Power Mech Projects raises INR82 crore from anchor investors

Power MechMotilal Oswal-backed Power Mech Projects has made an allotment of 12.8 lakh shares to 7 anchor investors at the higher end of its IPO price band of INR615-640 per share. The Hyderabad-based power infrastructure services firm has raised IN81.96 crore by placing the shares with anchor investors which will have a lock in period of 30 days from the date of allotment.

Among the leading parties allotted shares is IDFC Premier Equity Fund which has been allocated 4.06 lakh shares.  Another major allotee is DSP Blackrock which subscribed to 2.18 lakh shares. SBI’s Small and Midcap Fund was allotted 1.84 lakh shares. Here is the full list of anchor investors and the shares allotted to them.

Power Mech Projects’ allocation to anchor investors

S. No.Anchor InvestorShares Allotted% of anchor investor portion
1IDFC Premier Equity Fund406,11531.7
2DSP Blackrock India TIGER Fund218,61517.1
3SBI Small and Midcap Fund183,35614.3
4Morgan Stanley Mauritius Company Limited140,49511.0
5TATA AIA Life Insurance Company109,3608.5
6L&T Business Cycles Fund62,5404.9
7HDFC Capital Builder Fund54,6804.3
8HDFC Small and Midcap Fund54,6804.3
9SBI Magnum Multicap Fund35,2592.8
10L&T India Value Fund15,6001.2

The IPO will open on Friday, 7 August for subscription and will close on Tuesday, 11 August. Unlike Syngene International, not many brokerages have come out with their recommendations, although Power Mech has done well on the pricing front, asking for a price earnings ratio of 10.7 at the lower end of the price band while the upper end stretches valuations to 11.1 times. IPO Central had an in-depth look at the red herring prospectus which can be accessed here.

Read Also: IPO Central Analysis: Power Mech Projects’ INR273.2 crore IPO

Here are some critical details about the IPO.

IPO dates7 August 2015 – 11 August 2015
Price bandINR615 – 640 per share
Total shares42.69 lakh shares
Offer for sale (OFS)21.41 lakh shares
Category allocationQIB – 50%, NII – 15%, Retail – 35%
Lead managersKotak Mahindra Capital Company, IIFL Holdings and Motilal Oswal Investment Advisors
Minimum lot20 shares and in multiples thereafter
Minimum investmentINR12,300 – INR12,800
Equity dilution29.02%

 

Krishna Bagra

Coming from a family of investors and financial analysts, Krishna learnt wading through regulatory filings pretty early in her career. At IPO Central, Krishna plays twin roles of contributor and head of research desk. She can also be reached at +krishnabagra .

Leave a Reply

Your email address will not be published. Required fields are marked *