Tue Sep 24 20:07:01 UTC 2024: ## KRN Heat Exchanger IPO to Launch on September 25th, Offering 1.55 Crore Shares

**Neemrana, Rajasthan – September 24, 2024:** KRN Heat Exchanger and Refrigeration Limited, a leading manufacturer of tube-type heat exchangers, is set to launch its Initial Public Offering (IPO) on September 25th, 2024. The IPO will be a book-built process with a total offer size of Rs 341.95 crores, solely through the issuance of 1.55 crore shares.

The IPO price band has been set at Rs 209 to Rs 220 per share. Retail investors will need a minimum investment of Rs 14,300 for 65 shares, while small Non-Institutional Investors (sNII) require a minimum of Rs 2,00,200 for 910 shares, and big Non-Institutional Investors (bNII) need to invest Rs 10,01,000 for 4,550 shares. The IPO closes on September 27th, 2024, with allotment of shares expected on September 30th. The shares will be listed on both the Bombay Stock Exchange (BSE) and the National Stock Exchange (NSE) on October 3rd, 2024.

The company’s expertise lies in producing copper and aluminum fins, along with heat exchangers, water coils, condenser coils, and evaporator coils. KRN Heat Exchanger has established collaborations with major clients, including Daikin Air Conditioning India Pvt Ltd, Schneider Electric IT Business India Pvt Ltd, Kirloskar Chillers Private Ltd, and Blue Star Ltd. The company also enjoys a strong export market presence, with products reaching the UAE, USA, Italy, Saudi Arabia, and several European countries.

The IPO proceeds will be utilized for establishing a new manufacturing facility for KRN HVAC Products Pvt Ltd, a wholly-owned subsidiary, and general corporate purposes.

**Grey Market Premium (GMP) and Potential Listing Gains:**

The current Grey Market Premium (GMP) for the KRN Heat Exchanger IPO is Rs 240, indicating a potential listing price of Rs 443 (calculated by adding the cap price of Rs 220 and the GMP). This translates to an anticipated percentage increase of 101.36% per share. However, it’s important to note that the GMP is speculative and doesn’t guarantee actual listing gains.

**Risks Associated with the IPO:**

The company’s Red Herring Prospectus (RHP) has outlined several risks, including dependence on top ten customers, lack of long-term contracts, and reliance on a limited number of suppliers. Further, the company’s operations and financial standing could be negatively impacted by regulatory approvals, delayed payments from customers, and potential market volatility.

**Investors are advised to carefully consider these risks and perform their own due diligence before making any investment decisions.**

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