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Hot Pursuit News

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(04 Dec 2024, 11:36)

NSE SME Abha Power and Steel makes a dull listing

Shares of Abha Power and Steel were trading at Rs 77.80 on the NSE, a premium of 3.73% compared with the issue price of Rs 75.


The scrip was listed at Rs 81.90, a premium of 9.20% over the initial public offer (IPO) price. The stock was currently down 5.01% compared to its listing price.

The counter hit a high of Rs 81.90 and a low of Rs 77.80. About 21.09 lakh shares of the company changed hands at the counter.

Abha Power and Steel's was subscribed 16.65 times. The issue opened for bidding on 27 November 2024 and it close on 29 November 2024. The price of the IPO was set at Rs 75 per share.

The issue size comprised of fresh issue of 41,39,200 and offer for sale (OFS) of 10,00,000 shares by existing promoter, Subhash Chand Agrawal. The promoter and promoter group shareholding will dilute to 72.35% from 100% pre-issue.

The company intends to utilize the net proceeds to meet working capital requirements of the company, funding the capital expenditure towards modernization and upgradation of the manufacturing facilities in Bilaspur, Chhattisgarh to expand its product portfolio and general corporate purpose.

Abha Power and Steel is an iron and steel foundry company specializing in customized castings. They produce a wide range of products, from small items to large castings, in various materials like mild steel, cast iron, and stainless steel. The company is certified by RDSO and supplies products to Indian Railways, NMDC, and ICF. Their customer base includes various industries, both domestic and international. As on 30 April 2024, the company had workforce of 65 employees including senior management.

The company recorded revenue from operations of Rs 37.20 crore and net profit of Rs 3.61 crore for the period as of 15 October 2024.


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