JNK India IPO opens for subscription. Should you bid?
IPO) of JNK India will open for subscription today and will close on April 25. The company plans to raise around Rs 650 crore through the issue.
The IPO comprises fresh equity of up to Rs 300 crore and an offer for sale (OFS) of up to Rs 84.2 lakh worth shares. Under the OFS, Goutam Rampelli, Dipak Kacharulal, JNK Heaters, Mascot Capital and Marketing, and Milind Doshi will offload shares.
About 50% of the offer is reserved for qualified institutional buyers, 35% for retail investors and the rest 15% for non-institutional investors.
The net proceeds from the issue will be used towards working capital requirements and other general corporate purposes.
JNK India IPO review
Analysts advised investors to subscribe to the issue for long term but not expect any listing gains as the IPO was priced on the aggressive side.
«JNK India has an established track record with a diverse customer base with well-positioned to capture industry tailwinds through their demonstrated capabilities over time and diversifying product portfolio to cater to varied industries along with demonstrated financial performance with a robust order book, reflecting revenue visibility for last three fiscals,» said Anand Rathi with a subscribe tag.
At the upper price band, the company is valued at P/E of 49.38x, EV/EBITDA 33.13x with a market cap of Rs 2,308 crore post issue.
JNK India IPO price band
The heating equipment company has fixed a price band of Rs 395-415 per share for its maiden public offer. Investors can bid for a minimum of 36
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