Thu Dec 26 18:11:39 UTC 2024: ## Unimech Aerospace IPO Oversubscribed 132 Times, Commands High Grey Market Premium

**MUMBAI, INDIA (December 26, 2024)** – The initial public offering (IPO) of Unimech Aerospace, a specialized manufacturer of aero tools and precision components, has been massively oversubscribed, closing today with a subscription rate of 132.26 times. Strong demand was seen across all investor categories: retail (48.62 times), qualified institutional buyers (QIBs) (210.46 times), and non-institutional investors (NIIs) (224.07 times).

The IPO, aiming to raise ₹500 crore (approximately $60 million USD), consists of a fresh issue of ₹250 crore and an offer for sale (OFS) of the same amount. It is priced at a price-to-earnings (P/E) ratio of 51.6x based on annualized FY25 earnings, deemed attractively valued by analysts. Eighteen brokerages have issued positive ratings, many recommending subscription.

Unimech Aerospace’s strong performance, with revenue doubling to ₹209 crore and profit exceeding 100% to ₹58 crore in FY24, fueled investor enthusiasm. The company’s focus on the growing aerospace market, particularly the aircraft maintenance, repair, and overhaul (MRO) sector, and its planned expansion through acquisitions (including a recent 30% stake acquisition in Dheya Engg) and exploration of US opportunities, further contributed to the high demand.

The grey market premium (GMP) currently stands at ₹630, suggesting an estimated listing price of ₹1,415 – an 80.25% increase over the upper IPO price band of ₹785.

Share allotment is expected on December 27, 2024, with listing on the Bombay Stock Exchange (BSE) and the National Stock Exchange (NSE) scheduled for December 31, 2024.

*(Disclaimer: This news report presents factual information from public sources. Investment decisions should be made after consulting with a qualified financial advisor.)*

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