Gabion Technologies India made a measured market debut on January 13, listing at ₹89.00 per share on the BSE SME platform. The listing represents a 9.88% premium over the company's IPO price of ₹81.00 per share, giving it a market capitalization of ₹120.82 crore upon debut.

Listing Performance vs Market Expectations

The actual listing premium significantly underperformed grey market estimates. Prior to listing, unlisted shares were trading at ₹112.00 per share, indicating a grey market premium of over 38% above the IPO price. This substantial gap between market expectations and actual performance highlights the unpredictable nature of SME listings.

IPO Details and Subscription Response

Gabion Technologies raised ₹29.16 crore entirely through a fresh issue of 36 lakh shares, with no offer for sale component. The IPO was priced in the band of ₹76.00-₹81.00 per share and witnessed exceptional investor interest during its three-day bidding period from January 6 to January 8.

The subscription numbers reflected strong market appetite:

Fund Utilization Strategy

The company has outlined a clear deployment plan for the IPO proceeds. The majority of funds will address operational requirements, with ₹22.10 crore allocated for working capital needs. Additionally, ₹1.05 crore will be invested in plant and machinery purchases, while the remaining amount will support general corporate purposes.

Company Profile and Financial Performance

Incorporated in 2008 and promoted by Madhusudan Sarda, Gabion Technologies manufactures gabions, rockfall protection nettings, and geosynthetic materials. These products serve critical applications in civil engineering, infrastructure development, and environmental protection projects.

The company's recent financial performance shows mixed results:

Business Outlook and Order Book

Gabion Technologies has set ambitious revenue targets, expecting to achieve approximately ₹120.00 crore in revenue for FY26. As of October 2024, the company secured confirmed service work orders worth ₹84.62 crore, providing visibility for future operations.

The company's revenue strategy encompasses two main divisions:

• Service Work: Earned ₹19.98 crore up to September 2024, with expectations of additional ₹45.00 crore in remaining months, targeting total service revenue of ₹64.98 crore
• Supply of Goods: Achieved ₹25.12 crore up to September 2024, expecting ₹29.90 crore by March 2026, for total supply revenue of ₹55.02 crore

GYR Capital Advisors served as the book running lead manager for the IPO, facilitating the company's entry into the public markets.

Gabion Technologies' initial public offering concluded with remarkable investor enthusiasm, recording an overall subscription of 826 times during its three-day bidding period from January 6 to 8. The BSE SME issue attracted significant attention from investors across all categories, demonstrating strong market confidence in the company's prospects.

Subscription Details

The ₹29.16 crore IPO received overwhelming response from investors, with detailed subscription figures highlighting broad-based participation:

The issue attracted bids for 19,97,97,61,600 shares against the 23,96,800 shares on offer, reflecting exceptional investor interest in the steel gabions manufacturer.

IPO Structure and Timeline

The Gabion Technologies IPO comprised entirely a fresh issue of 36 lakh shares, priced between ₹76 and ₹81 per share. The company has outlined a clear timeline for post-bidding activities:

Checking Allotment Status

Investors can verify their allotment status through two primary channels. On the BSE website, applicants need to visit the allotment page, select equity under issue type, choose Gabion Technologies India Limited from the dropdown, enter their application number or PAN, complete captcha verification, and click search. Alternatively, through KFinTech IPO allotment page, investors can select Gabion Technologies India Ltd from the dropdown, choose identification method (PAN, Application Number, or Demat Account), enter relevant details, and submit to view allotment status.

Market Intermediaries and Company Background

GYR Capital Advisors Pvt. Ltd. serves as the book-running lead manager for the issue, while Kfin Technologies Ltd. acts as the registrar. Giriraj Stock Broking Pvt. Ltd. has been appointed as the market maker for the IPO.

Gabion Technologies India Ltd., incorporated in February 2008, specializes in manufacturing steel gabions and providing geosynthetics, geotechnical engineering, and ground improvement services globally. The company serves government bodies, contractors, private clients, consultants, and authorities across sectors including infrastructure development, retaining walls, slope stabilization, rockfall protection, irrigation projects, and mining.