Aeroflex debuted at a premium of 83% on the exchanges on Thursday at Rs 197.40 apiece, as against an issue price of Rs 108.
Just before the IPO, Kacholia bought about 2.03% stake or 23.15 lakh shares in Aeroflex Industries at Rs 87.56 apiece. The market veteran had dished out Rs 20.27 crore for the said stake purchase.
Post the listing, that investment has swelled to over Rs 45 crore. Kacholia did not participate in the offer for sale (OFS) of the issue and still holds a 2.03% stake in the company.
The IPO comprised fresh equity of Rs 160 crore and an OFS of up to 17.5 million equity shares by promoters selling shareholders. Under the OFS, promoter SAT Industries offloaded the 1.75 crore shares.
Another investor Bengal Finance, which picked up 2.03% in the company before the IPO, has also made similar gains to Kacholia post the listing.
The IPO of Aeroflex Industries garnered huge response from investors across categories. The issue was subscribed 97 times overall at close.Aeroflex Industries is a market leader in the field of metallic flexible flow solutions, offering a comprehensive range of products including corrugated stainless steel hoses and interlock flexible metal hoses. It is a subsidiary of Sat Industries which is also a listed company.
For the financial year ending March 2023, the company clocked revenue from operations of Rs 269.4 crore and a profit of Rs 30.1 crore.
It has grown at more than 37% revenue CAGR in the last 3 years, operating at more than 4.85 times asset turnover, over 20% EBITDA margins and generating approximately 32% ROCE.
Aeroflex said proceeds from the issue will be utilised towards prepayment of debt, funding working capital requirements and other general corporate purposes.
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