Fri Dec 20 08:58:10 UTC 2024: ## Mamata Machinery IPO Oversubscribed on Day 2
**Mumbai, India** – The initial public offering (IPO) of Mamata Machinery Ltd., a manufacturer of packaging machinery, continued its strong performance on the second day of bidding, closing significantly oversubscribed. The IPO, which opened on December 19th and closed on December 23rd, saw a total subscription of 29.45 times the shares offered. This strong demand follows an already impressive first day, where the IPO was oversubscribed by 16.48 times.
The IPO, priced between ₹230 and ₹243 per share, aimed to raise ₹179.39 crore through an offer-for-sale (OFS) of 73.82 lakh equity shares. All proceeds will go to the selling shareholders, not the company itself.
Investor interest was particularly high in the retail and non-institutional investor categories, with subscriptions reaching 36.16 times and 31.12 times, respectively. The Qualified Institutional Buyer (QIB) portion was subscribed 2.81 times.
Mamata Machinery, which counts major food and consumer goods companies among its clients, benefits from the growing global flexible packaging market. Industry analysts project this market to grow to USD 60.8 billion by 2028, driven by increasing demand for packaged food and personal care products. The company’s own export revenue has also shown significant growth, increasing from INR 13.9 billion in FY2019 to INR 23.8 billion in FY2023, representing a 14% compound annual growth rate.
Despite being fully subscribed in minutes on the first day, the grey market premium (GMP) remained high throughout the IPO period, exceeding ₹260 on the second day—a significant premium over the upper price band. This suggests strong investor confidence in the company’s future prospects.
Mamata Machinery’s shares are expected to be listed on the Bombay Stock Exchange (BSE) and the National Stock Exchange of India (NSE) soon. The final allocation is expected on December 24th, with shares credited to investor accounts by December 26th.
First Piper 