Tonbo Imaging India shares show a 67 percent grey market premium ahead of their October 23 listing. The Rs 852.18-crore IPO got heavy demand, as it was subscribed 135.9 times. Many investors watched the bidding closely before the issue closed on October 19. The company designs systems for defence applications.
Tonbo Imaging India shares are commanding a strong grey market premium (GMP) ahead of their listing on the stock exchanges on October 23, after the defence technology company's IPO attracted heavy investor demand during the bidding period. According to InvestorGain, Tonbo Imaging shares were commanding a grey market premium of nearly 67 percent on the morning of October 22. However, the grey market premium is an unofficial indicator of investor sentiment and does not guarantee listing gains. The actual listing price may differ from these estimates. Read Also:
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The Rs 852.18-crore IPO closed for subscription on October 19, attracting bids for 1,15,86,91,464 shares against 85,26,033 shares on offer. The issue was subscribed 135.9 times, according to data from the National Stock Exchange (NSE). The IPO witnessed strong demand across all investor categories. The Qualified Institutional Buyers (QIBs) portion was subscribed 293.56 times, while the Non-Institutional Investors (NIIs) category saw 170.94 times subscription. The Retail Individual Investors (RIIs) portion was subscribed 31.06 times. The company had fixed the IPO price band at Rs 665-700 per share. The lot size was 21 shares, requiring a minimum investment of Rs 14,700 for retail investors applying at the upper end of the price band. The public issue comprised an offer for sale (OFS) of 1,21,74,046 equity shares, with no fresh issue component. At the upper end of the price band, the issue was valued at Rs 852.18 crore, implying a market capitalisation of around Rs 4,010 crore. Since the IPO is entirely an OFS, Tonbo Imaging India will not receive any proceeds from the share sale. Instead, the proceeds, after applicable expenses, will go to the existing shareholders selling their stakes. Check IPO News Here Promoters Arvind Kondangi Lakshmikumar, Ankit Kumar and Cecilia D'Souza, along with existing investors including CEAQ Technologies, Timothy Guy Mitchell, Artiman Partners LLC and Ramesh Radhakrishnan, are among the shareholders offloading their holdings. JM Financial and IIFL Capital Services are the book-running lead managers for the issue, while KFin Technologies is the registrar. About Tonbo Imaging India Incorporated in 2003, Tonbo Imaging India designs and manufactures electro-optic and electronic systems for defence applications. Its product portfolio includes thermal imaging systems, weapon sights, handheld thermal imaging binoculars, targeting systems, missile seekers, fire-control systems and missile-guidance systems. The company's technologies are used in surveillance, reconnaissance, targeting and other military applications. Disclaimer: The views and investment tips expressed by investment experts on Moneycontrol.com are their own and not those of the website or its management. Moneycontrol.com advises users to check with certified experts before taking any investment decisions.