SEDEMAC Mechatronics IPO: Issue receives tepid response on Day 01, subscribed 0.27 times

SEDEMAC Mechatronics IPO in focus: The initial public offering (IPO) of SEDEMAC Mechatronics, an auto ancillary company, which opened for subscription today, March 04, received a modest response from investors. By the end of the day, the issue was subscribed to just 0.27 times, with 15.01 lakh shares bid for against the 56.32 lakh shares on offer, according to exchange data. The retail portion was subscribed 0.03 times, while Non-Institutional Investors (NIIs) subscribed just 0.01 times, and the Qualified Institutional Buyers (QIBs) portion was subscribed 0.87 times. The employee segment showed relatively better interest, as their portion was subscribed 0.59 times. SEDEMAC Mechatronics IPO details SEDEMAC Mechatronics aims to raise ₹1,087.45 crore through this IPO, which is entirely an offer for sale (OFS) of 0.80 crore shares, with shares offered in the price band of ₹1,287– ₹1,352 per share. Under the OFS, A91 Emerging Fund II LLP, NRJN Family Trust, Mumbai-based Xponentia Capital Partners, Mace Pvt Ltd, 360 One Group, and HDFC Life Insurance Company are among the investors who will offload their stakes in the company. The issue allocation includes 50 per cent for Qualified Institutional Buyers (QIBs), 35 per cent for retail investors, and 15 per cent for Non-Institutional Investors (NIIs). The minimum lot size for retail investors has been set at one lot, consisting of 11 shares, requiring a minimum investment of ₹14,872. Investors can apply for a maximum of 13 lots, which requires capital of ₹1,93,336. The allotment of the issue is likely to be finalised on March 06, and the shares are scheduled to be listed on both the BSE and NSE, with a tentative listing date of Monday, March 11. About SEDEMAC Mechatronics SEDEMAC Mechatronics is a supplier of control-intensive, critical-to-application electronic control units to leading original equipment manufacturers (OEMs) in the mobility and industrial markets in India, the United States, and Europe. The majority of its revenue from operations is attributed to products that incorporate novel control technologies conceived and developed entirely in-house, enabling it to offer proprietary solutions that provide distinct value to end-users and OEM customers. The company’s customers include TVS Motor Company, Bajaj Auto, Kirloskar Oil Engines, Briggs & Stratton LLC, and DEIF India. Disclaimer: We advise investors to check with certified experts before making any investment decisions.