HVAX Technologies Lists at Premium on NSE SME

HVAX Technologies Limited listed its equity on the stock market today, marking healthy interest from investors in the IPO (initial public offering), following the listing of shares at a premium on the NSE SME platform. HVAX Technologies’ shares quoted at ₹486, which came at a 6.11% premium over the issue price of ₹458. The listing worked out to be a profit of ₹8,400 per lot in the hands of the investors, with the lot size fixed at 300 shares.

The IPO aims to raise ₹33.53 crore through the issuance of 7.32 lakh shares and has opened for subscription on September 27 to October 1, 2024. The issue saw a good response as its subscription status indicated that it was oversubscribed 34.16 times in aggregate. Also, the retail category saw subscription in the order of 26.69 times, QIB at 14.02 times, and NII accounted for 77.92 times subscription.

Before listing, the market participants in the grey market were positive for HVAX Technologies and the Grey Market Premium reached to ₹25, thereby listing price expectations settled at ₹483 and this was sufficiently close to the actual listing price.

A company involved in engineering, procurement, and execution of controlled environment infrastructure, such as cleanrooms, has shown substantial growth; revenue is up by 12% accompanied by a profit after tax of 80% compared with last year’s fiscal year ending March 31, 2024. Proceeds from the offering will be used to meet working capital requirement and for general corporate purposes, indicating expansion of operations in the market and strengthening of market position in the specific business.

The listing of HVAX Technologies marks not only a significant entry into the public market but also reflects the enthusiasm of investors in innovative companies in the SME sector. Positive market reception may motivate more SMEs to consider IPOs as an alternative route for growth and capital enhancement.

Even though the dynamics of the market are unpredictable and may very well unfold differently than anticipated, the auspicious beginning that HVAX Technologies had going into stock exchange trading is great for its trading in the future. Investors and observers of the market will want to track how HVAX Technologies will navigate through its IPO afterlife, with investor sentiment optimistic at the onset and the company itself positioned tactically in a niche market.