VL Infraprojects IPO: Listed at ₹79.80 with 90% Premium on NSE SME

VL Infraprojects IPO made a remarkable entrance into the Indian stock market on Tuesday, with shares listing at ₹79.80 each on the NSE SME, reflecting a 90% premium over the issue price of ₹42.00 per share.

The listing of VL Infraprojects IPO met market expectations. Despite the grey market premium (GMP) indicating a potential listing premium of over 140%, NSE imposed a price control cap of 90% on the SME IPO issue price during the pre-opening session, resulting in the shares listing at a 90% premium.

The IPO was available for subscription from July 23 to July 25, with the allotment finalized on July 26 and the listing date set for today, July 30. As an SME IPO, VL Infraprojects' equity shares are listed on the NSE Emerge platform.

Priced between ₹39 and ₹42 per share, the company raised ₹18.52 crore through a book-built issue comprising a fresh issue of 44.1 lakh equity shares. The net proceeds from the IPO are intended to meet working capital requirements and general corporate purposes.

During the bidding period, the IPO saw significant demand across all investor categories, with a total subscription of 636.17 times. It received bids for 185.88 crore equity shares against the 29.22 lakh shares on offer. The retail category subscribed 844.22 times, the Qualified Institutional Buyers (QIB) category 203.73 times, and the Non-Institutional Investors (NII) category 726.56 times.

The funds raised through the IPO will be used to meet the company's working capital requirements and for general corporate purposes. 

Beeline Capital Advisors Pvt Ltd acted as the book running lead manager for the VL Infraprojects IPO, while Skyline Financial Services Private Ltd served as the IPO registrar.

VL Infraprojects is a civil infrastructure company specializing in the planning, construction, and commissioning of various government projects, particularly in water infrastructure and irrigation.

To Summarize

VL Infraprojects had an impressive debut in the Indian stock market on Tuesday, with shares listing at ₹79.80 each on the NSE SME, representing a 90% premium over the issue price of ₹42.00 per share. The company's IPO was priced between ₹39 and ₹42 per share, successfully raising ₹18.52 crore through a book-built issue that included a fresh issue of 44.1 lakh equity shares. VL Infraprojects is a civil infrastructure firm that focuses on the planning, construction, and commissioning of various government projects, especially those related to water infrastructure and irrigation.