Mamata Machinery IPO Sees Remarkable 37.75x Subscription

Mamata Machinery Ltd's initial public offering was oversubscribed 37.75 times. The packaging machinery company's IPO, worth Rs 179 crore, is an Offer For Sale of 73.82 lakh shares. Funds will go to selling shareholders, not the company. The aim is better brand visibility through stock listing.

Mamata Machinery Ltd's initial public offering (IPO) saw an overwhelming response with a 37.75 times subscription rate, as bidding concluded on Friday, according to NSE data.

The company received bids for over 19.54 million shares, significantly surpassing the 5.18 million shares on offer. The IPO has drawn substantial interest, especially from retail individual investors, who subscribed 51.03 times over the offer. Non-institutional investors subscribed 50.23 times, while the segment for qualified institutional buyers was subscribed 4.74 times.

Priced between Rs 230-243 per share, the Rs 179-crore IPO is solely an Offer For Sale (OFS) comprising 73.82 lakh equity shares. The Gujarat-based company will not benefit directly from this sale since proceeds will go to the promoters and not the company itself. Mamata Machinery aims to leverage this listing to enhance its market presence and liquidity for current shareholders, strengthening its brand visibility.

(With inputs from agencies.)