Shares of Harsha Engineers International made a stellar debut at the stock exchanges on Monday. After listing at nearly 35 per cent premium on the bourses — ₹444 on the BSE and ₹450 on the NSE — the stock closed 47 per cent higher at ₹485.90 on the BSE, 46 per cent higher at ₹482.70 on the NSE, against the issue price of ₹330.

The company’s ₹755-crore IPO was subscribed a massive 74.70 times, especially the portion reserved for qualified institutional buyers saw a whooping 178.26 times. While the retail category was subscribed 17.6 times, the quota allotted for NIIs saw a subscription of 71.3 times.

Anchor investors

The IPO comprised a fresh issue of ₹455 crore and open offer for sale (OFS) of ₹300 crore. 

Ahead of the issue, the company had raised ₹225.75 crore by allotting 68.40 lakh shares to 23 anchor investors including American Funds Insurance, Goldman Sachs India Equity, HDFC Small Cap Fund, Abu Dhabi Investment Authority and Nippon India Small Cap Fund.

The precision bearing cages manufacturer will utilise the proceeds for repaying some debts, purchase of machinery, and infrastructure repairs and renovation of existing production facilities including office premises in India, apart from general corporate purposes.

‘Welcome on board’

Rajendra Shah, Chairman and Whole-time Director – Harsha Engineers International, said, “We are really happy to go from being privately held to publicly held, with lakhs of public shareholders across the length, breadth and depth of India. We are grateful that tens of lakhs of retail investors, blue chip domestic institutional investors including mutual funds and insurance companies, and marquee internationally renowned investors, all participated in our IPO, and welcome them to join in our journey "

The market capitalisation stood at ₹4,423.83 crore on the BSE and at ₹4,394.70 crore on the NSE at the close of day.

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