The Diffusion Engineers Limited IPO is making headlines as it finalizes its allotment following an overwhelming subscription rate. The IPO opened on September 26 and closed on September 30, aiming to raise ₹158 crore through the sale of 9.4 million fresh shares. This article delves into the essential details surrounding the IPO, including its timeline, financials, objectives, and current subscription status.
Main Points
- 1 About Diffusion Engineers Limited
- 2 Diffusion Engineers IPO Details
- 3 Diffusion Engineers IPO Financial Overview
- 4 IPO Objectives
- 5 Diffusion Engineers IPO Subscription Status
- 6 Timeline of Key Events
- 7 Investment Insights
- 8 How to Apply for the Diffusion Engineers IPO
- 9 Applying for the Diffusion Engineers IPO is straightforward if you follow these steps:
- 10 Important Considerations
- 11 How to Check Allotment Status
- 12 Via Bigshare Services
- 13 Via BSE Website
- 14 Alternatively, you can also check your allotment status on the BSE website:
- 15 FAQs About Diffusion Engineers IPO
About Diffusion Engineers Limited
Founded in 1982, Diffusion Engineers Limited has evolved from a private limited company to a public limited entity in 1995. The company specializes in manufacturing welding consumables, wear plates, and heavy machinery for core industries. With a focus on innovation and market leadership, it has achieved a turnover exceeding ₹2000 million in 2023. The company is recognized for its commitment to quality and employee welfare, holding several accolades such as the Best Employer Brands and Great Place to Work certifications.
Diffusion Engineers IPO Details
The Diffusion Engineers IPO is structured as a mainboard offering with the following key details:
- Open Date: September 26, 2024
- Close Date: September 30, 2024
- Issue Price: ₹159 – ₹168 per equity share
- Lot Size: 88 shares
- Minimum Investment: ₹14,784
- Total Shares Offered: 9,405,000
- Issue Size: ₹158 crore
- Listing Date: October 4, 2024
- Registrar: Bigshare Services Pvt Ltd
- Lead Manager: Unistone Capital Pvt Ltd.
Diffusion Engineers IPO Financial Overview
Diffusion Engineers has shown robust financial growth over the past few years:
| Financial Year | Assets (₹ Cr) | Revenue (₹ Cr) | Profit After Tax (₹ Cr) |
|---|---|---|---|
| March 31, 2022 | 189.55 | 208.75 | 17.05 |
| March 31, 2023 | 230.34 | 258.67 | 22.15 |
| March 31, 2024 | 275.59 | 285.56 | 285.56 |
The significant increase in profit after tax for FY2024 indicates strong operational performance and effective cost management strategies.
IPO Objectives
The primary objectives of the Diffusion Engineers IPO include:
- Raising funds for business expansion.
- Enhancing brand visibility and credibility in the market.
- Strengthening the balance sheet by reducing debt.
These objectives are aimed at positioning the company for future growth and sustainability in a competitive market.
Diffusion Engineers IPO Subscription Status
As of October 1, the Diffusion Engineers IPO has been met with remarkable enthusiasm from investors:
- The total subscription rate reached approximately 115 times.
- Retail investors subscribed their portion by 85.61 times, while non-institutional investors showed even greater interest at 207.60 times.
- Qualified institutional buyers (QIBs) subscribed at a rate of 51%.
This high demand reflects investor confidence in the company’s potential and growth trajectory.
Timeline of Key Events
The tentative timeline for the Diffusion Engineers IPO is as follows:
| Event | Date |
|---|---|
| IPO Open Date | September 26, 2024 |
| IPO Close Date | September 30, 2024 |
| Basis of Allotment | October 1, 2024 |
| Credit of Shares | October 3, 2024 |
| Listing Date | October 4, 2024 |
Investors can check their allotment status on the registrar’s website after the basis of allotment is finalized.
Investment Insights
Investors are advised to consider the fundamentals of Diffusion Engineers before participating in the IPO. The company’s experience in manufacturing and its established presence in core industries are promising indicators for future performance. The expected returns from this IPO are estimated at around 39%, which further enhances its attractiveness to potential investors.
How to Apply for the Diffusion Engineers IPO
Applying for the Diffusion Engineers IPO is straightforward if you follow these steps:
- Open a Demat and Trading Account: If you don’t already have one, you need to open a Demat and trading account with a registered broker like Alice Blue or any other platform that supports IPO applications.
- Log into Your Account: Access your trading account through the broker’s website or mobile app.
- Navigate to the IPO Section: Look for the IPO section on your broker’s platform.
- Select Diffusion Engineers IPO: Find the Diffusion Engineers Limited IPO in the list of available offerings.
- Place Your Bid: Enter the number of shares you wish to purchase within the specified price band.
- Submit Your Application: Confirm your details and submit your application.
Important Considerations
- Ensure that you have sufficient funds in your account to cover the minimum investment requirement.
- Keep track of important dates related to allotment and refunds to manage your investments effectively.
How to Check Allotment Status
Once you have applied for the IPO, checking your allotment status is crucial. Here’s how you can do it:
- Visit Bigshare Services Website: Go to the official website of Bigshare Services India.
- Select IPO Allotment Status: Click on the IPO allotment status option available on their homepage.
- Choose Diffusion Engineers Limited: From the dropdown menu, select ‘Diffusion Engineers Limited’.
- Enter Required Details: You can check your status using either your Application Number, Beneficiary ID (Demat Account Number), or PAN Number.
- Complete Captcha Verification: Fill out the captcha for security verification.
- Click Search: Hit the search button to view your allotment status.
Via BSE Website
Alternatively, you can also check your allotment status on the BSE website:
- Go to the BSE India website.
- Select ‘Equity’ as the issue type.
- Choose ‘Diffusion Engineers Limited’ from the dropdown menu.
- Enter your Application Number or PAN.
- Complete captcha verification.
- Click ‘Search’ to see your allotment status.
The Diffusion Engineers IPO has captured significant investor interest due to its robust business model and growth potential in manufacturing essential industrial products. With an impressive subscription rate and clear procedures for application and allotment checks, investors are optimistic about their prospects in this offering.
FAQs About Diffusion Engineers IPO
- What is the price band for the IPO?
- The price band is set between ₹159 and ₹168 per equity share.
- How many shares can retail investors apply for?
- Retail investors can apply for a minimum of one lot consisting of 88 shares.
- When will shares be credited to Demat accounts?
- Shares will be credited on October 3, following the allotment process.
- Where will the shares be listed?
- The shares will be listed on both BSE and NSE on October 4.
- How can I check my allotment status?
- Allotment status can be checked on Bigshare Services’ website by entering relevant details such as application number or PAN.
