Elin Electronics Ltd.’s initial public offering (IPO) began on December 20, and it will remain open for bidding until December 22, 2022.The IPO price band for Elin Electronics is fixed at 234–247 per equity share.
The company hopes to raise 475 crore through this public offering which comprises a fresh issue of ₹175 crores and an offer for sale of up to ₹300 crores from promoters.
About Elin Group
The Elin Group’s flagship business, Elin Electronics, was founded in 1969. Leading provider of electronics manufacturing services (“EMS”) is Elin Electronics Limited.
The business is one of the biggest producers of fractional horsepower motors in India and provides end-to-end product solutions for well-known brands of lighting, fans, and small/kitchen appliances.
The Elin Electronics provides a huge variety of goods and offers end-to-end product solutions to customers and partners. Both the original equipment manufacturer (“OEM”) and original design manufacturer (“ODM”) business types are used by the corporation.
Objective of The Issue
The corporation suggests supporting the following items with the net proceeds of the Fresh Issue: payback or prepayment, in full or in part, of a few loans the company took out. Funding capital expenditures towards upgrading and expanding our existing facilities at (i) Ghaziabad, Uttar Pradesh, and (ii) Verna, Goa.
Elin Electronics IPO: Day 1 Subscription Status
On the first day of the offer, which went live on Tuesday, December 20, 2022, 37% of Elin Electronics’ initial public offering (IPO) of electronics manufacturing services was subscribed.
Elin Electronics IPO: Day 2 Subscription Status
The subscription, which expires on Thursday, December 22, 2022, was fully subscribed on the second day. The price range for the public offering is set at Rs. 234 to Rs. 477 per share.
Elin Electronics IPO: Latest GMP
According to BSE data, the issue was subscribed to 1.07 times on day three, with retail categories booking 1.48 times, NIIs booking 1.5 times, and QIBs booking 0.01 times. Market analysts report that Elin Electronics’ shares are currently selling in the grey market at a premium (GMP) of Rs. 22.
On Friday, December 30, 2022, Elin Electronics shares are anticipated to make their market debut on stock exchanges.
Elin Electronics IPO: Long Term Subscriptions
Elin’s sales and PAT are increasing at a strong CAGR of 18 and 19%, respectively (FY20-22), and analysts advise giving this IPO a “Subscribe-Long Term” grade because of the industry outlook and consistent margins.
Elin is a top provider of end-to-end product solutions for well-known brands and a leading provider of electronics manufacturing services (EMS), so one can invest in the IPO for the long term.
Of their top 20 clients, 11 have been their clients for more than ten years, and 16 have been clients for more than five. The company’s one-stop-shop facilities and continually maintaining high standards of creating excellent items in a timely way are responsible for their high client retention capabilities.