Indo-MIM shares
Indo-MIM IPO: Indo-MIM, a company manufacturing special engineering components, entered the stock market today and created a stir as soon as it came. Those who had invested money in the IPO of this company, got a huge profit of about 45 percent with the listing. This share, priced at Rs 485, opened directly at Rs 703 on the Bombay Stock Exchange (BSE). The IPO increased investors’ money by almost one and a half times on the very first day.
Investors made bumper earnings as soon as the market opened
As soon as the shares of Indo-MIM came into the market, they filled the pockets of investors. The share jumped 44.94 percent from its issue price on BSE and started trading at Rs 703. After this the stock gained even more momentum. Within no time it jumped 55 percent to the level of Rs 757.75. At 3 o’clock the shares were trading at the level of Rs 742. The invested capital of the common investors who had received these shares increased by almost one and a half times in a single day.
The signal was received at the time of subscription itself.
Stock market experts were expecting such a strong start from this company. In fact, when Monday was the last day to invest money in this IPO, it was subscribed more than 72 times (72.34 times). Due to such a large number of bids, it became clear that people are desperate to buy this share.
The company had kept the price of its shares between Rs 461 and 485. After this tremendous response from investors and excellent listing, now the total market value (market cap) of Indo-MIM has crossed Rs 35,132.87 crore.
The company will reduce its debt burden with the money raised from IPO.
This company, which has its head office in Bengaluru, has already prepared a clear plan for the money raised through IPO. New shares worth Rs 500 crore have been issued in this public issue. Apart from this, the old shareholders of the company have sold about 6.83 crore shares under Offer for Sale (OFS).
The company management says that out of the Rs 500 crore received from the new shares, Rs 400 crore will be used to repay the old loans of the bank. The remaining money will be invested in the remaining work and expansion of the company. Due to reduction in debt, the company will become more financially strong, the benefit of which will be available in the future only to the shareholders who invest money for the long term.
Three decades old experience in engineering sector
The reason behind this excellent response from the market is the company’s long experience and their way of working. Indo-MIM, formed in the year 1996, uses a special technology ‘Metal Injection Molding’ (MIM). Through this modern technology, the company manufactures extremely fine and precisely engineered parts. This company does not stop at just making parts, but also provides complete manufacturing related services at one place. Due to this strong technical hold, this company has been able to make such a successful entry in the stock market today.
Disclaimer: This article is for information only and should not be considered as investment advice in any way. TV9 Bharatvarsha advises its readers and viewers to consult their financial advisors before taking any money related decisions.
