NewsIPONarmadesh Brass Industries and Avana Electrosystems IPOs Open with Mixed Grey Market ResponseNarmadesh Brass Industries and Avana Electrosystems IPOs Open with Mixed Grey Market Response
Narmadesh Brass Industries and Avana Electrosystems opened IPO subscriptions on January 12, 2025. Narmadesh offers ₹44.87 crore at ₹515 per share with nil grey market premium, while Avana's ₹35.22 crore issue shows ₹14 GMP indicating 23.73% potential listing gains. Both are SME offerings with different minimum investments and listing dates.
*this image is generated using AI for illustrative purposes only.
Two small and medium enterprise (SME) initial public offerings opened for subscription on January 12, 2025, offering investors opportunities in the brass manufacturing and power sector automation segments. The offerings from Narmadesh Brass Industries and Avana Electrosystems present different investment propositions, with grey market trends indicating varied investor sentiment.
Narmadesh Brass Industries IPO Details
The Narmadesh Brass Industries IPO represents a ₹44.87 crore fixed price offering scheduled to remain open until January 15, 2025. The Jamnagar, Gujarat-based brass manufacturing company has structured the issue as a combination of fresh capital and existing shareholder exit.
| Component | Details |
|---|---|
| Issue Size | ₹44.87 crore |
| Issue Price | ₹515 per share |
| Fresh Issue | 7 lakh shares worth ₹36.09 crore |
| Offer for Sale | 2 lakh shares worth ₹8.78 crore |
| Minimum Investment | 480 shares (2 lots) for ₹2,47,200 |
| Allotment Date | January 16, 2025 |
| Listing Date | January 20, 2025 (BSE SME) |
The company operates in the brass manufacturing sector, serving various industrial applications from its Gujarat facility.
Avana Electrosystems IPO Structure
Avana Electrosystems has launched a ₹35.22 crore book build issue with a three-day subscription window closing January 14, 2025. The company specializes in manufacturing customized control and relay panels, protection relays, and substation automation solutions for the power sector.
| Parameter | Specification |
|---|---|
| Total Issue Size | ₹35.22 crore |
| Price Band | ₹56-59 per share |
| Fresh Issue | 52 lakh shares worth ₹30.54 crore |
| Offer for Sale | 8 lakh shares worth ₹4.68 crore |
| Retail Investment | 4,000 shares (2 lots) for ₹2,36,000 |
| Allotment Date | January 15, 2025 |
| Listing Platform | NSE SME (January 19, 2025) |
Grey Market Premium Analysis
Grey market trading reflects contrasting investor expectations for both offerings. According to InvestorGain data from January 12, 2025, the two IPOs show significantly different premium levels.
| IPO | Current GMP | Implied Listing Price | Premium Percentage |
|---|---|---|---|
| Narmadesh Brass Industries | ₹0 | ₹515 | 0% |
| Avana Electrosystems | ₹14 | ₹73 | 23.73% |
The Avana Electrosystems IPO commands a ₹14 per share grey market premium, suggesting potential listing gains of 23.73% above the upper price band of ₹59. In contrast, Narmadesh Brass Industries shows nil grey market premium, indicating expectations of flat listing performance.
Investment Considerations
Both companies operate in distinct industrial segments, with Narmadesh focusing on brass manufacturing and Avana serving the power sector automation market. The subscription periods overlap partially, with Avana closing earlier on January 14 compared to Narmadesh's January 15 deadline. Retail investors face different minimum investment requirements, with Narmadesh requiring ₹2,47,200 compared to Avana's ₹2,36,000 threshold.
Grey market premiums represent unofficial trading sentiment and do not guarantee actual listing performance. Investors should conduct thorough due diligence and consult financial advisors before making investment decisions in these SME offerings.
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