The Gala Precision Engineering IPO price band was revealed on Tuesday prior to the main board issue opening the following week, August 27.
The initial public offering price range for Gala Precision Engineering Limited has been set at Rs 503 to Rs 529 per share.
From September 2 to September 4, subscriptions for the Rs 167.9 crore book-building issue will be accepted. These are the top five things to be aware of regarding the initial public offering of Gala Precision Engineering Limited.
Offer size and minimum investment
The fresh issue of 25.58 lakh shares, valued at Rs 135.34 crore, and the offer-for-sale (OFS) component of 6.16 lakh shares, valued at Rs 32.58 crore, make up the mainboard public offer.
Half of the Premier Energies IPO shares will be distributed to the Qualified Institutional Buyers (QIBs). 15 per cent of the issue size has been set aside for non-institutional investors (NIIs) and 35 per cent for retail investors by the company.
For retail investors, a minimum lot size is 28 shares or multiples of that number. This indicates that in order to subscribe for this IPO, retail investors must invest a minimum of Rs 14,812.
IPO subscription timetable
The IPO subscription for Gala Precision Engineering will end on September 4. On Thursday, September 5, the IPO share allotment status is anticipated to be finalised.
On Friday, September 6, the process of initiating refunds for unsuccessful bidders and crediting shares to the Demat accounts of successful bidders will take place. On Monday, September 9, the shares are expected to be listed on the BSE and NSE.
Gala precision engineering
Gala Precision Engineering's fiscal year ended on March 31, 2024, with a 202 crore consolidated revenue from operations. During that time, the company's net profit was Rs 22.3 crore.
The company saw a CAGR of 11 per cent in its operating revenue and 50 per cent in profit between FY22 and FY24. Additionally, the company may benefit from the predicted 6 per cent compound annual growth rate (CAGR) of the disc and strip springs (DSS) market in India between FY24 and FY27.
IPO proceeds utilisation
High-tensile fasteners and hex bolts will be manufactured at a new facility to be established at Vallam-Vadagal in Sriperumbudur, Tamil Nadu, using the net proceeds of the Gala Precision Engineering IPO.
The money raised will also be utilised to cover the capital costs associated with the company's Wada units' equipment, plant, and machinery purchases. Gala Technologies intends to utilise the earnings for both general corporate purposes and the repayment or prepayment of specific loans.
