The initial public offering (IPO) of Enviro Infra Engineers Limited opened for subscription today, November 22, 2024. This wastewater management company aims to raise Rs 650.43 crore through a combination of fresh equity issuance and an Offer for Sale (OFS). The IPO will remain open until November 26, 2024, with shares expected to list on both the Bombay Stock Exchange (BSE) and the National Stock Exchange (NSE).

IPO Highlights

The price band for the Enviro Infra Engineers IPO has been set at Rs 140 to Rs 148 per equity share. Investors can bid in lots, with each lot comprising 101 shares. The public issue includes a fresh equity issuance worth Rs 572.46 crore and an OFS component amounting to Rs 77.97 crore.

In the grey market, Enviro Infra Engineers shares have generated excitement, with the Grey Market Premium (GMP) rising to Rs 31 today. This represents an increase of Rs 8 from Thursday’s GMP of Rs 23.

Day 1 Subscription Status

As of 10:27 a.m. on the opening day, the IPO had received an overall subscription of 14%. The retail segment showed robust interest, with 21% of its portion subscribed. The Non-Institutional Investors (NII) category saw an 18% subscription, while the employee reserved portion recorded 36%.

IPO Timeline: Key Dates to Watch

Subscription Period: November 22-November 26, 2024.
Allotment Date: The share allotment is likely to take place on November 27, 2024.
Listing Date: Shares are expected to list on the BSE and NSE on November 29, 2024.

IPO Objectives

The funds raised from the IPO will primarily be used to finance the company’s strategic initiatives. Proceeds from the fresh issuance, worth Rs 572.46 crore, will boost working capital and support the company’s growth strategies. The OFS component will allow existing shareholders to partially liquidate their holdings.

About Enviro Infra Engineers

Enviro Infra Engineers is a wastewater management solutions provider with a strong foothold in the infrastructure sector. The company specializes in designing and implementing wastewater treatment plants, catering to both municipal and industrial clients. Its portfolio includes services such as effluent treatment, sewage treatment, and water recycling systems, making it a key player in addressing India’s water scarcity and environmental challenges.

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Grey Market Sentiment

The rising GMP of Rs 31 reflects investor optimism about Enviro Infra Engineers’ growth potential and the wastewater management sector’s bright prospects. However, market experts caution that grey market premiums are speculative and should not be the sole basis for investment decisions.

IPO Management and Registrar

Hem Securities has been appointed as the lead manager for the issue, ensuring a smooth execution of the IPO process. Bigshare Services Private Limited has been designated as the registrar, responsible for handling share allotments and refunds.

Story first published: Friday, November 22, 2024, 11:01 [IST]