Shares of Tega Industries made a bumper debut on D-Street on Monday.
On BSE, Tega Industries stock opened at Rs 753, up 66 per cent from the high end of its issue price of Rs 453. On NSE, Tega Industries' stock got listed at Rs 760, which was a 68 per cent premium over the issue price. , Great investor response, healthy company profile and business and high gray market premium during subscription indicated a mega listing for shares of Tega Industries.
Tega Industries was the second largest producer of polymer-based mill liners in the country by revenue. Tega Industries' initial public offering (IPO) is open for subscription during December 1-3. The price band was fixed at Rs 443-453 per share. The IPO of Tega Industries was an offer-for-sale (OFS) of 1,36,69,478 equity shares sold entirely to the shareholders and promoters. Hence, the company will not get any funds from the offer. The company has targeted to raise Rs 619.22 crore from the first issue in the upper price band.
Tega Industries IPO: Third Highest IPO Subscription in 2021
The IPO of Tega Industries witnessed strong investor demand. As per the data, Tega Industries IPO was subscribed 219.04 times out of 95.68 lakh shares offered during the subscription period. This was the third largest subscription to market IPO in 2021 after Latent View Analytics and Paras Defense and Space Technologies. NSE data shows that the IPO of Tega Industries received bids of 209.58 crore shares against the total issue size of 95.68 lakh shares.
Oversubscribed 215.45 times the quota allotted for eligible institutional buyers. The data showed that the portion set aside for institutional investors saw a massive subscription of 666.19, while that of retail individual investors (RIIs) was oversubscribed 29.44 times.
Tega Industries Grey Market Premium
According to IPO Watch and IPO Central, shares of Tega Industries were available in the gray market at Rs 753, 66.2 per cent or Rs 300 premium to the issue price of Rs 453 per share. Experts have noted that Tega Industries' huge increase in gray market premium can be translated into 70-80 per cent premium on listing.
Tega Industries provides comprehensive solutions to global customers in the mineral beneficiation, mining and bulk solids handling industry at various stages of mining and mineral processing, screening, grinding and material handling, including wear, spare parts, grinding media and power on the market. The latter includes expenses. , Its product portfolio includes more than 55 mineral processing and material handling products, covering a wide range of solutions in the mining equipment, aggregate equipment and mineral consumables industry.
Tega Industries Share: Listing Gains on Debut
Analysts expect a health listing for Tega Industries stock on Monday. Shares of Tega Industries can be listed in the price range of Rs 750 to Rs 800, up to 75 per cent gain on listing. Commenting on the listing gains, Abhay Doshi, Founder, UnlistedArena.com, said, “The IPO of Tega Industries received a very strong response to its issue despite the clash with the cluster of IPOs. The issue price was modest which helped them garner investor interest. The listing may also be strong due to the rush for membership. I expect more than 60-65 per cent growth from the listing."
Ravi Singhal, Vice Chairman, GCL Securities, also expects a great listing for Tega Industries on Monday. "Tega Industries shares may have a bumper opening on Dalal Street today as it is expected to be listed at Rs 780 to Rs 800 level, giving up to 75 per cent listing benefit to the allottees," he added.