Orient Technologies IPO listing date today. GMP, experts signal strong debut of shares

Orient Technologies IPO Listing: Orient Technologies shares are set to make a stock market debut today after its initial public offering (IPO) received strong demand from investors. Orient Technologies IPO listing date is August 28.

The IPO allotment was finalised on August 27 and investors now look ahead to Orient Technologies IPO listing which is scheduled for today.

“Trading Members of the Exchange are hereby informed that effective from Wednesday, August 28, 2024, the equity shares of Orient Technologies Limited shall be listed and admitted to dealings on the Exchange in the list of ‘T’ Group of Securities,” a notice on BSE said.

Orient Technologies shares will be available for trading from 10:00 am from today. The stock will be a part of the Special Pre-open Session (SPOS).

Analysts expect Orient Technologies share listing to be at a premium of around 38% - 40% based on the demand for its IPO. Orient Technologies IPO GMP today also indicated that the share listing would be at a strong premium.

Orient Technologies IPO GMP Today

The equity shares of Orient Technologies Ltd are trading at a hefty premium in the unlisted market. Orient Technologies IPO GMP today, or grey market premium today, is ₹83 per share. This indicates that Orient Technologies IPO shares are trading higher by ₹83 than their issue price in the grey market.

Considering the IPO GMP today and the issue price, the estimated Orient Technologies IPO listing price is ₹289 apiece, a premium of 40% to the IPO price of ₹206 per share.

“Orient Technologies, a seasoned IT solutions provider, is poised for a strong stock market debut. The IPO has garnered significant investor interest, evidenced by a robust subscription of 154.84 times and a healthy grey market premium (GMP) of ₹87 (42%). The company’s long track record, diverse clientele, and consistent financial growth underscore its strong market position,” said Shivani Nyati, Head of Wealth, Swastika Investmart Ltd.

While Orient Technologies benefits from a strong market presence and a comprehensive IT solutions portfolio, it faces challenges such as reliance on key clients, technology partnerships, and government tenders. Intense competition within the IT industry could also impact the company's growth trajectory, she added.

“Despite these potential risks, the IPO's valuation at a P/E multiple of 17.45x appears reasonable. Given the company's strong fundamentals, investor enthusiasm, and the positive outlook for the IT sector, Orient Technologies is well-positioned for a successful listing,” Nyati said.

Prathamesh Masdekar, Research Analyst, StoxBox expects Orient Technologies’ listing premium of 38% above its upper band price.

“As we advance, Orient Technologies' financial performance is likely to be driven by expanding its product and services portfolio, increasing its global footprint, long-term relationships with customers, and collaboration with technology partners, thereby heightening its ability to design and innovate products and provide solutions tailored to specific customer requirements” he said.

Thus, Masdekar advises the market participants who have been allotted Orient Technologies shares to hold them from a medium to long term perspective.

Orient Technologies IPO Details

Orient Technologies IPO opened for public subscription on Wednesday, August 21, and closed on Friday, August 23. The IPO allotment was finalized on August 26 and the Orient Technologies IPO listing date is today, August 28. The equity shares of IT solutions provider Orient Technologies Ltd will be listed on both the stock exchanges, BSE and NSE.

Orient Technologies IPO price band was set at ₹195 to ₹206 per share. At the upper-end of the price band, the company raised ₹214.76 crore from the book-build issue which was a combination of fresh issue of 58.25 lakh equity shares worth ₹120 crore and offer for sale of 46 lakh shares worth ₹94.76 crore.

Orient Technologies IPO was subscribed 151.71 times in total. The retail investors’ portion was booked 66.87 times, while the non-institutional investor (NII) quota was subscribed 300.60 times. Qualified Institutional Buyers (QIBs) portion received 189.90 times subscription.

Elara Capital (India) Private Limited is the book running lead manager of the Orient Technologies IPO, while Link Intime India Private Ltd is the IPO registrar.

Read all IPO news here

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.