AIK Pipes IPO subscribed 42 times on day 3 so far; issue closes for bidding today

The IPO of AIK Pipes and Polymers closes for bidding on Thursday, December 28. The SME issue has received a strong response from the investors during the third and final day of the bidding process. The bidding for the issue had kicked off Tuesday, December 26.

The primary offering of AIK Pipes and Polymers was subscribed 41.97 times as of 3.55 pm on Thursday, December 28. The company received bids for 6,72,92,800 equity shares against 16,03,200 equity shares offered for the bidding. The issue was booked 1.19 times by the end of day one and ended day two with 4.72 times subscription.

Individually, the quota for non-institutional investors was booked 51.95 times, while the quota for retail investors was subscribed 27.96 times. The issue fetched bids worth Rs 599 crore as of the same time. Market Maker portion was also fully subscribed for the IPO.

AIK Pipes and Polymers is raising a total of Rs 15.02 crore via its initial stake sale by selling 16.88 lakh fresh equity shares at a fixed price of Rs 89 apiece. Shares of the company shall be listed at the bourses on Tuesday, January 2 on SME platform of BSE Ltd.

The company has fixed lot size of 1,600 equity shares with each lot costing Rs 1,42,400. Retail investors can apply for a single lot or 1,600 shares only, while non-institutional investors need to apply for at least two lots or 3,200 equity shares worth Rs 2,84,800.

The company had reserved 84,800 equity shares as market maker portion, which was Shreni Shares for AIK Pipes. Of the net issue, half of shares were reserved for retail investors, while non-institutional investors could bid for the remaining half of the net offer.

Founded in 2017, AIK Pipes and Polymers manufactures pipes, HDPE fittings, MDPE pipes and PPR pipes for the water distribution, gas transmission, sewerage systems, and telecommunication sectors. The company has three manufacturing facilities in Jaipur, Rajasthan which are operated on a lease basis.

Shreni Shares is the book running lead manager of the AIK Pipes And Polymers IPO, while Skyline Financial Services is the registrar for the issue. AIK Pipes is registered with the Government of Rajasthan as a supplier of water supply and sewerage management.

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