Harsha Engineers IPO listing date: Shares to make debut on NSE, BSE today; what to expect from listing?

Harsha Engineers IPO listing date: The initial public offering (IPO) of Harsha Engineers International Limited, one of the largest manufacturers of precision bearing cages in organised sector in India, is all set to be listed on the exchanges—NSE and BSE —on Monday. The IPO was subscribed 74.70 times on the final day. Against 1,68,63,795 shares put on offer for the IPO, the bids were received for 1,25,96,90,175 shares on the last day, as per NSE data. The retail category was subscribed 17.6 times, NIIs quota was booked 71.3 times and QIBs portion was subscribed a whooping 178.26 times on the last day.  Harsha Engineers IPO remained open between September 14-16.  

Harsha Engineers International Limited had fixed the IPO size at Rs 755 crore comprising a fresh issue of Rs 455 crore and open offer for sale (OFS) of Rs 300 crore. The company had fixed a price band of Rs 314-330 for the issue, whose bid lot comprised 45 shares and in multiple thereof. The retail allocation was capped at 35% for Harsha Engineers IPO. The company has also reserved shares for its employees to the tune of Rs 2.50 crore. The employees were offered a discount of Rs 31 per share.  

Harsha Engineers listing expectations 

As the shares of Harsha Engineers International Limited on Monday, September 26, expert is of the view that the shares may make a grand debut.  

Aayush Agrawal, Senior Research Analyst, Swastika Investmart Ltd, says the shares of the company may surprise the markets and might make a grand debut to list even above its grey market premium.  

"The company’s strong fundaments, competitive advantages like high entry barriers and switching costs, experienced management team, and robust growth outlook hint at strong listing, he said.  

"Further, the company is a proxy play on India becoming the global manufacturing hub. Our recommendation for the investors is to hold the allotted shares and long-term investors can accumulate the stock on dips," the expert added. 

Earlier, Zee Business Managing Editor Anil Singhvi had recommended to subscribe the issue.  Zee Business Managing Editor said the company boasts of combination of new and experienced promoters with clean track record, has strong financials and growth outlook. "It is also almost a debt-free company with attractive valuations," he said, adding apply for both big listing gain and long-term.   

Singhvi had said exposure to Europe, China and USA is huge at 57% of its revenue, which is the only negative for this company.  

The company’s products find their application in the automotive, railways, aviation & aerospace, construction, mining, agriculture, electrical and electronics, renewables sectors, etc. The government’s thrust on infrastructure, agriculture reforms, the revival of private CAPEX, and rising housing & real estate demand augurs well for the aforementioned sectors and the company’s prospects.