absence of about three months — between mid-March and mid-June final 12 months when IPOs had fully dried up as a result of Covid-related nationwide lockdowns — such presents have made a robust comeback. Happiest Minds Technologies IPO, which got here in June 2020, was subscribed 151 times.
Several different IPOs have additionally been subscribed about 150 times or extra as service provider bankers suggested promoters to cost the presents attractively. Most of the businesses that went public additionally had sturdy fundamentals, which too helped appeal to a big quantity of buyers, market gamers stated.
The sturdy subscription determine for MTAR Tech IPO additionally reveals how a former prime enterprise capitalist made large cash. Mathew Cyriac, an ex-Blackstone India honcho, whose entities Fabmohur Advisors and Solidus Advisors had acquired over a 3rd within the company in 2017 for about Rs 39 per share, bought a component of the stake within the IPO, more likely to be priced at Rs 575 per share.