IPO 51 Times Subscribed on 2nd Day
Quadrant Future Tek IPO Subscribed 51.82 times on 2nd day of opening, as it open on 7th of Jan with price band ₹275 – ₹290 and premium on 8th of Jan is ₹210 Estimated price ₹500 (72.41%) which is on high demand in retailers application was full 100% in first hour of opening. The minimum lot size for an application is 50. The minimum amount of investment required by retail investors is ₹14,500. The minimum lot size investment for sNII is 14 lots (700 shares), amounting to ₹2,03,000, and for bNII, it is 69 lots (3,450 shares), amounting to ₹10,00,500.
The funds raised from this issuance will be directed towards fulfilling long-term working capital needs. The proceeds from the IPO will also contribute to capital expenditures related to the development of the electronic interlocking system, repayment of debt, and the remainder will be utilized for general corporate purposes.
Quadrant is a research-driven company focused on creating advanced train control and signaling systems as part of the Indian Railways’ KAVACH project, which provides the utmost safety and reliability for rail travelers. Additionally, the company operates a specialized cable manufacturing facility that includes an electron beam irradiation center, producing cables that are utilized in railway rolling stock and the naval defense sector.
The Indian Specialty Cable and Train Control System market is expected to witness significant growth. The company’s position as a leading Original Equipment Manufacturer (OEM) is bolstered by a strategic Memorandum of Understanding (MoU) with RailTel Corporation to supply KAVACH, along with a substantial ₹978.6 crore order secured from Chittaranjan Locomotive Works (CLW). These strong growth drivers make us recommend subscribing to the IPO.
However, with a small issue size of ₹290 crore and a 10% retail quota, the chances of allotment in the retail segment appear limited. In the bNII category, the likelihood of allotment improves with larger application sizes.
Source: NewIPO
