Aastha Spintex Share Price: Aastha Spintex, a textile company, got listed on the stock exchange today at a discount of over 4 per cent on Monday (July 6) over its final issue price of Rs 136. The company’s IPO was subscribed to more than 5 times in the primary market.
On the BSE, Aastha Spintex shares were listed at Rs 130, reflecting a discount of Rs 6 or 4.41 per cent from the issue price. Similarly, on the NSE, the stock was listed at a comparable discount.
On the BSE, the market capitalisation of the stock stood at Rs 573.85 crore.
Aastha Spintex IPO Subscription
The IPO, which was open for subscription from June 29 to July 1, received over 5 times the overall subscription, driven primarily by Non-Institutional Buyers, followed by Qualified Institutional Buyers and Retail Investors. The subscription breakdown is as follows:
- Non-Institutional Buyers: 8.29 times
- Qualified Institutional Buyers: 3.59 times
- Retail Investors: 2.54 times
In total, the IPO received 6,31,27,240 bids against 1,25,00,000 shares on offer.
Aastha Spintex IPO Grey Market Premium (GMP)
Contrary to the listing, the grey market premium (GMP) for Aastha Spintex ahead of listing, as tracked by various websites monitoring the unlisted market, indicated a marginal premium, suggesting a moderate listing on both the BSE and NSE.
About Aastha Spintex IPO
The IPO lot size was 110 shares, and the minimum investment required for a retail investor was Rs 14,960 (based on the upper price band). BOI Merchant Bankers Ltd. acted as the book-running lead manager, while Bigshare Services Pvt. Ltd. served as the registrar to the issue.
Utilisation of Aastha Spintex IPO funds
As per the company’s Red Herring Prospectus (RHP), the total funds raised of Rs 170 crore will be partly used for the acquisition of Falcon Yarns Private Limited. Additionally, Rs 10 crore will be used as inter-corporate deposits to fund the working capital requirements of Falcon Yarns Private Limited.
About Aastha Spintex
Aastha Spintex is engaged in the manufacturing and trading of various types of cotton yarns and cotton bales. The company is in the process of acquiring 100 per cent equity in Falcon Yarns Private Limited.
Its cotton bales are used both for captive production of cotton yarn and for supply to other spinning units. The cotton yarn produced is used in knitting and weaving applications, catering to a wide range of end-use segments such as denim, terry towels, shirting, sheeting, sweaters, socks, bottom wear, home textiles, and industrial fabrics.
(Disclaimer: The above article is meant for informational purposes only and should not be considered as any investment advice. ET NOW DIGITAL suggests its readers/audience to consult their financial advisors before making any money-related decisions.)
