The Orient Technologies IPO has attracted much advance, the demand for which has been fully subscribed on the first day of IPO. The IPO of the company is scheduled to open on 21st August, 2024 and, as per the latest records, it has been subscribed to a good extent of 6 times. The rate of occurrence is of 64 times at the end of Day 1. RIIs by far topped the list with a rating of 10 for their active participation in the posting of aggressive prices. four times subscription, by Non-Institutional Investors (NIIs) at two. 17 times. Nevertheless, there was hardly any response from the QIBs where out of the Issue Tranche, only 0 02 times subscription.
The following table shows the price band and other investment details through which the company proposes to mobilise the required fund:
The IPO is done at Rs 195 to Rs 206 per share, with lot size of 72 shares. The so-called 'retail investors' who can participate in the bidding process must have a minimum of Rs14,832. The total issue size remains at Rs 214. Of the total issue size estimated at Rs 196 crore, a fresh issue component of the note is Rs 120 crore.
**Understand The Grey Market Premium (GMP) Indicates Buoyant Demand**
There is a lot of activities in the grey market for Orient Technologies with the share price above the issue price by Rs 70, the rise being 34 per cent. This robust GMP points to investors' confidence and possible appreciation once floated in the market.
**Should You Bid? **
Swastika Investmart's Head of Wealth, Shivani Nyati is positive about the IPO due to the firm's portfolio in IT solutions, its stabilised revenue and profit figures. However, the potential investors should consider risks such as the risks that comes with dependence of the business in key clients in the market, competition risk and risk that arises from dependence on government contracts.
**Conclusion**
Given that it is actively demanded in the grey entities, as well as beneficial opinions of experts, the IPO of Orient Technologies seems to be viable. But of course, investors should consider the risks that are imposed by the turmoil prior to making an investment decision. Readily available information indicates that the subscription window will close on August 23, 2024, thus making it important for anyone who wants to bid the hurry up. (alert-warning)
