DEE Development Engineers Ltd, a provider of specialized process piping solutions, has garnered significant investor interest in its initial public offering (IPO). As of June 21, the final day of bidding, the IPO has been heavily oversubscribed.
The IPO, valued at ₹418.01 crore, comprises a combination of a fresh issue of 1.6 crore equity shares amounting to ₹325 crore and an offer for sale (OFS) component of 46 lakh shares totaling ₹93.01 crore.
DEE Development set the price band for its IPO at ₹193 to ₹203 per share, with a lot size of 73 shares. The subscription status as of June 21 shows overwhelming demand, with bids received for 19.65 crore equity shares against the offer size of 1.49 crore shares.
The IPO allotment is scheduled to be finalized on June 24, and the listing on both BSE and NSE is slated for June 26.
The net proceeds from the IPO will be utilized to fund working capital requirements, prepay or repay certain outstanding borrowings, and for general corporate purposes.
SBI Capital Markets and Equirus Capital Pvt Ltd are the book running lead managers for the IPO, while Link Intime India Private Ltd is the registrar.
DEE Development IPO has received subscription bids 13.15 times overall, with strong demand particularly from non-institutional investors (NII) who have bid 35.83 times the shares reserved for them. Retail investors have also shown significant interest, subscribing 10.63 times their allotted portion. Qualified Institutional Buyers (QIBs) have subscribed 0.21 times their allocation.
In the grey market, DEE Development shares are commanding a premium of ₹94 per share, indicating an expected listing price of ₹297 per share, which is 46.31% higher than the IPO issue price of ₹203.
Disclaimer: Investors are advised to consult with financial experts before making investment decisions.
