Avana Electrosystems' upcoming IPO is creating buzz, with the grey market showing a premium of roughly Rs 24 per share, suggesting a potential 40% jump over the issue price.
Key IPO Details
- Issue price band: Rs 56‑Rs 59 per share
- Grey‑market premium (GMP): about Rs 24 per share
- Expected listing price: around Rs 83 per share
- Total raise: ~Rs 35 crore
- Listing platform: NSE SME
- Subscription window closes: Jan 14
- Shares start trading: Jan 19
Issue Structure
The IPO includes a fresh issue of 0.52 crore shares (≈Rs 30.5 crore) and an offer‑for‑sale of 0.08 crore shares (≈Rs 4.7 crore). The lot size is 2,000 shares, meaning the smallest retail order is 4,000 shares (≈Rs 2.36 lakh). High‑net‑worth investors need to apply for at least 6,000 shares (≈Rs 3.54 lakh).
Allocation Snapshot
- Qualified institutional buyers (including anchor investors): 47%
- Retail investors: 33%
- Non‑institutional investors: 14.5%
About Avana Electrosystems
Founded in 2010 and based in Bengaluru, Avana designs and builds custom control and relay panels for power transmission and distribution. Its products cover voltages from 11 kV to 220 kV and include protection relays, sub‑station automation panels, and related equipment.
Recent Financial Performance
- FY 2025 revenue: Rs 62.9 crore (up from Rs 53.3 crore in FY 2024)
- FY 2025 profit after tax: Rs 8.31 crore (up from Rs 4.02 crore)
- Q1‑Q2 2025 revenue: Rs 36.3 crore
- Q1‑Q2 2025 profit: Rs 5.61 crore
Planned Use of IPO Proceeds
- Set up an integrated manufacturing unit (civil, electrical, plumbing): Rs 11.6 crore
- Working capital requirements: Rs 8.4 crore
- Remaining funds: general corporate purposes
Market Makers and Advisors
Asnani Stock Broker is the market maker. Indcap Advisors acts as the book‑running lead manager, and Integrated Registry Management Services is the registrar.
Investor Takeaway
The strong grey‑market premium points to investor optimism, but remember that GMP figures are unofficial and can change quickly as the subscription period ends. Retail investors should weigh the company’s growth story against the inherent risks of SME listings.
Remember, this is perspective, not a prediction. Do your own research before investing.