DEE Piping Systems IPO Receives Over 101 Times Subscription, Check GMP Today

DEE Piping Systems IPO/ DEE Development Engineers IPO: The initial public offering (IPO) of piping solutions provider DEE Development Engineers Ltd is going to be closed today, June 21. The Rs 418-crore IPO, which was opened for public subscription on June 19, has received a whopping response from investors. Till 3:59 pm on the final day of bidding on Friday, the IPO received 101.20 times subscription, garnering bids for 1,45,52,55,000 shares as against 1,43,79,814 on offer.

The quota for non-institutional investors got subscribed a whopping 147.18 times, while the category for retail investors fetched 20.99 times subscription. The qualified institutional buyers (QIBs) portion received 206.54 times subscription.

DEE Piping Systems IPO: Allotment and Listing Dates

The DEE Piping Systems IPO allotment will likely be finalised on June 24, while its listing will take place on both BSE and NSE on June 26.

DEE Piping Systems IPO: Price and Lot Size

The price band of the DEE Piping Systems IPO was fixed at Rs 193 to Rs 203 per share.

Investors need to apply for a minimum of 73 equity shares and in multiples thereof. Hence, the minimum investment by retail investors would be Rs 14,819 (73 (lot size) x Rs 203 (upper price band)).

DEE Piping Systems IPO GMP Today

According to market observers, unlisted shares of DEE Development Engineers Ltd are trading Rs 95 higher in the grey market as compared with its issue price. The Rs 95 grey market premium or GMP means the grey market is expecting a 46.8 per cent listing gain from the public issue. The GMP is based on market sentiments and keeps changing.

‘Grey market premium’ indicates investors’ readiness to pay more than the issue price.

DEE Piping Systems IPO: More Details

The Initial Public Offer (IPO) has a fresh issue of up to Rs 325 crore and an offer for sale of up to 45,82,000 equity shares. The price range for the offer is fixed at Rs 193-203 per share.

Dee Development Engineers Ltd on Tuesday said it has mobilised a little over Rs 125 crore from anchor investors.

Of the Rs 325 crore fresh issue proceeds, Rs 175 crore will be used for payment of debt, Rs 75 crore for funding working capital requirements, and the remaining Rs 75 crore will be used for general corporate purposes.

Dee Developments is an engineering company, providing specialised process piping solutions for industries like oil and gas, power (including nuclear), chemicals and other process industries through engineering, procurement and manufacturing.

Currently, the company has seven manufacturing facilities, with three at Palwal in Haryana, one each at Anjar in Gujarat, Barmer in Rajasthan, Numaligarh in Assam and Bangkok in Thailand.

The company’s customers include JGC Corporation, Nooter Eriksen, MAN Energy Solutions SE, Mitsubishi Heavy Industries, John Cockerill SA, Reliance Industries, HPCLMittal Energy Ltd and Toshiba JSW Power Systems.

SBI Capital Markets and Equirus Capital are managers to the offer.

Shares of the engineering company will be listed on the BSE and NSE.