Elin Electronics IPO subscribed 37%

The offer received bids for 52.35 lakh shares as against 1.42 crore shares on offer.

The initial public offer (IPO) of Elin Electronics received bids for 52,35,360 shares as against 1,42,09,386 shares on offer, according to stock exchange data at 17:00 IST on Tuesday (20 December 2022). The issue was subscribed 0.37 times.

The issue opened for bidding on Tuesday (20 December 2022) and it will close on Thursday (22 December 2022). The price band of the IPO is fixed at Rs 234-247 per share. An investor can bid for a minimum of 60 equity shares and in multiples thereof.

The IPO comprises of a fresh issue of upto Rs 175 crore, and an offer for sale (OFS) up to Rs 300 crore by existing shareholders.

Of the net proceeds of the fresh issue, about Rs 88 crore will be used for repayment and prepayment, in full or part, of certain borrowings availed by the company, Rs 37.589 crore will be used for funding capital expenditure to upgrade and expand existing facilities at Ghaziabad (Rs 28.934 crore) and Goa (Rs 8.655 crore) and general corporate purposes.

Ahead of the IPO, Elin Electronics on Monday, 19 December 2022, raised Rs 142.49 crore from anchor investors. The board allotted 57,69,223 shares at Rs 247 per share to 15 anchor investors.

Elin Electronics is a leading player in electronics manufacturing services offering end-to-end product solutions for major brands of lighting, fans, and small and kitchen appliances in India. The company is one of the largest fractional horsepower motors manufacturers in India and sells fractional horsepower motors under its own brand name Elin.

The company reported a net profit of Rs 20.67 crore and sales of Rs 604.46 crore in the six months ended 30 September 2022.

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