Chamunda Electricals IPO opens on February 4 with a price band of ₹47-50 per share. The IPO aims to raise ₹14.60 crore and sees strong grey market activity.
Chamunda Electricals Ltd, an electrical engineering company, is all set to launch its Initial Public Offering (IPO) today, February 4, with a price band set between ₹47 and ₹50 per equity share. The IPO, expected to raise ₹14.60 crore, will close on February 6, 2025. The company plans to use the proceeds from the IPO for working capital, loan repayments, and capital expenditures.
Founded in June 2013, Chamunda Electricals is focused on the operation and maintenance of substations up to 66 KV, testing and commissioning for substations up to 220 KV, and solar power generation capacities. Their service offerings also include the installation of EHV class equipment, earthing solutions, control cable installation, and substation construction. With a workforce of over 600 employees, Chamunda Electricals is known for its ability to manage complex and high-precision projects.
The IPO consists of a fresh issue of 29,19,000 equity shares and has no offer for sale (OFS) component. The company’s main objectives for the funds raised include working capital, repayment of loans, purchase of new testing equipment, and general corporate expenses.
As of today, Chamunda Electricals’ Grey Market Premium (GMP) is ₹11, reflecting an expected listing price of ₹61 per share at the upper end of the price band. This indicates a promising start for the IPO, with a 22% premium over the issue price of ₹50 per share.
The book running lead manager for the IPO is GYR Capital Advisors Private Limited, and Kfin Technologies Limited is the issue’s registrar. Wiinance Financial Services Private Ltd will act as the market maker for the IPO.
Investors and market participants are watching the IPO closely, as the strong GMP and increased grey market activity suggest positive investor sentiment ahead of the listing.
