Stallion India Fluorochemicals IPO Day 3: Refrigerants supplier Stallion India Fluorochemicals' initial public offering will end Monday, January 20 (today). The firm intends to raise ₹199.45 crore, and its shares will be offered on the BSE and NSE. Through its anchor book, the company received ₹59.83 crore from six institutional investors on January 15, the day before the IPO opened.
The initial public offering (IPO) lot size for Stallion India Fluorochemicals is 165 equity shares.The Stallion India IPO has set aside 35% of the offer for retail investors, 15% for non-institutional investors (NII), and 50% of the shares for qualified institutional buyers (QIB).
Stallion India Fluorochemicals specializes in the distribution of refrigerants and industrial gases, along with associated products. The company predominantly operates in debulking, blending, and processing refrigerants and industrial gases, and also markets pre-filled cans. It caters to a wide variety of sectors, including air conditioning and refrigeration, firefighting, semiconductor manufacturing, automotive manufacturing, pharmaceuticals and healthcare, glass bottle production, aerosol production, and spray foam applications.
The business operates four facilities. As outlined in the red herring prospectus (RHP), its publicly listed competitors are Navin Flourine International Ltd (with a P/E ratio of 70.82), SRF Ltd (with a P/E ratio of 49.30), and Gujarat Fluorochemicals Ltd (with a P/E ratio of 108.36).
The initial public offer of Stallion India IPO has been subscribed 188.29x on the third day of subscription, at 17:18 IST, as per BSE data.
The initial share sale received bid for 2,92,09,12,500 shares against 1,55,12,978 shares on offer, according to BSE.
The portion for retail investors received 96.76 times subscription while the quota for non-institutional investors got subscribed 422.33 times. The qualified institutional buyers (QIBs) part is booked 172.93 times.
On the first bidding day, Stallion India Fluorochemicals IPO subscription status was 7.08x, as per BSE data, and the issue was booked 32.06x on the second day of subscription.
As per the brokerage, the firm operates in the refrigerant and industrial gases sector. The company enjoys significant market recognition. It boasts a history of robust financial results. The initial public offering is assessed at a reasonable valuation. Investment Suggestion: The brokerage advises subscribing to the Stallion India IPO due to its solid market standing and financial success.
Stallion India IPO, which is worth ₹199.45 crore, comprises a fresh issue of ₹160.73 crore, and an offer-for-sale (OFS) of 43,02,656 equity shares by the promoter.
The company plans to use the net proceeds from the IPO to satisfy further working capital needs, fund capital expenditures for its semiconductor and specialty gas debulking and blending facility located in Khalapur, Maharashtra, support capital expenditures for its refrigerant debulking and blending facility in Mambattu, Andhra Pradesh, and for various corporate purposes. Anchor bidding is set to commence on January 15, 2025, with the issuance anticipated to conclude on January 20, 2025.
The funds acquired through the IPO will support capital investments in our facilities in Khalapur, Maharashtra, and Mambattu, Andhra Pradesh, concentrating on semiconductor and specialty gas debulking and blending, along with refrigerant debulking and blending facilities, while also meeting the rising working capital requirements. "These investments will allow us to enter a new phase of growth and expansion," remarked Shazad Sheriar Rustomji, Chairman & Managing Director.
Sarthi Capital Advisors Private Ltd acts as the book running lead manager for the issuance, while Bigshare Services Private Ltd has been appointed as the Registrar for the issuance.
Stallion India Fluorochemicals IPO GMP today or grey market premium is +43. This indicates Stallion India share price were trading at a premium of ₹43 in the grey market, according to investorgain.com.
Considering the upper end of the IPO price band and the current premium in the grey market, the estimated listing price of Stallion India share price was indicated at ₹133 apiece, which is 47.78% higher than the IPO price of ₹90.
'Grey market premium' indicates investors' readiness to pay more than the issue price.
Disclaimer: The views and recommendations above are those of individual analysts, experts and broking companies, not of Mint. We advise investors to check with certified experts before making any investment decision.
Catch all the Business News , Market News , Breaking News Events and Latest News Updates on Live Mint. Download The Mint News App to get Daily Market Updates.