HPL Electric shares made a tepid debut on bourses and listed nearly 6 per cent down at Rs 190 on NSE against the issue price of Rs 202. On BSE, the scrip got listed at Rs 190.05. The public offer opened for subscription from Sept 22-26 and was oversubscribed by 8.06 times.
The portion reserved for qualified institutional buyers was oversubscribed 5.77 times while for non-institutional investors, it was 22.20 times. Retail investor quota was oversubscribed by 3.31 times. The company had fixed a price band of Rs 175-202 per share for the public offer. The objective of the issue was to utilise the net proceeds for repayment of loans, funding working capital requirements and other general corporate purposes.
Over FY12-16, the company has posted CAGR of 11.7 per cent and 6.5 per cent on revenue and profitability respectively. HPL Electric is a New Delhi-based company and is engaged in the business of manufacturing electric equipment. It has a portfolio of electric equipment, including, metering solutions, switchgears, lighting equipment and wires and cables, catering to consumer and institutional customers in the electrical equipment industry.
Later, the scrip closed 6.28 per cent down at Rs 189.30 on NSE and 6.41 per cent down at Rs 189.05 on BSE.