Rexpro Enterprises listing: Rexpro share price lists at a 19% discount at ₹117, hits lower circuit

Rexpro Enterprises IPO listing: Shares of furniture manufacturing company Rexpro Enterprises made a lacklustre debut on the NSE SME platform on Wednesday, January 29. Rexpro Enterprises share price opened at ₹117—a 19 per cent discount to its issue price of ₹145. Soon after opening, the stock hit its 5 per cent lower circuit ₹111.15.

According to market sources, the stock's listing fell short of grey market expectations. The grey market premium (GMP) of the stock on Wednesday morning was ₹10.

Rexpro Enterprises provides furniture and fixtures to retailers and clients across multiple retail segments such as fashion, lifestyle, electronics, grocery, beauty, telecom etc. The company is based in Vasai, Maharashtra.

The company has further diversified into commercial and institutional furniture for offices, hospitals, government offices and also the growing home segment.

Shoppers Stop, One RX India Private Limited (Samsung), Hindustan Unilever, Lenskart, Marks & Spencer Reliance India Private Limited, and Godrej & Boyce Mfg. Co. Limited are some of the large companies and brands that it caters to.

According to the company's Red Herring Prospectus (RHP), its revenue has grown at a CAGR of 53 per cent, the operating EBITDA has grown at a CAGR of 149 per cent, and PAT has grown at a CAGR of 197 per cent over the past two years.

Rexpro Enterprises IPO details

The ₹53.65 crore SME IPO, which was a combination of a fresh issue and an offer for sale (OFS), hit the Indian primary market on Wednesday, January 22, with a price of ₹145 per share. The issue concluded on Friday, January 24, after seeing an overall subscription of nearly 18 times. The retail portion was subscribed 27 times.

The company plans to use the funds raised via the IPO to purchase equipment and renovate a factory, fund working capital needs, and pursue inorganic growth and general corporate expenses.

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