What you must know about Trom Industries IPO: Price Band ₹100 and ₹115 per share

Trom Industries Ltd – About the Company

Founded in 2011, Trom Industries Limited specializes in solar energy solutions, offering residential rooftop systems, industrial solar power plants, ground-mounted installations, and solar street lights. Their products include solar street lights, solar freezers, off-grid systems, solar home lights, water purifiers, water pumps, AC LED street lights, and AC LED flood lights. As of March 1, 2024, the company employs 31 people, including directors and key management personnel. 

The company's product portfolio includes (1) solar products: Solar street lights, solar freezers, off-grid solar systems, solar home lights, solar water purifiers, and solar water pumps, and (2) AC LED lights: AC LED street lights and AC LED flood lights. As of March 01, 2024, the Company had 31 employees, including directors and key management personnel. 

Highlights of the Trom Industries IPO

Here are some of the highlights of the Trom Industries IPO on the SME segment of the National Stock Exchange (NSE). 

•    Trom Industries IPO is a book-built issue valued at Rs 31.37 crores, consisting entirely of a fresh issue of 27.28 lakh shares.
•    The subscription period for the Trom Industries IPO opens on July 25, 2024, and closes on July 29, 2024.
•    The price band for the IPO is set between ₹100 and ₹115 per share.
•    Retail investors must invest a minimum of ₹138,000 for 1200 shares, while high net-worth individuals (HNIs) need to invest at least ₹276,000 for 2 lots (2,400 shares).
•    The IPO is expected to be listed on the NSE SME on August 1, 2024, with the allotment finalization anticipated on July 30, 2024. 
•    The Trom Industries IPO will be open for subscription from July 25, 2024, to July 29, 2024, with a total issue size of 2,727,600 shares, aggregating up to ₹31.37 crores.
•    The price band for the IPO is set between ₹100 and ₹115 per share, with a minimum lot size of 1200 shares.
•    Sunflower Broking is the market maker for this IPO, with a designated portion of 136,800 shares, and the listing will be on the NSE SME.

•    Expert Global Consultants Private Limited will be the lead manager to the issue, and Kfin Technologies Limited will be the registrar to the issue. The market maker for the issue is Sunflower Broking Private Ltd.
 

 Trom Industries IPO – Key Dates

Data Source: Company RHP

In ASBA applications, there is no refund concept. The total application amount is blocked under the ASBA (applications supported by blocked amounts) system. Once the allotment is finalized, only the amount is debited to the extent of the allotment made and the lien on the balance amount is automatically released in the bank account. The credit of shares to the demat account on July 31st 2024, will be visible to investors under the ISIN Code. This credit to the demat account is only applicable to the extent of the allocation of shares and if no allocations are made in the IPO, then no credit would be visible in the demat account.

IPO Allocation and Minimum Investment Lot Size

The Trom Industries IPO is a public issue comprising 2,727,600 equity shares. Retail investors are offered 907,200 shares, while qualified institutional buyers (QIB) and non-institutional investors (NII) are allocated 518,400 shares and 388,800 shares, respectively. Anchor investors are allocated 776,400 shares, and market makers receive 136,800 shares. The IPO aims to raise ₹31.37 crores, with retail investors' portion valued at ₹10.43 crores, QIBs at ₹5.96 crores, NIIs at ₹4.47 crores, anchor investors at ₹8.93 crores, and market makers at ₹1.57 crores. The allocation percentages are 33.26% for retail, 19.01% for QIBs, 14.25% for NIIs, 28.46% for anchor investors, and 5.02% for market makers.

Data Source: Company RHP

There are no upper limits for investments by HNIs / NIIs in the Trom Industries IPO.