Fabtech Technologies Faces Market Challenges Post-IPO

Fabtech Technologies Ltd, an engineering solutions provider for pharmaceuticals, biotech, and healthcare, experienced a drop in share price following its market debut, closing 4.55% lower. The IPO, which raised Rs 230 crore, aims to support working capital and facilitate acquisitions and corporate activities.

Fabtech Technologies Ltd, which provides engineering solutions for the pharmaceuticals, biotech, and healthcare sectors, made a tentative entrance into the stock market. Despite initially listing on a par with its issue price of Rs 191 on the BSE, the company's shares ended the day 4.55% lower.

On the NSE, the stock began trading higher than the issue price at Rs 192 but ultimately closed down 4.50%, at Rs 182.40 per share. With a market valuation of Rs 810.34 crore, Fabtech's IPO had been subscribed 2.03 times, reflecting a mixed reception in the financial market.

The Rs 230-crore IPO, priced between Rs 181 and Rs 191 per share, was exclusively a fresh issue. Proceeds are earmarked for bolstering the company's working capital, pursuing growth through acquisitions, and covering general corporate expenses.

(With inputs from agencies.)