Wed Jan 08 05:51:41 UTC 2025: ## Quadrant Future Tek’s IPO Oversubscribed on Day 2

**Mumbai, January 9, 2025** – The initial public offering (IPO) of Quadrant Future Tek Ltd., a company specializing in advanced train control and signaling systems, continued its strong performance on the second day of its share sale. According to BSE data, the IPO was oversubscribed by a significant margin, reaching a subscription rate exceeding 25 times by midday. Retail Individual Investors (RIIs) showed particularly strong interest, with their portion oversubscribed by over 80 times. While the Qualified Institutional Buyers (QIBs) portion saw a lower subscription rate (around 6%), non-institutional investors also significantly oversubscribed the offering.

The ₹290 crore IPO, which opened on Tuesday, January 7th, and closes on Thursday, January 9th, comprises entirely of a fresh issue. The funds raised will be used for long-term working capital, capital expenditure on electronic interlocking systems, debt repayment, and general corporate purposes.

Quadrant Future Tek is a key player in the Indian Railways’ KAVACH project, developing cutting-edge train safety technology. The company also manufactures specialized cables used in railway rolling stock and the defense sector, employing advanced Electron Beam (E-beam) technology to enhance their durability and safety. The company’s revenue from non-promoter group clients has significantly increased in recent years, demonstrating diversification and reduced reliance on promoter-related business.

The IPO’s strong performance reflects investor confidence in Quadrant Future Tek’s innovative technology, robust financials (including a 24% EBITDA margin, 21% ROCE, and 33% ROE), and the substantial market opportunity presented by the KAVACH project’s expansion. The grey market premium (GMP) also indicates a high level of anticipated post-listing value. However, potential investors are advised to conduct their own due diligence and seek professional financial advice before investing.

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