Aequs IPO grey market premium at 34% as subscription opens Wednesday

Aequs IPO Opens for Public Subscription Today

Aequs shares are trading at a grey market premium of around 34% ahead of the company's initial public offering opening for public subscription on Wednesday.

About Aequs

Aequs is a contract manufacturing firm operating in consumer durables, plastics, and aerospace components. The company has fixed a price band of Rs 118–124 per share for its Rs 922-crore IPO.

Key Highlights

• The issue will open on December 3 and close on December 5.
• Allocation to anchor investors is scheduled for December 2.
• The company's valuation stands at more than Rs 8,300 crore at the upper end of the band.
• Aequs is backed by investors including Amicus Capital, Amansa Capital, Steadview Capital, Catamaran, and Sparta Group.
• The company operates manufacturing facilities in India, France, and the United States.
• Aequs will list its shares on December 12.

Grey Market Premium

Grey market trackers showed the shares commanding a premium of roughly 34–35 percent in the unofficial market. Investorgain pegged the GMP at Rs 42.5, indicating a potential listing gain of 34.27 percent, while IPO Watch indicated a premium of 34.67 percent.

Use of Proceeds

The proceeds from the fresh issue will be used to repay debt at the company and its subsidiaries, purchase machinery and equipment, and for potential acquisitions, strategic initiatives, and general corporate purposes.

About the Company

Aequs began as an aerospace-focused manufacturer and has expanded into consumer electronics, plastics, and durable goods. Its product portfolio includes cookware, small home appliances, outdoor toys, figurines, toy vehicles, and components for electronics such as portable computers and smart devices.

Key Clients and Customers

• Aequs' aerospace segment clients include Airbus, Boeing, Bombardier, and Collins Aerospace.
• The company's consumer products customers include Hasbro, Spinmaster, Wonderchef, and Tramontina.

Founding and Expansion

Aequs was founded by Aravind Melligeri, who earlier co-founded Quest Global Engineering.

The company operates manufacturing facilities in clusters in Belagavi, Hubballi, and Koppal in Karnataka.