The initial public offering (IPO) of Ideaforge, India s leading drone maker, has been subscribed 17.3 times on the third day of bidding. Retail investors have shown strong demand for the IPO, with the retail category subscribed 44.37 times. The IPO, originally slated to close on June 29, has yet to determine the closure date due to a market holiday. Market sources suggest that the company s shares could command a premium of Rs 540, indicating potential listing gains for investors. Despite concerns about valuation and risks, analysts recommend subscribing to the issue based on the company s strong positioning in the drone market. The IPO comprises a fresh issue of equity shares and an offer for sale by selling shareholders.
IdeaForge Tech IPO: According to IPO Watch, the shares are commanding grey market premium (GMP) of Rs 550, signaling a listing gain of 82 per cent over the upper end of the IPO price
Ideaforge, India s leading drone manufacturer, has opened its initial public offering (IPO) for subscription. The company has raised INR2.54bn ($34m) from anchor investors, including HSBC, Invesco, and Goldman Sachs. The IPO is priced between INR638-672 per share, with analysts arguing it is reasonably valued given the potential for future growth. With a 50% market share in India s unmanned aircraft systems (UAS) industry, the drones made by Ideaforge are suitable for mapping, security, and surveillance. The IPO consists of an issue of equity shares worth INR2.4bn and an offer for sale of 4.8 million shares.
According to IPO watch, shares of IdeaForge enjoyed a premium of Rs 450 in grey markets, implying a likely listing price of Rs 1,122 on the upper price band
The robust demand was driven by retail investors, whose category was subscribed 4.38 times. While the non-institutional portion was subscribed 1.03 times, there were no bids yet from qualified institutional buyers.