Shares of Sona Machinery were quoting at Rs 131.25 on the NSE, a discount of 8.22% compared with the issue price of Rs 143.
The scrip was listed at Rs 125, a discount of 12.59% compared with the initial public offer (IPO) price. The stock is currently frozen at an upper limit of 5% over its listing price.The counter hit a high of Rs 131.25 and a low of Rs 118.75. About 6.80 lakh shares of the company changed hands at the counter.
Sona Machinery's IPO was subscribed 181.93 times. The issue opened for bidding on 5 March 2024 and it closed on 7 March 2024. The price band of the IPO was fixed at Rs 136 to 143 per share.
The IPO comprised fresh issue of 36,24,000 shares. The promoter and promoter shareholding diluted to 73.59% from 100% pre-IPO.
The company intends to utilize the net fresh issue proceeds for funding the capital expenditure requirements of the company towards setting up of a new manufacturing unit at Ghaziabad, repayment of the outstanding amount of the letter of credit availed by the company for purchase of machinery and for general corporate purpose.
Ahead of the IPO, Sona Machinery on 4 March 2024, raised Rs 14.75 crore from anchor investors. The board allotted 10.32 lakh shares at Rs 143 per share to 8 anchor investor.
Sona Machinery is a one-stop shop for agro-processing equipment, manufacturing machines for grains like rice, pulses, and wheat. They also offer complete solutions for setting up rice mills and ethanol distilleries, including designing, installing, and commissioning the equipment. Their factory is located in Ghaziabad, India.
As of 30 September 2023, the company has over 390 employees, including semi-skilled workers at various levels of the organization.
The company recorded revenue from operations of Rs 62.75 crore and net profit of Rs 6.47 crore for the period as on 30 November 2023.
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