Sedemac Mechatronics IPO: A Peek into a Powertrain Giant's Market Debut

Sedemac Mechatronics, a powertrain controls manufacturer, launched its IPO with a 27% subscription on the first day. Despite attracting Rs 326 crore from anchor investors, this offer for sale won't see proceeds going to the company. Key stakeholders include ICICI Securities and Axis Capital.

Sedemac Mechatronics Ltd, a prominent powertrain control manufacturer, launched its initial public offering (IPO) on Wednesday, witnessing 27% subscription on the opening day. According to National Stock Exchange (NSE) data, the IPO received bids for 15,00,510 shares out of the total 56,32,899 shares available.

The subscription response varied among investor categories; Qualified Institutional Buyers (QIBs) showed significant interest with an 87% subscription, whereas Retail Individual Investors (RIIs) and non-institutional investors accounted for 3% and 1% subscriptions respectively. The company managed to raise Rs 326 crore from anchor investors within this IPO.

This Rs 1,087-crore IPO, set to end on March 6, is solely an offer for sale of up to 80,43,300 equity shares. Major stakeholders like promoters Manish Sharma, Ashwini Amit Dixit, and entities including A91 Emerging Fund II LLP, are selling their stakes. Sedemac, known for supplying ECUs to OEMs in India, the US, and Europe, won't gain direct proceeds from this sale. The IPO has been managed by ICICI Securities, Avendus Capital, and Axis Capital.

(With inputs from agencies.)