Gala Precision IPO subscribed 201.41 times on final day of bidding; check subscription status, GMP, other details

The initial public offerings (IPO) of Gala Precision was subscribed over 201.41 times on the final day of bidding on September 4. According to chittorgarh. com, the public issue has become the most subscribed IPO of FY25 so far.

The issue attracted bids for 44,78,95,196 shares, significantly surpassing the 22,23,830 equity shares on offer, within a price band of ₹503-529, as per data from the stock exchanges.

The Non-Institutional Investors Portion was oversubscribed 414.61 times, the Qualified Institutional Buyer Portion by 232.54 times, and the Employee Portion by 258.99 times. The Retail Portion saw a subscription rate of 91.94 times.

On Tuesday, the second day of bidding, the Gala Precision Engineering IPO was subscribed 52.21 times, according to BSE data. Non-institutional investors subscribed 132.93 times to their allotted portion, while retail investors saw a subscription rate of 44.21 times. The quota for qualified institutional buyers (QIBs) was subscribed 5.06 times, and the employee portion was booked 117.89 times. On the first day of bidding, the Gala Precision Engineering IPO had a subscription rate of 10.84 times.

Gala Precision IPO details

The IPO includes a fresh issue of 2.56 million shares and an offer for sale (OFS) of 616,000 shares by existing promoters and shareholders. The total issue size, at the upper price band, amounts to ₹167.93 crore, with the fresh issue accounting for ₹134.34 crore and the OFS for ₹32.58 crore.

The Gala Precision Engineering IPO is priced between ₹503 and ₹529 per equity share, with each share having a face value of ₹10.

Gala Precision Engineering, a company that manufactures specialized springs such as disc and strip springs (DSS), coil and spiral springs (CSS), and special fastening solutions (SFS), has secured an investment of ₹50.29 crores from anchor investors. The minimum lot size for the IPO is 28 equity shares, with additional shares available for purchase in multiples of 28.

Gala Precision Engineering's IPO has allocated up to 50% of the public issue for qualified institutional buyers (QIB), at least 15% for non-institutional investors (NII), and a minimum of 35% for retail investors.

The company plans to utilize the net proceeds for various objectives, including setting up a new facility at Vallam-Vadagal, SIPCOT, Sriperumbuddur, Tamil Nadu, to manufacture hex bolts and high tensile fasteners; funding capital expenditure for purchasing machinery, plant, and equipment in Wada, Palghar, Maharashtra; repaying or prepaying certain borrowings, either fully or partially; and for general corporate purposes.

Link Intime India Private Ltd is the registrar for the Gala Precision Engineering IPO, and Pl Capital Markets Private Limited is the book-running lead manager.

Gala Precision GMP today

The grey market price for Gala Precision Engineering's IPO is currently at a premium of ₹260, as reported by investorgain.com. Based on this premium and the upper end of the IPO price band, the estimated listing price for Gala Precision Engineering shares is ₹789 per share, reflecting a 49.15% increase over the IPO price of ₹529.

Grey market activity over the last ten sessions suggests that the IPO GMP is trending upwards, leading to expectations of a strong listing. According to experts from investorgain.com, the GMP has ranged from a low of ₹0 to a high of ₹268.

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