Sachin Tendulkar backed-Azad Engineering IPO allotment today: Check application, latest GMP and listing date

Azad Engineering is scheduled to finalise the basis of allotment of its shares, most likely on Tuesday, December 26. Bidders are expected to get the messages, alerts or emails for debit of their funds or revocations of their IPO mandate by Wednesday, December 27. The primary offering of the Sachin Tendulkar-backed company received a strong response from investors during the bidding process.

 

Azad Engineering sold its IPO in the price band of Rs 499-524 apiece with a lot size of 28 equity shares. The issue was opened for subscription from December 20 to December 22. The company raised about 740 crore through its primary offering, which included a fresh shares sale of Rs 240 crore and an offer-for-sale (OFS) of up to 95,41,985 equity shares.

 

The issue received a strong response from the bidder during the three-day bidding process, as it was overall subscribed 80.65 times.  The portion reserved for qualified institutional bidders (QIBs) was booked 179.66 times, while the one for non-institutional investors was subscribed 87.61 times. The quota reserved for retail investors and employees were subscribed 23.79 times and 14.71 times, respectively.

 

Grey market premium (GMP) of Azad Engineering has seen sharp correction amid the volatility in the broader markets, despite robust bidding from QIB investors. Last heard, the company was commanding a premium of Rs 300-310 per share, suggesting a listing pop of 57-60 per cent for the investors. The premium in the unofficial market was around Rs 440 apiece before bidding.

 

Azad Engineering was incorporated in 1983, is a manufacturer of aerospace components and turbines. The company supplies its products to original equipment manufacturers (OEMs) in the aerospace, defense, energy, and oil and gas industries. Azad Engineering's products are highly engineered, complex, mission-critical, and vital.

 

As per the RHP filed by the Azad Engineering, Sachin Ramesh Tendulkar invested roughly about Rs 5 crore in the company in March 2023. He picked up 14,607 equity shares at a price of Rs 3,423 in the company, which were later turned in to 3,65,175 equity shares post stock split and bonus issue. The average price of Sachin's holding came out to Rs 136.92 apiece.

 

Brokerage firms were mostly positive on the issue of Azad Engineering IPO and suggested subscribing to it citing its solid track record, a strong business plan, at par valuations, high entry barriers, solid margins and financials of the company along with experienced management.

 

Axis Capital, ICICI Securities, SBI Capital Markets and Anand Rathi Shares and Stock Brokers are the book running lead managers of the Azad Engineering IPO, while Kfin Technologies is the registrar for the issue. Shares of the company will be listed on both BSE and NSE, with December 27, Thursday, as the tentative date of listing.

 

Investors, who bade for the issue of Azad Engineering, can check the allotment status on the BSE website's IPO application check page. Check-in equity, under the issue type and select Azad Engineering Limited in the dropbox; type-in the application number and add the PAN card number before checking-in at 'I am not a Robot' before hitting the submit button.

 

Allotment status can also be checked through the online portal of Link Intime India, the registrar to the issue. Visit the web portal of Kfin Tech and select the IPO of Azad Engineering in the dropbox. Enter the either PAN card number, application number or DP client ID as selected tab and hit 'search' to get the allotment status for your application.

 

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Disclaimer: Business Today provides stock market news for informational purposes only and should not be construed as investment advice. Readers are encouraged to consult with a qualified financial advisor before making any investment decisions.