The Rs 26 crore IPO, which closed on February 25, witnessed extraordinary demand and was subscribed 357 times overall. The retail category was subscribed 367 times, while the NII segment saw even stronger participation at 606 times. The QIB portion was subscribed 153 times.
The issue was priced at the upper end of the Rs 43-46 price band. At the issue price, the company commands a pre-listing market cap of Rs 94.64 crore. The IPO comprised a fresh issue of 55.62 lakh shares worth up to Rs 25.59 crore.
The company plans to use Rs 13.03 crore towards capital expenditure for machinery and equipment and Rs 10 crore towards working capital requirements.
Accord Transformer and Switchgear is engaged in the design, engineering and manufacturing of electrical power and distribution equipment. Its product portfolio includes distribution and power transformers, dry-type transformers, special-purpose transformers, control panels and switchgear assemblies. The company operates two manufacturing facilities in Bhiwadi, Rajasthan.
For FY25, the company reported total income of Rs 79.20 crore and profit after tax of Rs 6.05 crore. As of March 31, 2025, net worth stood at Rs 21.54 crore and total borrowings were Rs 11.81 crore.
With subscription exceeding 350 times and GMP indicating a premium of around 9%, investors can expect a decent listing. However, given the SME segment’s inherent volatility and limited float, it should be watched whether the strong grey market trend sustains post listing or sees profit booking after debut.
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