Avana Electrosystems' initial public offering has received a positive market response, with the issue achieving an overall subscription of 2.48 times the shares offered.

Subscription Performance Across Categories

The IPO witnessed varied participation across different investor segments, with retail investors leading the subscription numbers.

Retail Segment Drives Demand

Retail investors demonstrated the strongest appetite for Avana Electrosystems shares, subscribing to 3.75 times their allocated portion. This robust retail participation reflects individual investor confidence in the company's prospects and business model.

The non-institutional investor categories also showed healthy participation levels. Small HNI investors subscribed to 3.29 times their quota, while big HNI investors achieved 2.56 times subscription, indicating strong interest from high-net-worth individuals across both segments.

Institutional Participation

Notably, both the Qualified Institutional Buyers (QIB) segment and employee quota recorded zero subscription during this phase. The absence of QIB participation suggests institutional investors may be evaluating the offering or waiting for further developments.

The overall subscription level of 2.48 times demonstrates market confidence in Avana Electrosystems, with retail and HNI investors driving the demand for the public issue.

Avana Electrosystems' initial public offering opens on January 12 with encouraging early market signals, as the unlisted shares command a grey market premium of Rs 24 per share. The power systems solutions company's SME IPO has generated investor interest despite broader volatility in small-cap and SME segments.

Grey Market Performance and Pricing

The grey market premium suggests potential strong debut performance for the Bengaluru-based company. Based on the upper price band, the market indicators point to promising early reception.

However, investors should note that grey market trends remain unofficial and can shift based on subscription momentum and market sentiment.

Issue Structure and Investment Requirements

The IPO comprises both fresh capital raising and existing shareholder participation through offer for sale mechanism.

The investment structure requires substantial minimum commitments from different investor categories:

• Retail Investors: Minimum 4,000 shares (Rs 2,36,000)
• HNI Investors: Minimum 6,000 shares (Rs 3,54,000)
• Lot Size: 2,000 shares

Reservation Structure

The issue allocation follows standard SME IPO norms with institutional focus:

Business Operations and Market Position

Incorporated in 2010, Avana Electrosystems specializes in designing and manufacturing customized control and relay panels for power transmission and distribution infrastructure. The company's product portfolio spans control and relay panels from 11 kV to 220 kV, protection relays, substation automation panels, and related systems for transmission lines, transformers, bus bars, and capacitor banks.

The company operates two manufacturing facilities in Peenya Industrial Estate, Bengaluru, serving utilities, EPC contractors, and industrial clients across India. As of August 2025, the company employed 129 people.

Financial Performance

Avana Electrosystems has demonstrated consistent growth trajectory in recent periods:

Fund Utilization Plan

The company has outlined specific deployment strategy for IPO proceeds:

• Integrated Manufacturing Unit: Rs 11.60 crore for civil construction, electrical and plumbing works
• Working Capital: Rs 8.40 crore for operational requirements
• General Corporate Purposes: Remaining funds

Issue Timeline and Intermediaries

The IPO closes on January 14, with market debut scheduled for January 19 on the NSE SME platform. Asnani Stock Broker serves as market maker, while Indcap Advisors acts as book-running lead manager and Integrated Registry Management Services handles registrar responsibilities.