Gala Precision IPO Fully Subscribed in Minutes

New Delhi, Sep 2 (PTI) The initial public offer of Gala Precision Engineering got fully subscribed within minutes of opening for bidding on Monday.

The initial share sale received bids for 47,77,444 shares against 22,23,830 shares on offer, reflecting 2.15 times subscription, as per NSE data till 11:21 hours.

The portion for Retail Individual Investors (RIIs) garnered 3.15 times subscription while the quota for non institutional investors got subscribed 2.54 times.

The initial share sale will conclude on September 4.

Gala Precision Engineering Ltd has fixed a price band of Rs 503-529 per share for its Rs 168-crore initial public offering (IPO).

The IPO is a combination of a fresh issue of 25.58 lakh equity shares worth Rs 135.34 crore and an offer for sale (OFS) of 6.16 lakh equity shares valued at Rs 32.58 crore by promoter group entities and individual shareholders. This aggregates the transaction size to Rs 168 crore at the upper end of the price band of Rs 529.

Proceeds from the fresh issue will be used for setting up a new facility at Vallam-Vadagal, SIPCOT, Sriperumbudur in Tamil Nadu for manufacturing high tensile fasteners and hex bolts; purchase of equipment, plant and machinery at Wada, Palghar in Maharashtra; payment of debt and general corporate purposes.

Gala Precision Engineering is a precision component manufacturer of technical springs like disc & strip springs (DSS); coil & spiral springs (CSS) and Special Fastening Solution (SFS).

The company supplies its products to original equipment manufacturers (OEMs), Tier 1 and channel partners; used in sectors like renewable energy, including wind turbine and hydropower plants, various industrial sectors such as electrical, off-highway equipment, infrastructure and general engineering, mobility segments such as automotive and railways.

PL Capital Markets Pvt Ltd is the sole book-running lead manager to the issue. The equity shares are proposed to be listed on BSE and NSE.