Heating equipment maker JNK India IPO receives 49% subscription on 1st day

The initial public offer of heating equipment maker JNK India received 49 per cent subscription on the first day of bidding on Tuesday.

The initial share sale received bids for 53,86,212 shares against 1,10,83,278 shares on offer, as per data available with the NSE.

The quota for Qualified Institutional Buyers (QIBs) got subscribed 67 per cent while the portion for Retail Individual Investors (RIIs) received 48 per cent subscription. The non institutional investors part fetched 25 per cent subscription.

The Initial Public Offer (IPO) has a fresh issue of up to Rs 300 crore and an Offer For Sale (OFS) component of up to 84,21,052 equity shares.

Those offloading shares in the OFS are promoters Goutam Rampelli, Dipak Kacharulal Bharuka, JNK Heaters Co Ltd, and Mascot Capital and Marketing Pvt Ltd, and a shareholder Milind Joshi.

The price range for the offer is fixed at Rs 395-415 a share.

On Monday, JNK India Ltd said it has garnered Rs 195 crore from anchor investors.

At the upper end of the price band, the IPO price has been pegged at Rs 650 crore.

IIFL Securities and ICICI Securities are managers to the offer.

Proceeds from the fresh issue will be used for funding working capital requirements and general corporate purposes.

JNK India is engaged in the business of thermal designing, engineering, manufacturing, supplying, installing, and commissioning heating equipment and caters to both domestic and overseas markets.

The heating equipment is required in industries such as oil and gas refineries, petrochemicals, fertilisers, and hydrogen and methanol plants, among others.

The equity shares are proposed to be listed on the BSE and the NSE.