Tunwal E-Motors IPO Makes a Positive Debut, Opens with an 8.5% Premium at ₹64 Each

Tunwal E-Motors IPO made a solid debut on the NSE SME platform, with shares listed at ₹64, marking an 8.5% premium over the issue price of ₹59. The company's IPO raised ₹115.64 crores through a fixed price issue, which included a fresh issue of 138.5 lakh shares worth ₹81.72 crores and an offer for sale of 57.5 lakh shares totaling ₹33.93 crores.

Tunwal E-Motors IPO opened for bidding on July 15 and closed on July 18, with allotments finalized on July 19. Horizon Management Pvt Ltd served as the book-running lead manager for the IPO, while Skyline Financial Services Pvt Ltd was the registrar.

The company's identified peers include Wardwizard Innovations & Mobility Ltd, with a P/E ratio of 117.96, and TVS Motors Ltd, with a P/E ratio of 66.33. In the fiscal year 2024, the company reported sales of ₹10,460.07 lakhs, an EBITDA of ₹1,783.15 lakhs, and a PAT of ₹1,181.17 lakhs.

Founded in December 2018, Tunwal E-Motors is an electric two-wheeler manufacturer focusing on the design, development, and production of high-quality electric bikes. The company offers a diverse portfolio with over 23 models available in the Indian market, catering to various consumer needs.

Tunwal E-Motors has a robust dealer network spanning 19 states with over 256 dealers, ensuring extensive reach and comprehensive after-sales support, including maintenance, battery management, diagnostics, and safety checks.

The company operates a state-of-the-art manufacturing facility in Palsana, Sikar, covering 8,000 square meters, with an annual production capacity of up to 41,000 units.

The company plans to allocate the net proceeds from the offering towards funding its working capital requirements, research and development activities, inorganic growth, and general corporate expenses.

To Summarize

Tunwal E-Motors shares debuted at ₹64, representing an 8.5% premium over the issue price of ₹59 on the NSE SME platform. The company's IPO successfully raised ₹115.64 crores through a fixed price issue. This comprised a fresh issue of 138.5 lakh shares amounting to ₹81.72 crores and an offer for sale of 57.5 lakh shares totaling ₹33.93 crores. The company plans to allocate the net proceeds from the offering towards funding its working capital requirements, research and development activities, inorganic growth, and general corporate expenses.