EMS Limited IPO receives great response from investors, trading at premium price in gray market
Updated: 14 hours ago
By Anil Rathod
EMS Limited Company’s IPO, which is currently open for investment, has received a tremendous response from investors. The company’s IPO shares are trading at a premium price of Rs 125 in the gray market.
60 percent profit can be made on the first day itself
In its IPO, EMS Ltd had announced an issue price of Rs 200-211 per share. If the stock manages to retain its premium price in the gray market, the company’s shares may list at Rs 336. This means investors can potentially make a 60 percent profit on the first day.
EMS Limited Company’s IPO was oversubscribed 3.71 times on Friday last week due to strong bidding by non-institutional and retail investors. The company’s IPO received bids of 4,00,47,140 shares as against 1,07,87,431 shares.
Non-institutional investors bought 5.97 times the reserve quota, while retail individual investors bought 4.72 times the reserve quota. Eligible institutional buyers purchased the reserve quota at 9 percent.
EMS Limited has issued fresh shares worth Rs 146.24 crore under its IPO. Additionally, 82,94,118 equity shares are to be sold in the open market under the Offer for Sale. Prior to the IPO issue, the company had raised capital of Rs 96.37 crore from anchor investors.
Experts have expressed positive sentiments on the EMS company’s IPO, advising investors to subscribe to it. The company engages in joint ventures and partnerships with infra and construction companies.
According to experts at Arihant Capital firm, as of July 15, 2023, the size of the company’s order book is 17,449.2 million. The company is currently preparing to bid for a project worth Rs 5 billion and is in the process of bidding for various projects worth Rs 15 billion to Rs 20 billion.
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News Title: EMS Limited IPO for investment on 11 September 2023.
