Autofurnish Makes Strong Debut, Listing at ₹43 on BSE SME, 5% Above IPO Price

Autofurnish Makes Strong Debut in Indian Stock Market

Autofurnish, a company operating in the automotive accessories space, made a strong debut in the Indian stock market on 29 May. The company's share price was listed on the BSE SME at ₹43 apiece, a premium of 4.8% from its issue price of ₹41.

The IPO outperformed street expectations, as seen from the grey market premium (GMP). The GMP for the IPO stood at ₹0 per share, indicating a likely listing price of ₹41, which is the same as the IPO price. This indicates a successful listing for the company.

Autofurnish IPO Subscription Status

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The Autofurnish IPO witnessed decent subscription in the 3 days of bidding. The SME IPO was subscribed 1.21x by the end of Day 3. The retail portion was subscribed 1.17x, and the NII portion was also booked 1.17x. The company received bids for 40.80 lakh shares against 33.81 shares on offer.

Autofurnish IPO Details

The SME IPO opened on 21 May and closed on 25 May, with allotments finalized on 26 May. Autofurnish Enterprise aimed to raise ₹15 crore through its SME IPO, which consists entirely of a fresh issue of 36 lakh equity shares. The public offer does not include any offer-for-sale (OFS) component.

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The company plans to deploy the IPO proceeds mainly towards funding its working capital requirements. A portion of the funds will also be used for general corporate purposes. For retail investors, the minimum bid size had been fixed at one lot comprising 3,000 shares. However, retail applicants had to apply for a minimum of two lots, or 6,000 shares, translating into an investment of approximately ₹2.46 lakh.

Key Partners and Advisors

Novus Capital Advisors acted as the book-running lead manager to the issue, while Skyline Financial Services was appointed as the registrar. NDA Securities will serve as the market maker for the offering.

Established in 2015, Autofurnish Enterprise operates in the automotive accessories space, with a primary focus on the business-to-business (B2B) segment through its manufacturing and trading activities. The company offers a range of products including car body covers, floor mats, and other automotive utility accessories under its flagship brands, "Autofurnish" and "Mototrance".

In addition to its B2B business, the company has expanded its presence in the business-to-consumer (B2C) segment through digital and online sales channels. Its subsidiary, Golden Mace, markets products directly to customers through e-commerce platforms such as Amazon, Flipkart, and Zepto, besides selling through the company's own website.