Plaza Wires' stock experienced a strong debut on the Bombay Stock Exchange (BSE) and National Stock Exchange (NSE) on Thursday, despite the prevailing market volatility. This success reflects the substantial interest in its ₹71.28 crore ($9.6 million) worth initial public offering (IPO), which was subscribed 160.97 times and did not include an offer for sale (OFS) component.
The IPO, which was open for subscription from September 29 to October 5, witnessed significant demand across investor categories. Retail investors' quota was subscribed 374.81 times, while the high net-worth individuals' quota saw a subscription of 388.09 times. The quota for qualified institutional investors received bids 42.84 times over.
Shivani Nyati of Swastika Investmart attributes Plaza Wires' successful IPO to the company's extensive network of 1,250 dealers and distributors, as well as its flagship brand "Plaza Cables" and home brands such as "Action Wires" and "PCG".
The funds raised through the IPO will be directed towards expanding Plaza Wires' product portfolio. The company plans to introduce house wires, fire-resistant wires, aluminium cables, and solar cables by setting up a new manufacturing unit. This expansion is expected to bolster Plaza Wires' position in the market and further enhance its product offerings to meet increasing consumer demand.
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