Bumper Listing: KRN Heat Exchanger Stock Debuts With 118% Premium Over IPO Price

KRN Heat Exchanger shares made a strong stock market debut in October 3 trade, listing at Rs 480 per share on the NSE, at a premium of 118.18 per cent over the IPO price. The Rs 342-crore KRN Heat Exchanger IPO was available for public subscription in the price range of Rs 209-220 per share.

Considering the upper price band of Rs 220, the stock was expected to fetch multibagger gains to investors of over 107 per cent.

However, it is important to note that grey market premiums are just an indicator as to how the company’s shares are stacked up in the unlisted market and are subject to change rapidly.

The initial public offer (IPO) of KRN Heat Exchanger IPO received robust response from investors with an overall subscription of over 200 times at close.

Should You Buy, Sell Or Hold?

Shivani Nyati, Head of Wealth, Swastika Investmart Ltd., “Leading participant in the heat exchanger market, KRN Heat Exchangers and Refrigeration Limited, saw a spectacular offering with a 118% increase on its issue price of 220 and became listed at 481. The IPO received a strong subscription of 213.41 times. The company’s expertise in fin and tube-type heat exchangers for HVAC&R applications, coupled with international quality standards, positions it well for growth. KRN Heat Exchangers benefit from quick turnaround times and strong relationships with leading clients. The company’s consistent growth in both revenue and profitability further reinforces its appeal. Even though the IPO’s valuation seems reasonable, it is difficult to draw direct comparisons because no peers have been listed. Nonetheless, investors may book a portion of the profit and keep the remaining amount because of KRN Heat Exchangers’ excellent fundamentals and market demand.”