The IPO of Fabtech Technologies, a company providing engineering solutions for the pharmaceutical, biotech, and healthcare sectors, opens for subscription today, Monday, September 29.
Let’s take a look at what investors should know before placing their bids about this IPO-
Fabtech Technologies IPO timeline: When to bid and what to expect
Fabtech Technologies public offer opens today, September 29, and will close its three-day subscription window on October 1.
The basis of allotment is expected on October 3, with refunds processed the same day. The shares will hit investors demat accounts on October 6. After all these processes, the shares of the company are expected to list on the BSE and NSE on October 7.
Fabtech Technologies pricing and lot size: How much does it cost?
The IPO is priced between Rs 181-191 per share, with a lot size of 75 shares. This means the minimum investment for retail investors starts at around Rs 13,575 at the upper price band. Each additional lot must also be purchased in multiples of 75 shares.
Fabtech Technologies IPO: Grey market buzz
The IPO in the grey market is trading at a premium of Rs 35. As per the latest trend, the listing price could reach around Rs 226 per share. This is roughly 18% above the top-end IPO price.
However, it is important to note that GMP is not the official listing price and fluctuates based on the market sentiment.
Fabtech Technologies IPO: Fund utilisation and investor categories
Fabtech Technologies IPO is a purely new issue of up to 1.2 crore shares. Through this public offering, the company is aiming to raise around Rs 230 crore.
The company plans to use the proceeds to support working capital requirements, growth through acquisitions, and other corporate purposes.
Breaking it down, the allocation structure of the issue among different investors are as follows –
- 50% for Qualified Institutional Buyers (QIBs)
- 15% for Non-Institutional Investors (NIIs)
- 35% reserved for Retail Investors
Fabtech Technologies IPO: What the company does
Fabtech Technologies is more than just a supplier. The firm handles end-to-end engineering solutions for pharma and biotech clients. This includes design, procurement, installation, and testing of specialised equipment.
By mid-2024, Fabtech had executed 35 projects across countries like Saudi Arabia, Egypt, Algeria, Bangladesh, Ethiopia, Sri Lanka, and UAE.