Arrowhead Separation Engineering made an impressive stock market debut on November 28, listing at a premium of 7.3 percent over its IPO price. The stock opened at Rs 250, a noteworthy uptick from the issue price of Rs 233 on BSE SME. However, following the initial surge, the stock experienced a 5 percent correction, settling at Rs 237.5.
Prior to listing, the stock had a 10 percent premium in the grey market, an unofficial trading platform where shares are traded before allotment and until the listing day. Investors often monitor the grey market premium (GMP) to gauge potential listing prices.
The Arrowhead Separation Engineering IPO, which closed on November 20, witnessed robust demand, being subscribed 94.79 times. The retail segment was oversubscribed by 142.3 times, while non-institutional investors (NIIs) subscribed 46 times the allocated quota. The issue price was fixed at Rs 233 per share for the offering that raised Rs 13 crore through the issuance of 5.58 lakh fresh shares. The funds raised will be utilized for loan repayment to NBFCs, working capital needs, and general corporate purposes. The promoters of the company are Ajit Mundle and Jyoti Mundle.
