Gala Precision stock listed at premium, investors earned 42%

The IPO of Gala Precision Engineering, a company manufacturing precision components, has given its investors a good return. In the volatile market, the company’s shares were listed today with a premium of 42 per cent after the IPO was launched last week. That means the investors of this small IPO earned 42 per cent as soon as the shares were listed.

Investors earned this much on each lot

Gala Precision Engineering’s share was listed today at Rs 750 with a premium of Rs 221 or 42 per cent. The company had fixed a price band of Rs 503 to Rs 529 in the IPO, while one lot of it included 28 shares. In this way, investors had to invest at least Rs 14,812 in the IPO. After the listing of the IPO, the value of one lot has now become Rs 21,000, which means investors have made a profit of Rs 6,188 on each lot.

Gala Precision Engineering has customers in many countries

Gala Precision Engineering, a company formed in February 2009, manufactures precision components such as disc and strip springs, coil and spiral springs and special fastening solutions. The company supplies these products to original equipment manufacturers. Apart from India, the company has customers in countries like Germany, Denmark, China, Italy, Brazil, USA, Sweden and Switzerland.

IPO subscribed more than 200 times

Its Rs 167.93 crore IPO opened on September 2 and remained open for subscription till September 4. Fresh shares worth Rs 135.34 crore were issued in the IPO, while shares worth Rs 32.59 crore were put up for sale under the offer for sale. The IPO was subscribed 232.54 times in the QIB category, 414.62 times in the NII category and 91.95 times in the retail category. The issue received 258.95 times subscription in the employee category. Thus the IPO was subscribed 201.41 times overall.

The subscription received by this IPO also created a new record. With a subscription of more than 200 times, its name was included in the list of IPOs with the strongest response. It has become the second highest subscription IPO of this year so far.

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