Indo-MIM IPO Debuts 45% Premium on BSE, Surpassing Expectations
By ThePip Desk
Indo-MIM shares surged 45% on BSE debut, far exceeding grey market predictions after its IPO saw a massive 72.34x subscription. Explore the IPO details and market cap.
Indo-MIM shares opened at an approximate 45% premium on stock exchanges Thursday, notably surpassing grey market expectations. This strong debut followed its initial public offering (IPO) being subscribed an impressive 72.34 times.
Key IPO Figures
- BSE listing premium: 44.95%
- NSE listing premium: 44.33%
- IPO subscription rate: 72.34 times
- IPO price band: Rs 461-485 per share
- Funds raised via IPO: Rs 3,812.11 crore
- Market capitalization post-listing: Rs 34,762.01 crore
- Anchor investor funds: Rs 1,141 crore
- Grey market anticipated gain: around 38%
The Bengaluru-headquartered company, a global leader in Metal Injection Moulding (MIM), saw its IPO fully subscribed on its first day of bidding. The offering was open to investors from July 23 to July 27.
Mahesh M. Ojha, VP – Research & Business Development at Kantilal Chagganlal Securities Pvt. Ltd., suggested that allotted investors should hold the stock for long-term growth. He noted Indo-MIM’s reasonable valuation compared to its closest global peer, which trades at over 148x P/E.
Growth Trajectory & Strategy
Indo-MIM boasts the world’s largest installed MIM capacity and serves numerous global Original Equipment Manufacturers (OEMs). The company is strategically positioned to benefit from several market dynamics.
- Projected global MIM market growth: from USD 3.2 billion in 2026 to USD 4.7 billion by 2035
- Compound Annual Growth Rate (CAGR): 4.4%
- Benefiting from: ‘China+1’ manufacturing shift, India’s supportive policy environment, Production Linked Incentive (PLI) schemes, strong manufacturing growth.
Financial Allocations
From the fresh issue proceeds, the company plans to allocate Rs 400 crore towards pre-payment or repayment of specific outstanding borrowings. The remaining funds are earmarked for general corporate purposes.
Established in 1996, Indo-MIM specializes in precision engineering components using advanced MIM technology. They offer comprehensive end-to-end manufacturing solutions.