Zelio E-Mobility Debuts on BSE SME with Muted Response
Zelio E-Mobility, an electric two-wheeler and three-wheeler manufacturer, listed on the BSE SME platform following a Rs 78 crore IPO. The IPO, priced at Rs 129-136 per share, was subscribed 1.5 times overall. The company's recent financials show strong growth with revenue at Rs 173.80 crore (83% YoY increase) and profit at Rs 16.00 crore (more than doubled). Despite this, the listing comes with subdued expectations, indicated by a zero grey market premium.
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Zelio E-Mobility, a manufacturer of electric two-wheelers and three-wheelers, made its debut on the BSE SME platform today following a Rs 78 crore Initial Public Offering (IPO). The listing comes with subdued expectations, as indicated by a zero grey market premium.
IPO Details and Subscription
The IPO, priced between Rs 129-136 per share, comprised a fresh issue of Rs 62.83 crore and an offer for sale of Rs 15.5 crore. The public offering saw an overall subscription of 1.5 times, with varying interest across investor categories:
| Investor Category | Subscription Rate |
|---|---|
| Non-Institutional Investors | 1.76 |
| Qualified Institutional Buyers | 1.61 |
| Retail Investors | 1.32 |
Company Overview
Zelio E-Mobility operates in the electric vehicle sector, manufacturing two-wheelers and three-wheelers under the Zelio and Tanga brands. Their product lineup includes models such as Eeva, Legender, Mystery, and X-Men.
Manufacturing Capacity
The company's production facilities are notable:
| Aspect | Details |
|---|---|
| Facility Size | 24,000 |
| Location | Haryana |
| Annual Production Capacity | 72,000 |
Financial Performance
Zelio E-Mobility has demonstrated strong growth in its recent financial results:
| Metric | Value (Rs crore) | Year-on-Year Growth |
|---|---|---|
| Revenue | 173.80 | 83% |
| Profit | 16.00 | More than doubled |
Market Expectations
Despite the company's robust growth figures, the thin subscription rate and zero grey market premium suggest limited near-term upside expectations from market participants. This muted response could be attributed to various factors, including market conditions and investor sentiment towards the EV sector.
The listing of Zelio E-Mobility on the BSE SME platform marks another addition to India's growing electric vehicle industry. While the company has shown strong financial growth, the market's initial response appears cautious. Investors and industry observers will be watching closely to see how the stock performs in its early days of trading and whether it can build momentum in the competitive EV market.
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