Parmeshwar Metal IPO Listing: The shares of Parmeshwar Metal Ltd, which manufactures copper wire and rod, made a strong entry on BSE SME. Its IPO received more than 607 times the overall bid. The share has been issued for Rs 61 under the IPO.
On Thursday, it entered BSE SME at Rs 84.50, that is, IPO investors got a listing gain of 38.52 percent (Parmeshwar Metal Listing Gain).
However, the excitement of IPO investors waned after only a short period as the shares plummeted. It fell to Rs 81.05 (Parmeshwar Metal Share Price).
However, then there was a recovery. It jumped to the upper circuit of Rs 88.72 and closed at the same, that is, at the end of the first trading day, IPO investors are in 45.44% profit.
Parmeshwar Metal IPO Got A Strong Response
Parmeshwar Metal Ltd’s Rs 24.74 crore IPO was open for subscription from January 2-6. This IPO received a tremendous response from investors and was subscribed 607.07 times overall.
In this, the portion reserved for qualified institutional buyers (QIB) was subscribed 177.32 times, the portion of non-institutional investors (NII) was subscribed 1,202.83 times and the portion of retail investors was subscribed 597.09 times.
Under this IPO, 40.56 lakh new shares with a face value of Rs 10 have been issued. The company will use the money raised through these shares for the setup of a new manufacturing facility in Dehgam, Gujarat, furnace renovation of copper melting, meeting working capital requirements, and general corporate purposes.
About Parmeshwar Metal
Parmeshwar Metal, formed in August 2016, manufactures copper wires and rods from copper scrap. Its manufacturing unit is in Dehgam, Gujarat. Its products are used in power cables, building wires, transformers, the auto industry, household cables, etc.
Talking about the financial health of the company has continuously strengthened. In the financial year 2022, it had a net profit of Rs 6.85 crore, which jumped to Rs 8.90 crore in the next financial year 2023, and reached Rs 7.22 crore in the financial year 2024.
During this period, the company’s revenue grew at a compound growth rate (CAGR) of more than 22 percent annually to Rs 1102.46 crore.
Talking about the current financial year 2024-25, in October 2024, it has achieved a net profit of Rs 5.70 crore and a revenue of Rs 757.31 crore.
Quick Fact
| Company name | Parmeshwar Metal |
|---|---|
| IPO issue price | ₹61 |
| Listing price (BSE SME) | ₹84.50 |
| Listing gain (%) | 38.52% |
| Closing price (day 1) | ₹88.72 |
| Profit on day 1 (%) | 45.44% |
| IPO size (₹) | ₹24.74 crore |
| IPO subscription (overall) | 607.07 times |
| QIB subscription (%) | 177.32% |
| NII subscription (%) | 1,202.83% |
| Retail subscription (%) | 597.09% |
| Shares issued (lakh) | 40.56 |
| Face value (₹) | ₹10 |
| Use of IPO funds | New manufacturing setup, furnace renovation, working capital, corporate purposes |
| Manufacturing unit | Dehgam, Gujarat |
| Products | Copper wires, rods |
| Industries served | Power cables, building wires, transformers, auto, and household cables |
| Founded | August 2016 |
| Financial year 2022 net profit | ₹6.85 crore |
| Financial year 2023 net profit | ₹8.90 crore |
| Financial year 2024 net profit | ₹7.22 crore |
| Revenue CAGR | >22% annually |
| The financial year 2024-25 (up to Oct 2024) net profit | ₹5.70 crore |
| Financial year 2024-25 (up to Oct 2024) revenue | ₹757.31 crore |
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