Dee Development Engineers IPO gets fully subscribed on day one. GMP, review, subscription status, apply or not?

Dee Development Engineers IPO: The initial public offering of Dee Development Engineers Limited opened today. The public issue will remain open for bidders until 21st June 2024, which means the Dee Development Engineers IPO subscription will remain open from Wednesday to Friday this week. The engineering company has fixed Dee Development Engineers IPO price band at ₹193 to ₹203 per equity share. The book build issue is proposed for listing on BSE and NSE. The mainboard issue is a mix of fresh shares and Offers for Sale (OFS). Ahead of the subscription opening, Dee Development Engineers shares are available for trade in the grey market. According to stock market observers, Dee Development Engineers Ltd shares are available at a premium of ₹49 in the grey market today.

Dee Development Engineers IPO subscription status

By 3:09 PM on day one of bidding, the public issue was booked 1.60 times whereas the retail portion has been booked 1.98 times. The NII portion has been booked 2.71 times.

Top Dee Development Engineers IPO details

1] Dee Development Engineers IPO GMP: According to market observers, shares of the engineering company are available at a premium of ₹49 in the grey market today.

2] Dee Development Engineers IPO price band: The company has a fixed price band for the book build issue, ₹193 to ₹203 apiece.

3] Dee Development Engineers IPO date: The public issue has opened today and will remain open until June 21st, 2024.

4] Dee Development Engineers IPO size: The company aims to raise ₹418.01 crore from its public offer. Of these ₹418.01 crore, ₹325 crore is aimed through fresh shares, while the rest, ₹93.01 crore, is reserved for the OFS route.

5] Dee Development Engineers IPO lot size: A bidder can apply in lots, and one lot of the public issue comprises 73 company shares.

6] Dee Development Engineers IPO allotment date: The finalization of share allocation is expected on Monday, June 24th, 2024.

7] Dee Development Engineers IPO registrar: Link Intime India Private Limited has been appointed as the official registrar of the book build issue.

8] Dee Development Engineers IPO investment limit: A bidder can apply in lots, each comprising 73 company shares. This means an applicant requires at least ₹14,819 to apply for this public offer.

9] Dee Development Engineers IPO listing: The mainboard issue is proposed for listing on BSE and NSE, and the tentative Dee Development Engineers IPO listing date is 26 June 2024.

Dee Development Engineers IPO: Apply or not?

10] Dee Development Engineers IPO review: Giving a ‘subscribe’ tag to the book build issue, Prathamesh Masdekar, Research Analyst at StoxBox, said, “The company’s revenue has grown at a CAGR of 10% between FY21-23. The company has initiated the capacity expansion plans mentioned above, which will help it improve its future financial performance. Further, the company is deleveraging its balance sheet by reducing debt. As we advance, the company’s financial performance will likely be driven by its robust balance sheet, long-standing customer relationships, capacity expansion, higher entry barriers, and strong management team with impressive backgrounds. The issue is valued at a P/E of 56.4x on the upper price band based on FY24 earnings, which we feel is fairly valued given the strong growth prospectus and stickiness of customers. We, therefore, recommend a SUBSCRIBE rating for the issue.”

Marwadi Shares and Finance has also assigned a ‘subscribe’ tag to the book build issue saying, “Considering the FY-23 / FY24-Annualized EPS of ₹1.88/2.77 on a post-issue basis, the company is going to list at a P/E of 108.06x/73.33x with a market cap of Rs.14,017 mn, whereas its peer namely ISGEC Heavy Engineering Ltd is trading at a P/E of 37.8x. We assign a “Subscribe” rating to this IPO as the company is the largest player in process piping solutions in India in terms of installed capacity, providing specialized process piping solutions with strategically located state-of-the-art manufacturing facilities with significant barriers to entry. Also, it is available at a reasonable valuation considering the company’s future growth potential.”

In addition to these, Swastika Investmart and Reliance Securities have also assigned a ‘subscribe’ tag to this book build issue.

Disclaimer: The views and recommendations above are those of individual analysts, experts, and broking companies, not of Mint. We advise investors to check with certified experts before making any investment decisions.