Thu Sep 26 08:15:26 UTC 2024: ## KRN Heat Exchanger IPO Over-Subscribed on Day 2: Strong Demand for HVAC Company
**Neemrana, Rajasthan, September 26, 2024** – KRN Heat Exchanger and Refrigeration Ltd, a leading manufacturer of heat exchangers for the HVAC and refrigeration industry, is witnessing strong investor interest in its initial public offering (IPO).
The IPO, which opened for public subscription on September 25th, has already been oversubscribed 35.44 times as of Thursday morning. The price band for the IPO has been set at Rs 209 to Rs 220 per share, with a total issue size of Rs 341.95 crore.
Non-institutional investors showed overwhelming support, subscribing 76.62 times their allocated portion, while retail individual investors (RIIs) have subscribed 36.73 times. The Qualified Institutional Buyers (QIB) category has also received a positive response, subscribing 1.51 times.
The strong demand reflects investor confidence in the company’s growth potential, driven by the rapidly expanding HVAC market in India. Analysts believe the company is well-positioned to benefit from the rising urbanization, increasing disposable incomes, and the growing demand for energy-efficient solutions.
“The Indian HVAC industry is expected to expand from $10.4 billion in FY24 to $20.6 billion in FY29,” stated SMIFS in their IPO note, recommending a “subscribe” rating for the issue.
KRN Heat Exchanger’s IPO will close on September 27th, with the share allotment expected on September 30th. The company’s shares will be listed on both BSE and NSE on October 3rd.
The company, which raised Rs 100 crore from anchor investors, plans to utilize the IPO proceeds for setting up a new manufacturing facility in Neemrana, Alwar, Rajasthan and for general corporate purposes.
The strong grey market premium (GMP) of Rs 251 indicates that the market expects a significant listing gain from the public issue.
The IPO is being managed by Holani Consultants.
First Piper 