The IPO from Power Mech Projects Limited which consisted of an offer for sale of 21,41,000 shares and a fresh issue of 21,28,000 shares. The total issue was for 42,69,000 equity shares in a price band of Rs 615-640. The company had earlier allotted the maximum 12,80,700 equity shares to anchor investors at the top end of the price band of Rs 640.

The issue received excellent response from the leveraged HNI and the bucket of non-retail was subscribed 133.22 times. Assuming an interest cost of 7% for 7 days, the funding cost amounts to Rs 114.45 per share. On the higher side assuming the rate of interest to be 8% it amounts to Rs 130.81. It appears most of the funding has happened at the lower end and total demand generated in the HNI category was Rs 5,460 crs for an issue which wanted to raise Rs 273 crs. The QIB portion was subscribed 27.53 times and retail 3.42 times. Total applications received were 2.02 lacs received which means that on a lot basis the issue was subscribed 2.70 times. Assuming there are no cancellations or rejections 4 out of 11 applicants will certainly be allotted shares.

Full details of subscription are given below: –