Acme India's US$16.6M IPO draws 115x demand, lists Friday
What's the deal? Acme India IndustriesDealroom has a profile for this one. Try Dealroom → closed a US$16.5M IPO that was subscribed 115.51 times over its three-day run. The issue combined a fresh issuance of 54.07 lakh shares worth US$14.4M with a US$2.13M offer for sale by promoter Suraj Pandey.
Why now? The company priced shares at US$2.53 to US$2.66 each ahead of a listing on the BSE SMEDealroom has a profile for this one. Try Dealroom → platform on Friday, October 9, at 10:00 IST. Allotment was set to be finalised by the evening of Wednesday, October 7.
What's the endgame? Acme designs, manufactures, and maintains railway coach interiors for the Indian rolling stock sector, supplying turnkey furnishing, refurbishment, and components to Indian RailwaysDealroom has a profile for this one. Try Dealroom →. Net proceeds from the fresh issue will fund working capital, repay borrowings, and buy additional plant and machinery.
The company framed the listing as a visibility play. "We believe that listing will enhance our corporate image and visibility of brand name of our company," it said in its red herring prospectus, adding that it would give existing shareholders liquidity and create a public trading market.
Demand breakdown: The offer drew bids for 513,226,200 shares against 4,443,000 on offer. Non-institutional investors subscribed 145.11 times, qualified institutional buyers 137.93 times, and retail investors 85.50 times.
The signal: The heavy oversubscription for a small railway-supply issue underscores sustained appetite for SME listings tied to India's infrastructure spending. For niche manufacturers serving Indian Railways, the BSE SME route offers a path to capital and visibility that larger exchanges do not.
Read more: upstox.com
