The issue, which kicked off for subscription on Wednesday, September 14, can be subscribed till Friday, September 16. The company will be selling its shares in the range of Rs 314-330 apiece to raise Rs 755 crore via its initial stake sale.
According to the data from BSE, the investors made bids for 3,08,05,065 equity shares or 1.83 times compared to 1,68,63,795 equity shares offered for subscription.
The quota for retail bidders was subscribed 2.33 times, whereas the allocation for HNI investors fetched 3.09 times bids. Employees allocation received 1.56 times bids whereas the quota for institutional investors was subscribed 1 per cent.
The company has reserved 50 per cent of the net offer for qualified institutional buyers (QIBs), whereas non-institutional buyers (NIIs) will get a 15 per cent allocation. Retail bidders will get the remaining 35 per cent allocation.
The majority of the brokerages remain positive on the issue and suggest subscribing to it. However, a few have flagged rising prices of raw materials and dependency on major clients as key concerns.
Harsha offers an expansive suite of precision engineering products and has marked its presence across several industries, operating in various geographies, said Arafat Saiyed from Securities. “The strategic locations of its production facilities and warehouses, and an experienced management along with a qualified workforce augurs well for it.”
Leading position in bearing cages, strong financial, expertise in tooling, design development, automation, solid clientele base and diversified products across geographies are key positives, while valuation captures most of the positives leaving limited upside, he added without rating the issue.
Brokerage firm KR Choksey believes that the company’s long-term prospects are favourable, given long relationships with key industry players. The company enjoys a healthy market share in the Indian organized precision bearing cages market.
“The company has healthy return ratios and good earnings visibility going ahead. HEIL is available at a discount to its listed industry peers,” it said with a subscribed rating to the issue.
Harsha Engineers raised Rs 225.75 crore from global and domestic anchor investors by allotting 68.4 lakh equity shares at Rs 330 apiece, the company said in a regulatory filing.
American Funds Insurance, Goldman Sachs, Pinebridge Global Funds, and Abu Dhabi Investment Authority, Whiteoak Capital and multiple domestic mutual funds participated in the anchor book.
, Equirus Capital and are lead managers to the issue, whereas Link Intime India has been appointed as the registrar to the issue.
(Disclaimer: Recommendations, suggestions, views and opinions given by the experts are their own. These do not represent the views of Economic Times)
