Quality Power IPO day 3: GMP, subscription status, review, other details. Apply or not?

Quality Power IPO: Bidding for the initial public offering (IPO) of Quality Power Electrical Equipments Limited opened on 14 February 2025 and will remain open until 5:00 PM on 18 February 2025. So, investors have just on day to apply for the public issue as bidding for the Quality Power IPO ends today at 5:00 PM. The energy company has declared a Quality Power IPO price band of ₹401 to ₹425 per equity share. The book build issue aims to raise ₹858.70 crore, of which ₹225 crore is expected from the issuance of fresh shares. The rest, ₹633.70 crore, is reserved for an offer-for-sale (OFS) route. The public offer is proposed for listing on both BSE and NSE. The book build offer received a tepid response on day one of bidding. According to Quality Power IPO subscription status, the public issue had been subscribed 0.62 times. Meanwhile, shares of the energy company are available at a premium in the grey market today. According to stock market observers, Quality Power Electrical Equipments Limited shares are available at a premium of ₹4 in the grey market today.

Quality Power IPO GMP today

As mentioned above, today's Quality Power IPO GMP (Grey Market Premium) is ₹4, ₹16 lower than the weekend's Quality Power IPO GMP of ₹20. Market observers believe the dip in the Quality Power IPO GMP today is due to the weak Quality Power IPO subscription status and negative sentiments on Dalal Street. However, they expected some improvement in the grey market sentiments after Monday's relief rally in the secondary market.

Quality Power IPO subscription status

By 2:30 PM on day 3 of bidding, the public issue had been subscribed 1.14 times, the retail segment had been filled 1.58 times, the NII portion had been booked 1.31 times, and the QIB segment had been subscribed 0.91 times.

Quality Power IPO: Apply or not?

Choice Broking adds a 'subscribe' tag to the book build issue: "At the upper price band, QPEEL is demanding an EV/S multiple of 5.9x, which is at a discount to peer average. Considering its over two decades of experience in the energy transition sector and wide range of products & solutions, the company is well positioned to benefit from the rising demand for energy transition equipment, which would assist in generating profitable business growth. Thus, we assign a "SUBSCRIBE" rating for the issue."

Reliance Securities has also assigned a 'buy' tag to the public issue, saying, “QPEEL is strategically positioned as an Indian producer of high-voltage power products and power quality systems with a diversified global customer base of 210+ global clients including Fortune 500 companies fostering long term relationships focusing on technology, scale of operations, reliability and quality in energy projects. QPEEL has a seasoned team which brings extensive industry experience and a skilled workforce, enabling the company to capitalize on growth opportunities, acquire companies at strategic pricing driving growth, market expansion and effective project execution to scale stronger growth through its product offerings, unlock geographical expansion and solidifying leadership in the energy transmission sector in the coming years. Hence, we recommend a SUBSCRIBE to the issue for the long term.”

Disclaimer: The views and recommendations provided in this analysis are those of individual analysts or broking companies, not Mint. We strongly advise investors to consult with certified experts before making any investment decisions, as market conditions can change rapidly and individual circumstances may vary.