Mamata Machinery share price makes a stellar debut, opens with 147% premium at ₹600 on NSE, BSE

Mamata Machinery share price made a bumper debut on the bourses today. On NSE, and BSE, Mamata Machinery share price today opened at ₹600 apiece, up 146.91% than the issue price of of ₹243. After an impressive debut, the stock hit a 5% upper circuit limit on the exchanges.

The initial public offering of Mamata Machinery Ltd, a manufacturer of packaging machinery, attracted an impressive subscription rate of 194.95 times on the last day of the share sale on Monday. The section for Non-Institutional Investors saw an incredible subscription rate of 274.38 times, while the allocation for Qualified Institutional Buyers (QIBs) was subscribed at 235.88 times. The portion designated for Retail Individual Investors (RIIs) achieved a subscription rate of 138.08 times.

This ₹179-crore IPO features a price range between ₹230 and ₹243 per share. On Wednesday, Mamata Machinery Ltd announced that it has secured over ₹53 crore from its anchor investors. Mamata Machinery offers complete manufacturing solutions for the packaging sector. The company markets its machines under the brand names 'Vega' and 'Win' and provides a wide array of products that caters to the entire flexible packaging market value chain.

As per the red herring prospectus (RHP), the company's listed peers are Rajoo Engineers Ltd (with a P/E of 57.16), Windsor Machines Ltd, and Kabra Extrusion Technik Ltd (with a P/E of 30.64).

In the fiscal year 2024, the company announced revenue of ₹236.61 crore, an increase from ₹200.87 crore in the prior fiscal year. The net profit for this period grew to ₹36.13 crore, compared to ₹22.51 crore in the previous year.

Mamata Machinery IPO details

The IPO consists entirely of an offer for sale (OFS) that includes a maximum of 7.38 million shares from promoters and current shareholders. If priced at the highest band, the total value of the issue will reach ₹179.39 crore.

The promoters of the company include Mahendra Patel, Chandrakant Patel, Nayana Patel, Bhagvati Patel, as well as Mamata Group Corporate Services

Beeline Capital Advisors Pvt Ltd serves as the book running lead manager for the Mamata Machinery IPO, whereas Link Intime India Private Ltd acts as the registrar for this issue.

Mamata Machinery IPO GMP today

Mamata Machinery IPO grey market premium is +260. This indicates Mamata Machinery share price were trading at a premium of ₹260 in the grey market, according to investorgain.com.

Considering the upper end of the IPO price band and the current premium in the grey market, the estimated listing price of Mamata Machinery share price was indicated at ₹503 apiece, which is 107% higher than the IPO price of ₹243.

Based on the grey market activities observed over the past 15 sessions, the IPO GMP shows an upward trend today, indicating a robust listing. The minimum GMP recorded is ₹75, while the maximum is ₹260, as per experts from investorgain.com.

'Grey market premium' indicates investors' readiness to pay more than the issue price.

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