Readymix Construction Machinery IPO: The initial public offer (IPO) of Readymix Construction Machinery, which kicked off for subscription, on February 6, managed to sail through on the second day of the book-building process.
The company is looking to raise ₹37.66 crore via the fresh share sale of 30.62 shares. Readymix Construction Machinery IPO price band is fixed at ₹121-123 apiece. The minimum lot size for Readymix Construction Machinery IPO is 1000 shares, requiring ₹1,23,000 investment by retail investors to apply for one lot.
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Readymix Construction Machinery plans to use the funds raised via the IPO for repayment and/or pre-payment, in full or part, of borrowing availed by the company, meeting the working capital requirement and general corporate purposes.
The three-day offer will close for subscription on February 10, with the allotment expected on February 11 and listing likely on the NSE SME platform on February 13.
Readymix Construction Machinery IPO Subscription Status
Readymix Construction Machinery IPO was booked 1.49 times as of 2.45 pm on the second day of the bidding process. The retail portion was subscribed 1.36 times, the non-institutional investor (NII) portion was booked 1.19 times and the qualified institutional buyer (QIB) portion received 1.96 times bids.
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Readymix Construction Machinery IPO GMP Today
The grey market premium or GMP for Readymix Construction Machinery IPO is ₹9. This means the shares of Readymix Construction Machinery are trading ₹9 higher than the issue price of ₹123. At this GMP and issue price, Readymix Construction Machinery IPO shares could list at ₹132, a premium of 7%.
Investors, however, must note that GMP doesn’t guarantee any listing gains and is only a signal of the demand for the company’s shares in the grey market.
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About The Company
Readymix Construction Machinery provides comprehensive solutions for plant design, development, fabrication, and installation across industries like cement, concrete, construction, and building materials. It specialises in equipment such as Dry Mix Mortar Plants, Artificial Sand Plants, and Wall Putty Plants. The company also offers end-to-end turn-key services, including conceptualization, testing, logistics, installation, and after-sales support, including maintenance and repair services for various plants and machinery.
In addition, the company provides Business Consultancy Services, focusing on innovative design, technology, and operational improvements, which help reduce capital costs and enhance efficiency. They also offer online support for equipment installation and Recipe Consultancy Services for optimizing ingredient blends.
The company has made notable progress in its Research & Development efforts, starting in FY 2022-23, aimed at replacing external machine components with in-house developed alternatives. This initiative has led to the development of over 35 new products, resulting in substantial cost savings and a notable improvement in gross margins.
Hem Securities Limited is the book-running lead manager of the Readymix Construction IPO, while Bigshare Services Pvt Ltd is the registrar for the issue.
