Now Reading: Behari Lal Engineering sets Rs 271-285 IPO price band
-
01
Behari Lal Engineering sets Rs 271-285 IPO price band
Behari Lal Engineering will open its Rs 302 crore initial public offering for subscription on August 12, with the issue closing on August 14. The price band is Rs 271 to Rs…
The Story in Brief
Behari Lal Engineering will open its Rs 302 crore initial public offering for subscription on August 12, with the issue closing on August 14. The price band is Rs 271 to Rs 285 per share, while anchor investor bidding is scheduled for August 11. The offering includes a fresh issue worth up to Rs 93 crore and an offer for sale of 73.20 lakh shares by existing shareholders.
Half the issue is reserved for qualified institutional buyers, 15% for non-institutional investors and 35% for retail investors. The company plans to use fresh-issue proceeds for capital expenditure, debt repayment or prepayment and general corporate purposes. Its shares are proposed to list on the BSE and NSE on August 19.
The Indian Opinion
The easy IPO narrative is that a full order book guarantees a strong listing. It does not. Behari Lal Engineering has manufacturing capacity and customers across steel, power and heavy engineering, but investors are also buying into a capital-intensive business and an offer that includes shares sold by existing holders. The useful test is not the first-day premium. It is whether new machinery, solar installations and debt reduction improve earnings after listing. Quarterly cash flow will settle that question.
Sources (2): livemint.com, thehindubusinessline.com
This story was synthesised by AI from the 2 sources linked above.
Updated: this story now draws on 2 sources.
