Divine Power Energy share price makes a blockbuster debut, stock opens with 288% premium at ₹155 apiece on NSE SME

Divine Power Energy share price made a bumper debut on NSE SME today. Divine Power Energy share price opened at ₹155, which is 287.5% higher than the issue price of ₹40. However, the stock slipped into red post strong listing.

Subscriptions for Divine Power Energy Ltd.'s IPO opened on Tuesday, June 25, and concluded on Thursday, June 27. 3,000 shares made up the lot size for the Divine Power IPO. With a face value of Rs. 10, the Divine Power IPO price band was set between Rs. 36 and Rs. 40 per equity share. Divine Power IPO subscription status was 393.67 times, on day 3.

Also Read: Divine Power IPO allotment likely to be out today. Latest GMP, steps to check allotment status online

Divine Power Energy Limited produces winding copper/aluminum wire, bare copper/aluminum wire, and winding copper/aluminum strip. The steps involved in making winding wires or strips include annealing, insulating, and coating them with materials like paper, cotton, fiberglass, etc. Winding wires/strips coated in paper, crepe paper, and cotton are purchased by transformer manufacturers and power distribution utilities to repair common wear and tear and construct new transformers.

The company's listed peers include Shera Energy Ltd (P/E of 34.17), Bhagyanagar India Ltd (P/E of 7.63), Rajnandini Metal Ltd (P/E of 19.49), Ram Ratna Wires Ltd (P/E of 32.83), and Precision Wires India Ltd (P/E of 33.60), according to the red herring prospectus (RHP).

Divine Power Energy's profit after tax (PAT) grew by 124.82% and revenue increased by 47.65% between March 31, 2024, and March 31, 2023.

Also Read: Divine Power IPO Day 3: Issue oversubscribed on strong retail, NII demand; check GMP, subscription status, key dates.

Divine Power IPO details

The Divine Power IPO, worth ₹22.76 crore, consists of a fresh issuance of 5,690,000 equity shares at face value of ₹10. There is no offer-for-sale component.

The corporation intends to use the proceeds of the offering for working capital requirements as well as general corporate purposes.

Bigshare Services Pvt Ltd is the registrar for the Divine Power IPO, while Khambatta Securities Limited is the book running lead manager. The market maker for the Divine Power IPO is Nikunj Stock Brokers.

Also Read: Divine Power Energy IPO price band fixed at ₹36-40: check issue size, key dates and other details

Divine Power IPO GMP today

Divine Power IPO GMP today is +61. This indicates Divine Power share price were trading at a premium of ₹61 in the grey market, according to investorgain.com.

The Divine Power IPO estimated listing price was suggested at ₹101 apiece, which is 152.5% more than the IPO price of ₹40, taking into account the upper end of the IPO pricing band and the present premium on the grey market.

'Grey market premium' indicates investors' readiness to pay more than the issue price.

Also Read: Petro Carbon and Chemicals share price lists with a strong 75% premium at ₹300 on the NSE SME

Disclaimer: The views and recommendations made above are those of individual analysts or broking companies, and not of Mint. We advise investors to check with certified experts before making any investment decisions.