Today, Faalcon Concepts saw a remarkable debut on the BSE SME, as its share price surged upon opening. Starting at ₹95, a significant 53.22% higher than its issue price of ₹62, the excitement was palpable. However, the jubilance was short-lived as the share price quickly hit the 5% lower circuit after the strong start. By 10:12 IST, Faalcon Concepts’ shares were trading at ₹90.25 apiece on the BSE.
The company’s IPO, which ran from April 19 to April 23, garnered substantial attention from investors, with the subscription status reaching an impressive 71.28 times by the end of day 3.
Faalcon Concepts specializes in designing, engineering, manufacturing, and installing façade systems, catering to intricate project needs. Their product range includes roofing, stone and metal cladding, skylights, canopies, frameless glass, high-end aluminum doors, and windows.
In terms of financials, Faalcon Concepts demonstrated a robust performance, with a profit after tax (PAT) surge of 83.58% from March 31, 2022, to March 31, 2023, despite a slight revenue decline of -28.5%.
The IPO details reveal that Faalcon Concepts offered approximately ₹12.09 crore, comprising a fresh issue of 1,950,000 equity shares. The net proceeds from the IPO will primarily fuel working capital needs, finance capital expenditure for facade structural equipment procurement, and serve general corporate purposes.
The company’s promoters are Prithvi, Tribhuvan, and Ekta Seth, and the IPO is managed by Beetal Financial & Computer Services (P) Limited as the registrar and Navigant Corporate Advisors Ltd as the book running lead manager.
The grey market premium (GMP) for Faalcon Concepts IPO, indicating investors’ willingness to pay more than the issue price, currently stands at +5. This suggests that Faalcon Concepts shares are trading at a premium of ₹5 in the grey market, according to investorgain.com. Considering this, analysts estimate that Faalcon Concepts’ share price may list at around ₹67 per share, marking an 8.06% increase over the IPO price of ₹62.
The rising trend in GMP over the past nine sessions reflects positive market sentiment and anticipates a strong listing for Faalcon Concepts. Analysts at investorgain.com observe a GMP range between ₹0 and ₹10, indicating varying levels of investor optimism.
