Shares of Quadrant Future Tek made a decent Dalal Street debut on Tuesday, January 14 as the advanced train control developer was listed at Rs 274 on BSE, a premium of 28.97 per cent over its issue price of Rs 290 apiece. Similarly, the stock kicked-off its maiden trading session with a premium of 27.59 per cent over the given issue price at Rs 370 on NSE.
The listing of Quadrant Future Tek has been below the expectations. Ahead of their listing, shares of Quadrant Future Tek were commanding a grey market premium (GMP) of Rs 120 apiece, signaling more than 41 per cent listing pop for the investors. However, the premium in the unofficial market stood around Rs 210 when the issue was open for subscription.
The IPO of Quadrant Future Tek ran for subscription between January 07 and January 09. It had sold its shares in the price band of Rs 275-290 per share with a lot size of 50 shares. The Mohali-based company raised a total of Rs 290 crore from its IPO, which was entirely a fresh share sale of 1,00,00,000 equity shares.
The issue was overall subscribed a stellar 186.66 times. The portion for qualified-institutional bidders (QIBs) was subscribed about 132.54 times. The portion for non-institutional investors (NIIs) was booked 254.71 times, while the allocation for retail investors was booked 246.94 times during the three-day bidding.
Incorporated in September 2015, Mohali-based Quadrant Future Tek develops next-generation train control and signaling systems for the 'KAVACH' project of Indian railways, enhancing safety and reliability for passengers. It also has a specialty cable manufacturing facility with an Electron Beam Irradiation Centre.
Brokerage firms were mostly positive on the issue, suggesting to subscribe to it for long-term. Sundae Capital Advisors is the book running lead manager of the Quadrant Future Tek IPO, while Link Intime India is the registrar for the issue. Shares of the company shall be listed on both BSE and NSE.