JNK India IPO: Heating Equipment Maker's IPO Receives 49% Subscription On Day 1

JNK India IPO:  Heating equipment maker JNK India's initial public offering (IPO) received a subscription of 49% on the first day of bidding on Tuesday. According to data available from the National Stock Exchange (NSE), bids were received for 53,86,212 shares against the 1,10,83,278 shares on offer in the public offering.

The qualified institutional buyers (QIB) quota received a subscription of 67%, while the retail individual investors (RII) quota received a subscription of 48%. The non-institutional investors' share received a subscription of 25%.

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The IPO has a fresh issue of up to Rs300 crore and an offer for sale (OFS) component of 84,21,052 equity shares. Those selling shares in the OFS are promoters Gautam Rampelly, Deepak Kachharulal Bharuka, JNK Heaters Company Ltd and Mascot Capital & Marketing Pvt Ltd, and a shareholder Milind Joshi. The price range for the offer has been fixed at Rs395-415 per share.

On Monday, JNK India Ltd stated that it has raised Rs 195 crore from anchor investors. At the upper end of the price band, the IPO is valued at Rs 650 crore. IIFL Securities and ICICI Securities are the managers of the offer. The proceeds from the fresh issue will be utilized to fund working capital requirements and general corporate purposes.

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JNK India Thermal is engaged in the business of designing, engineering, manufacturing, supply, installation, and commissioning of heating equipment and provides services to both domestic and international markets. Heating equipment is required in industries such as oil and gas refineries, petrochemicals, fertilizers, and hydrogen and methanol plants. The equity shares are planned to be listed on BSE and NSE.

(With PTI Inputs)