On Wednesday, September 25, 2024, KRN Heat Exchanger and Refrigeration Limited (KRN Heat Exchanger) will launch a bid and issue in relation to its initial public offering (IPO) of equity shares. Nonetheless, the latest GMP indicated a strong listing gain of 101.36% for the KRN Heat Exchanger IPO prior to the subscription opening.

KRN Heat Exchanger IPO GMP

The latest GMP for the KRN Heat Exchanger IPO was Rs 223 as of September 23, 2024, 06:03 AM. Prior to its official listing on the stock exchange, the shares of KRN Heat Exchanger IPO received a remarkable amount of attention on the grey market on Monday. Taking into account the upper price band of Rs 220.00, this suggests an amazing listing premium of 101.36%. The estimated listing price for the KRN Heat Exchanger IPO is thus Rs 443 (upper price band in addition to today’s GMP).

KRN Heat Exchanger IPO Details

The subscription window for the KRN Heat Exchanger IPO will open on Wednesday, September 25, 2024, and end on Friday, September 27, 2024. Tuesday, September 24, 2024, will be the anchor investor bid day. Up to 1,55,43,000 new equity shares with a face value of Rs. 10 each make up the entire issue size of equity shares.

The total issue size of the book-built issue is Rs 341.95 crore at the upper price level and Rs 324.85 crore at the lower price band. KRN Heat Exchanger has fixed Rs 209 to Rs 220 per equity share as its IPO price band. On Monday, September 30, 2024, the basis of share allotment for the KRN Heat Exchanger IPO is anticipated to be completed. The tentative listing date for the KRN Heat Exchanger IPO is set for Thursday, October 3, 2024, on the BSE and NSE.

To participate in the KRN Heat Exchanger IPO, retail investors must deposit a minimum of Rs 14,300 as the bids can be placed for a minimum of 65 equity shares, and then in multiples of 65 equity shares. The registrar of the KRN Heat Exchanger IPO is Bigshare Services Pvt Ltd, in addition, the book running lead manager is Holani Consultants Private Limited.

KRN Heat Exchanger IPO Objective

As per the Red Herring Prospectus (RHP) of the company, KRN Heat Exchanger proposes to utilise net proceeds from fresh issue of equity shares towards (a) investment in its wholly owned subsidiary, KRN HVAC Products Private Limited in the form of equity for setting up a new manufacturing facility as a proposed project at Neemrana, Alwar, Rajasthan estimated to Rs 24,246.10 Lakh and general corporate purposes.

KRN Heat Exchanger IPO Reservation

Through the book-building process, the issue is being made. Of the net issue, not less than 15% will be available for allocation to non-institutional bidders, not less than 35% will be available for allocation to retail individual bidders, and not more than 50% will be available for allocation to qualified institutional buyers (QIB) on a proportionate basis.

KRN Heat Exchanger Financials

For the fiscal year that ended on March 31, 2024, KRN Heat Exchanger recorded revenue of Rs 313.60 crore and a net profit of Rs 39.88 crore. For the fiscal year 2022-2023, the company’s sales were Rs 250.02 crore, while its profit was just Rs 31.51 crore.

About KRN Heat Exchanger

One of the top producers and exporters of heat exchangers including copper tubes, aluminium fins, and water coils, as well as condenser and evaporator coils, is KRN Heat Exchanger and Refrigeration Limited. Renowned OEMs in the refrigeration, air conditioning, heating, and ventilation (HVAC&R) sector receive their products. Among the esteemed clientele of the company are Knorr Bremse, Voltas, Carrier, Eberspaecher, Kirloskar, Blue Box, Schneider Electric, Daikin India, etc.