Jyoti CNC Automation Limited’s IPO opened on Tuesday and is set to close on January 11, 2024. The company, specializing in CNC machines, has priced its IPO in the range of ₹315 to ₹331 per equity share. Trading in Jyoti CNC Automation shares has already begun, with the current grey market premium standing at ₹76, according to market observers.
As of 3:24 PM on the first day of bidding, the IPO has been subscribed 1.86 times, with the retail portion oversubscribed by 6.94 times. The Non-Institutional Investors (NII) category has seen a subscription of 2.13 times.
**Key Details of Jyoti CNC Automation IPO:**
1. **Grey Market Premium (GMP) Today:** Jyoti CNC Automation shares are commanding a premium of ₹76 in the grey market.
2. **IPO Price Band:** The company has set the price band for the book build issue at ₹315 to ₹331 per equity share.
3. **IPO Duration:** The IPO is open for subscription until January 11, 2024.
4. **IPO Size:** Jyoti CNC Automation aims to raise ₹1,000 crore through the issuance of fresh shares.
5. **Lot Size:** Bidders can apply in lots, with one lot comprising 45 company shares.
6. **Allotment Date:** Share allocation is expected on January 12, 2024, following the T+3 listing schedule.
7. **Registrar:** Link Intime India Private Limited is the official registrar for the Jyoti CNC Automation IPO.
8. **Listing:** The book build issue is proposed for listing on both BSE and NSE.
9. **Listing Date:** Jyoti CNC Automation shares may be listed on January 16, 2024.
**Analyst Recommendations:**
10. **IPO Review:** Amit Goel, Co-Founder, and Chief Global Strategist at Pace 360 recommends a ‘subscribe’ rating, considering the company’s net profit of ₹3.35 crore and total income of ₹510.53 crore in the first half of FY24. The IPO proceeds are intended for debt repayment, working capital, and general corporate purposes.
11. **Reliance Securities:** Suggests a ‘subscribe’ rating for the long term, highlighting improved market share, industry demand, diversified presence, capacity augmentation, and debt repayment.
12. **Other Brokerages:** Ventura Securities, Marwadi Shares and Finance, and Mehta Equities recommend subscribing to the IPO, while SMC Global Securities and Swastika Investmart have a ‘neutral’ stance.
In summary, market analysts express positive sentiments toward Jyoti CNC Automation’s IPO, citing factors like financial performance, industry demand, and strategic plans. Recommendations lean towards subscribing for potential listing gains and long-term investment.
