As the allotment and refund initiation process of Paras Defence and Space Technologies’ initial public offer (IPO) concluded, the company is all set to make a market debut on October 1, 2021.

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The three-day Paras Defence IPO, which was launched between September 21-23, 2021, had been subscribed by over 304 times, amid strong demand from non-institutional investors that received a massive 927.70 times subscription.

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The IPO received bids for 2,17,26,31,875 shares against 71,40,793 shares on offer, according to an update on the NSE. The quota kept aside for Qualified Institutional Buyers (QIBs) was subscribed 169.65 times and Retail Individual Investors (RIIs) applied 112.81 times in three days.

Zee Business Managing Editor Anil Singhvi in his preview had suggested to subscribe to this share sale for bumper listing gains along with a long-term perspective investment. He, apparently, had predicted, the issue would get a bumper response provided the business model of the company.

Singhvi had said that the sector, such as defence and aerospace, gets huge interest from the market being a unique business model and it can’t be done without deep domain knowledge.

The IPO includes a fresh issue of up to Rs 140.6 crore and an offer for sale of up to 17,24,490 equity shares with a price range set at Rs 165-175 apiece. The offer was fully subscribed within hours of opening on the first day on Tuesday.

Paras Defence and Space Technologies had mobilised a little over Rs 51 crore from anchor investors a day before the IPO launch on Monday (September 20, 2021).

The net proceeds of the fresh issue would be used to fund capital expenditure requirements, to support incremental working capital needs, and repayment or prepayment of loans availed by the company.

Paras Defence and Space Technologies is engaged in designing, developing, manufacturing, and testing a wide range of defence and space engineering products and solutions