TechEra Engineering IPO allotment finalised: Latest GMP, how to check status online

TechEra Engineering IPO allotment: The allotment of TechEra Engineering's initial public offering (IPO) was finalised on Monday, September 30, after overwhelming interest and robust subscriptions.

The SME IPO, valued at ₹35.9 crore, opened for bidding on September 25 and closed on September 27. The price band was set in the range of ₹75-82 per share.

Investors can check the TechEra Engineering IPO allotment status online through the official portal of the IPO registrar, Kfin Technologies Ltd.

The company will credit the equity shares on Tuesday, October 1, into the Demat accounts of investors who have received the allotment. Refunds for rejected applications will also be processed the same day. TechEra Engineering IPO is slated to list on NSE SME on Thursday, October 3, 2024.

How to check IPO allotment status

Step 1: Go to the IPO registrar website of Kfin Technologies Ltd.

Step 2: From the selection menu, choose TechEra Engineering IPO.

Step 3: To discover the current status, pick a mode – click on the PAN, Demat account, or application number.

Step 4: Enter the required information, such as your application number, PAN (Permanent Account Number), or Demat Account number.

Step 5: Enter the ‘captcha’ to verify that you are not a robot.

Step 6: Click ‘submit’ to view allotment status.

About the IPO

The TechEra Engineering IPO was entirely a fresh issue of 43.78 38.86 lakh shares. There was no offer for sale (OFS) component in this issue. The minimum lot size for an application was 1600 shares, and the minimum investment required by retail investors was ₹1.31 lakh.

The IPO closed with strong demand, garnering 69.80 times bids in three days. The IPO received bids for 20.32 crore shares against 31.31 lakh shares on offer. The retail investor segment saw a subscription of 66.52 times, while the non-institutional investors (NII) category was booked 128.88 times. Meanwhile, the qualified institutional buyer's (QIB) quota was bid 31.22 times in the three days.

The company plans to use the net proceeds from the issue for several purposes, including funding capital expenditure to purchase new machinery, addressing its working capital needs, and repaying or prepaying a portion of certain outstanding borrowings. Additionally, the funds will be allocated for general corporate purposes and to cover issue-related expenses.

SKI Capital Services Limited is the book-running lead manager of the TechEra Engineering IPO, while the market makers are SKI Capital Services and Acme Capital Market.

About the Company

Techera Engineering (India) Limited, incorporated in 2018, specialises in designing, manufacturing, and supplying precision tooling and components for the aerospace and defence sectors, while also offering automation system solutions. The company produces a range of products, including assembly tools, jigs, fixtures, maintenance and repair tools, ground support equipment, and precision machined components, utilising advanced technologies like 5-axis machining and 3D modelling.

Certified with ISO 9001:2015 and ISO 14001:2018 for its quality management systems, Techera Engineering saw a significant 47 per cent revenue increase and a 270 per cent rise in profit after tax (PAT) between FY23 and FY24.

Review

“The company is engaged in the business of manufacturing and supplying critical components and tools for the aerospace and defence sector. It has also done better on the MRO front. The offer document has some anomalies and the IPO ad has some info missing. Based on FY24 earnings, the issue appears fully priced. Well-informed investors may park moderate funds for the medium term,” said Dilip Davda of Chittorgarh.com with a ‘may apply’ rating.

TechEra Engineering IPO GMP today

The IPO's grey market premium (GMP) today is ₹22 per share. This indicates an expected listing price of ₹104, a premium of 26.83 per cent over its issue price of ₹82. The GMP was the same as the previous two sessions, September 29 and 28, but declined from ₹25 on September 27.