Inox India shares will be listed at the bourses today. The company has fixed the IPO price at ₹660. The sudden sell-off in the secondary market has created anxiety around its listing, as the IPO witnessed a robust response from all category of investors, especially from institutions.
The IPO was subscribed 61.28 times, with the QIB portion bid 147.80 times, portion for non-institutions 53.20 times, and that for retail investors 15.30 times.
Inox India IPO: Should you subscribe?
The stock commanded a premium of ₹530 in the grey market, suggesting a listing at ₹1,190 a share, a gain of about 80 per cent over its issue price (₹660). However, with the mood in the bourses turning weak, analysts see the premium coming down sharply.
“Inox India is the leading cryogenic equipment supplier in India, benefiting from rising demand in sectors such as healthcare, space exploration, and food processing. It boasts a diversified product portfolio and a strong order book. With strong fundamentals and a growing market, Inox India has the potential for long-term value creation; thus, we recommend holding it with a long-term view, said Shivani Nyati, Head of Wealth, Swastika Investmart Ltd.
The issue is entirely an offer-for-sale of 2.21 crore shares by its existing shareholders and promoters. Siddharth Jain, Pavan Kumar Jain, Nayantara Jain, Ishita Jain, Manju Jain, and Lata Rungta, among others, offloaded shares under the OFS. They raised ₹1,459 crore through the OFS.
Ahead of the IPO, Inox India raised ₹438 crore from anchor investors, allotting 66.33 lakh shares to 41 funds at ₹660 apiece. Among the fund houses that participated in the anchor book were Abu Dhabi Investment Authority, Nomura, Goldman Sachs, ICICI Prudential Life Insurance Company, HDFC Life Insurance Company, SBI Mutual Fund (MF), HDFC MF, Nippon India MF, Axis MF, Aditya Birla Sun Life MF and Tata MF.
Inox India, one of the leading cryogenic tank manufacturers, has over 30 years of experience, offering solutions across design, engineering, manufacturing, and installation of equipment and systems for cryogenic conditions.
The company’s offering includes standard cryogenic tanks and equipment, bespoke technology, equipment, and solutions, as well as large turnkey projects that are used in industries such as industrial gases, LNG, green hydrogen, energy, steel, medical and healthcare, chemicals and fertilisers, aviation and aerospace and construction.
ICICI Securities and Axis Capital are the book-running lead managers.