Gala Precision Engineering shares listed at ₹750, up 42%: Issue price was ₹529; company manufactures precision items such as discs and strip springs

Gala Precision Engineering Limited’s stock has been listed on the stock market today i.e. on 9 October. It was listed at Rs 750 on the National Stock Exchange (NSE) up 41.8%. At the same time, the company’s stock was listed at Rs 721.10 on the Bombay Stock Exchange (BSE) up 36.3%.

The company had fixed the issue price band of the IPO at Rs 529. Gala Precision Engineering has raised a total of Rs 167.93 crore through this issue. For this, the company had issued 2,558,416 fresh shares worth Rs 135.34 crore.

At the same time, the existing investors of the company were selling 616,000 shares worth ₹ 32.59 crore through Offer for Sale i.e. OFS. This IPO was open for investors from 2 September to 4 September. This IPO was subscribed a total of 201 times in three business days.

35% of the issue was reserved for retail investors The company had reserved 50% of the issue for qualified institutional buyers (QIB). Apart from this, 35% was reserved for retail investors and the remaining 15% was reserved for non-institutional investors (NII).

Gala Precision Engineering was established in February 2009 Gala Precision Engineering Limited was established in February 2009. The company manufactures precision components such as disc and strip springs (DSS), coil and spiral springs (CSS) and special fastening solutions (SFS).

The company’s products are used in electrical, off-highway equipment, infrastructure and general engineering as well as automotive and railway. The company supplies technical springs and high tensile fasteners to several countries including Germany, Denmark, China, Italy, Brazil, the USA, Sweden and Switzerland.

What is IPO? When a company issues its shares to the general public for the first time, it is called Initial Public Offering or IPO. The company needs money to expand its business. In such a situation, instead of taking a loan from the market, the company raises money by selling some shares to the public or by issuing new shares. For this, the company brings IPO.