KRN Heat Exchanger IPO Subscription Status

KRN Heat Exchanger's initial public offering (IPO) has garnered exceptional investor interest, with subscription rates increasing dramatically over the three-day period. Starting strong on day one, the IPO witnessed a surge in demand, resulting in an impressive 213.41 times oversubscription by the end of day three. This response underscores the strong market appetite for KRN Heat Exchanger's shares and sets the stage for a potentially dynamic listing.

The IPO, which opened on 25th September 2024, has seen significant growth in investor participation across all categories. KRN Heat Exchanger attracted bids for 2,34,59,88,580 equity shares amounting to ₹51,611.75 crore.

The Non-Institutional Investors (NII) segment, in particular, has shown overwhelming demand, followed by strong interest from Qualified Institutional Buyers (QIB) and Retail Investors.

Subscription Status of KRN Heat Exchanger IPO for Days 1, 2, and 3:

Here are the subscription details for KRN Heat Exchanger IPO as of Day 3 (27th September 2024):

Total Applications: 6,291,460 (74.38 times)

Note: The total amount is calculated based on the final issue price or the price in the upper price range.

Key Highlights:

• The IPO of KRN Heat Exchanger is currently subscribed 213.41 times, with exceptional demand from Non-Institutional Investors.
• Non-Institutional Investors (NII) have shown overwhelming interest, with a subscription ratio of 430.54 times.
• Qualified Institutional Buyers (QIB) have demonstrated strong enthusiasm, with a subscription ratio of 253.04 times.
• Retail investors have shown significant interest, with a subscription ratio of 96.74 times.
• The overall subscription trend increased dramatically day-on-day, indicating high investor confidence and positive sentiment towards the issue.

KRN Heat Exchanger IPO - Day 2 Subscription at 58.55 Times

Key Highlights:

• On Day 2, KRN Heat Exchanger's IPO was subscribed 58.55 times, with strong demand from Non-Institutional Investors.
• Non-Institutional Investors (NII) showed significantly increased interest with a subscription ratio of 136.22 times.
• Retail investors showed increased interest with a subscription ratio of 56.14 times.
• Qualified Institutional Buyers (QIB) showed moderate interest with a subscription ratio of 3.16 times.
• The overall subscription trend indicated building momentum, with all investor categories showing increased participation.

KRN Heat Exchanger IPO - Day 1 Subscription at 26.11 Times

Key Highlights:

• The IPO of KRN Heat Exchanger was subscribed 26.11 times on Day 1, with strong initial demand across all investor categories.
• Non-Institutional Investors (NII) showed early strong interest with a subscription ratio of 55.59 times.
• Retail investors showed significant initial interest with a subscription ratio of 27.24 times.
• Qualified Institutional Buyers (QIB) showed moderate initial interest with a subscription ratio of 1.44 times.
• The first-day response laid a strong foundation for the remaining days of the IPO, with expectations of increased participation in the following days.

About KRN Heat Exchanger and Refrigeration Limited:

KRN Heat Exchanger and Refrigeration Limited is a prominent manufacturer specialising in fin and tube-type heat exchangers, serving the domestic, commercial, and industrial HVAC&R (Heating, Ventilation, Air Conditioning, and Refrigeration) sector. The company offers a wide range of products, including copper and aluminium fin heat exchangers, water coils, condenser coils, evaporator coils, and heat exchanger tubes of various shapes and sizes (diameter: 5 mm to 15.88 mm).

Their state-of-the-art manufacturing facility in Neemrana, Rajasthan, spans 7,800 sq. mt., and is equipped with advanced machinery like the Hair Pin Bender, Fin Press Machine, CNC Tube Bender, and Vertical Expander. This enables them to meet high production standards for both domestic and international clients, including Daikin, Blue Star, Schneider Electric, and Kirloskar Chillers.

KRN Heat Exchanger exports to markets in the UAE, USA, Italy, Saudi Arabia, Norway, Czech Republic, Germany, and the UK. With a revenue of ₹313.54 crore and a profit of ₹39.07 crore in FY 2024, the company shows strong financial health, maintaining a Return on Equity (ROE) of 40.86% and a Return on Capital Employed (ROCE) of 31.21%. Its Debt-to-Equity ratio stands at a manageable 0.45, reflecting a solid balance sheet.

The proposed IPO will support the establishment of a new manufacturing facility through its wholly-owned subsidiary, KRN HVAC Products Pvt Ltd, which is expected to further strengthen its market position and production capabilities.

Also read about KRN Heat Exchanger IPO

Highlights of the KRN Heat Exchanger IPO:

• IPO Date: 25th September 2024 to 27th September 2024
• Listing Date: 3rd October 2024 (Tentative)
• Face Value: ₹10 per share
• Price Band: ₹209 to ₹220 per share
• Lot Size: 65 Shares
• Total Issue Size: 15,543,000 shares (aggregating up to ₹341.95 Cr)
• Fresh Issue: 15,543,000 shares (aggregating up to ₹341.95 Cr)
• Issue Type: Book Built Issue IPO
• Listing At: BSE, NSE
• Book Running Lead Manager: Holani Consultants Private Limited
• Registrar: Bigshare Services Pvt Ltd