MTAR Technologies IPO Opens For Subscription Today: Check Price Band, Listing Date, Other Details

MTAR Technologies IPO News: The IPO of MTAR Technologies, a Hyderabad-based precision engineering solutions company, will open for subscription today. The IPO consists of a fresh issuance of up to 21,48,149 equity shares aggregating Rs 124 crore and an offer for sale of up to 82,24,270 equity shares worth up to Rs 473 crore by selling shareholders. The issue will close on March 5. Also Read – Dhanteras 2017 Gold Prices: Today’s Rate to Buy Gold in Indian Metro Cities

The price band has been fixed at Rs 574- 575 per equity share for the initial share-sale. A retail investor can apply minimum for one lot, comprising of 26 shares. Allotment of MTAR Technologies’ shares will be finalised on March 10 and shares will be credited to demat accounts on March 15. The shares of MTAR Technologies will be listed on BSE and NSE on March 16. Also Read – PM Narendra Modi to launch 4 Gold related schemes on November 5

The company has already raised Rs 179 crore from anchor investors ahead of its share-sale. A total of 31,11,725 shares have been allocated to 15 anchor investors at Rs 575 per piece.

Among foreign investor that picked up stake through the Anchor investment include the likes of Nomura Funds Ireland Public Limited Company, White Oak Capital, and Goldman Sachs. HDFC Mutual Fund, Axis Mutual fund, SBI Mutual Fund, ICICI Prudential Mutual Fund are some of the domestic investors who were allocated shares in the anchor book, reported The Financial Express.

According to merchant banking sources, there was a bid demand of over Rs 3,000 crore against the book size of only Rs 179 crore. Overall, 25 bidders participated but shares were allocated to 15. The company said that proceeds from the fresh issue will be used to repay debt, fund long-term working capital requirements besides attending to general corporate purpose.

The MTAR Technologies has precision engineering capabilities to build nuclear and pressurized water reactors, aerospace engines, missile systems, aircraft components and many such other critical components and assemblies. It was incorporated in 1999 and currently operates out of seven manufacturing facilities, including an export-oriented unit located in Hyderabad, Telangana.

It has been servicing the defense, aerospace and energy sectors for more than four decades, while working with clients like, ISRO, DRDO, NPCL and US-based Bloom Energy Corp, besides catering to other well-known establishments like Bharat Dynamics and Hindustan Aeronautics Limited.