Merritronix IPO Sees 315-Fold Increase in Bookings on Day Three, Suggests Strong Listing Gains of 52%

Merritronix IPO Closes with Solid Response from Investors

The initial public offering (IPO) of Merritronix, which opened for subscription on June 1, closed on June 3 with a strong response from investors. The SME IPO had seen a steady demand throughout the book-building process, despite a grey market premium (GMP) that fluctuated over the period.

IPO Details

Merritronix's ₹70.03-crore SME IPO is an entirely fresh issue of 0.47 crore shares. The company had set a price band of ₹141-149 per equity share with a face value of ₹10 each. Investors were allowed to bid for a minimum of 1,000 shares and in multiples thereof. The proceeds from the IPO will be used for business expansion and general corporate purposes.

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Pre-IPO Developments

Ahead of the IPO launch, Merritronix raised ₹19.91 crore from anchor investors through the allotment of 13.36 lakh equity shares. The allotment of Merritronix IPO will be finalised on June 4, with the listing likely next week on June 8 on BSE SME.

Grey Market Premium

The grey market premium (GMP) for Merritronix IPO stood at ₹78 on the final day. Based on the upper end of the price band at ₹149, the estimated listing price works out to ₹227 per share, indicating a potential premium of about 52.35%. The GMP had hit a high of ₹93 and a low of ₹45, indicating a strong investor interest in the company.

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IPO Subscription Status

Merritronix IPO was subscribed 314.91 times so far on the final day of bidding. The retail investor portion was subscribed 296.80 times, while the non-institutional investor (NII) category was booked 476.52 times. The qualified institutional buyer (QIB) segment received 224.91 times bids. According to data available at 4:50 pm, investors had bid for 98,50,32,000 shares against the 31,28,000 shares on offer.

Company Overview

Merritronix operates in the Electronics Systems Design and Manufacturing (ESDM) sector and manufactures high-reliability, mission-critical electronic assemblies for industries such as defence, aerospace, telecommunications, and industrial electronics. The company follows a business-to-business (B2B) model and offers end-to-end electronic manufacturing services, including component sourcing, printed circuit board (PCB) assembly, system integration, testing, box-build assembly, and delivery of fully integrated electronic products.

Issue Details