Gala Precision Engineering IPO Oversubscribed 10.84x on Day 1! Check GMP, Subscription Surge & More

Gala Precision Engineering Limited’s IPO opened for subscription on September 2, and it was quickly oversubscribed by 10.84 times. Investors showed strong interest, bidding for 2.41 crore shares, even though only 22.23 lakh shares were available.

The highest demand came from non-institutional investors (NIIs), who oversubscribed their portion by 20.72 times on the first day. Retail investors followed, subscribing 12.17 times over their allotted portion. Meanwhile, qualified institutional buyers (QIBs) subscribed to the IPO at 0.86 times, according to data from the Bombay Stock Exchange (BSE).

The subscription period for the Gala Precision Engineering IPO runs from Tuesday, September 2, to Wednesday, September 4. The price band for the IPO has been set between ₹503 and ₹529 per equity share, each with a face value of ₹10. The company has already raised ₹50.29 crore from its anchor investors and has set a lot size of 28 shares for this public issue.

GMP Today

As of September 2, 2024, the grey market premium (GMP) for Gala Precision Engineering’s IPO is ₹268. The GMP indicates the extra amount investors are willing to pay over the issue price. Given the upper price band of ₹529, the estimated listing price is around ₹797, suggesting a potential gain of 50.66%, according to investorgain.com.

About Gala Precision Engineering

Gala Precision Engineering Limited manufactures precision components, specialising in springs such as disc and strip springs (DSS), coil and spiral springs (CSS), and special fastening solutions (SFS). The company serves major OEMs and Tier-1 and Channel Partners across various industries, including renewable energy, industrial, and mobility sectors.

In this IPO, 50% of the shares are reserved for qualified institutional buyers (QIBs), at least 15% for non-institutional investors (NIIs), and at least 35% for retail investors.