Paras Defence IPO: Check Subscription Status of Day 1

Paras Defence IPO (initial public offering) which opened for subscription on Tuesday got fully subscribed, just minutes after opening for bidding. The IPO will conclude on September 23.

As per BSE data, the issue has been booked 16.57 times as of 5 pm led by strong demand from retail investors as the category has been subscribed 31.36 times. While the non-Institutional Investors category has been subscribed 3.77 times.

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The defence company aims to raise Rs 171 crore from this public issue out of which Rs 140.6 crore is targeted through fresh issue while Rs 30 crore is aimed through OFS (offer for sale). The company garnered Rs 51.23 crore from five anchor investors ahead of its initial public offering (IPO).

Here are 10 Things to Know:

1. Paras Defence and Space Technologies IPO Price Band

Paras Defence and Space Technologies on Thursday said it has fixed a price band of Rs 165-175 a share for its Rs 171-crore initial share sale.

Read More: Paras Defence IPO: Listing gain, long-term? Should you subscribe? Check Anil Singhvi’s strategy for this issue 

2. Paras Defence and Space Technologies IPO Issue Size

The offering comprises fresh issuance of shares worth Rs 140.6 crore and an offer of sale (OFS) of up to 17,24,490 equity stocks by promoters and existing shareholders. At the upper end of the price band, the IPO is expected to fetch Rs 170.7 crore.

3. Promoters selling shares on OFS

Those selling shares on the OFS are promoters -- Sharad Virji Shah, Munjal Sharad Shah and individual selling shareholders are -- Munjal Shah, Shilpa Amit Mahajan and Amit Navin Mahajan.

4. Paras Defence and Space Technologies IPO Objective

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

5.  Paras Defence and Space Technologies IPO Share Allocation

Half of the issue size has been reserved for qualified institutional buyers (QIBs), 35 per cent for retail investors and the remaining 15 per cent for non-institutional investors.

6. Paras Defence and Space Technologies IPO Bidding Details

Investors can bid for a minimum of 85 equity shares and in multiples of 85 equity shares thereafter.

7. Paras Defence and Space Technologies Company Details 

The company is engaged in designing, developing, manufacturing and testing a wide range of defence and space engineering products and solutions. Paras Defence and Space Technologies business is highly dependent on projects and programmes undertaken by the central government and associated entities, such as defence public sector undertakings and government organisations involved in space research.

8. Paras Defence and Space Technologies IPO Book Running Lead Manager

Anand Rathi Advisors is the book running lead manager to the issue. The equity shares of the company would be listed on BSE and NSE.

9. Paras Defence and Space Technologies IPO Key Dates

-Applicaton start: September 21

-Application end: September 23

-Allotment begins: September 28

-Refund initiation: September 29

-Allotment date: September 30

-Listing on exchange:  October 1

10. Paras Defence and Space Technologies IPO Allotment Status Check

The allotment status of the IPO will be availble around September 28, 2021. The alloted shares will be credited to demat account by September 30. You will be able to check status of Paras Defence and Space Technologies IPO Allotment via registrar of the IPO—Link Intime India Private Ltd — Once it makes it live or through BSE direct link, which we will provide soon.

(The above details our as per inputs from discount broker Uptox and news agency PTI)

(Disclaimer: The views/suggestions/advices expressed here in this article is solely by investment experts. Zee Business suggests its readers to consult with their investment advisers before making any financial decision.)