InvestorQ : Can you give me your quick view on MTAR Technologies IPO that is opening for subscription on 03 March?
diksha shah made post

Can you give me your quick view on MTAR Technologies IPO that is opening for subscription on 03 March?

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ishika Banerjee answered.
3 months ago
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Just a day ahead of its IPO opening, the Hyderabad based MTAR Technologies has managed to raise a sum of Rs.180 crores from a total of 15 anchor investors. The demand for the anchor placement was extremely robust with nearly 35 domestic and foreign institutions putting in bids to the tune of Rs.3500 crore, or nearly 20 times the proposed anchor placement portion.

MTAR Technologies is a Hyderabad based precision technology products and solutions company which predominantly caters to very high-end defence and space research outfits. For example, the company counts some marquee names like DRDO of Bengaluru, ISRO of Bengaluru and the Nuclear Power Corporation among its prominent clients. The company typically works in the highly critical research support areas.

For the anchor investors, MTAR allocated 31.11 lakh shares at a price of Rs.575 per share, which is the also the upper end of the proposed IPO price band for the issue that opens for subscription on 03 March. That gives you an approximate idea of the likely demand for the IPO and the likely price at which the book is likely to be discovered.

There was strong demand from institutions with domestic funds SBI MF and Axis MF picking up the biggest chunks of 13.67% each. It may be recollected that both SBI MF and Axis MF had also invested in the pre-IPO a few months back. Other investors in the anchor placement program included Nomura Funds, White Oak Capital, Goldman Sachs Asset Management, ICICI Pru MF, HDFC MF, Birla MF, Nippon India and Sundaram Invesco.

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