JNK India IPO, valued at Rs 650 crore, is scheduled to close on April 25th. By April 24th, the company had received subscriptions totaling 1.05 times its offering. The IPO, which commenced on April 23rd, has a price range of Rs 395 to Rs 415 per equity share.
The offering consists of 7.6 million fresh shares and an offer for sale of 8.4 million shares. Retail bidders are required to bid for a minimum of 36 shares, amounting to Rs 14,940. Different lot sizes apply for High Net Worth Individuals (HNIs) and Non-Institutional Investors (NIIs).
It’s anticipated that the allotment of shares for JNK India will be finalized on April 26, with listing set for April 30. In the grey market, JNK India’s shares are trading at a premium of 6% over its issue price of Rs 415.
JNK India specializes in the design, manufacture, supply, installation, and commissioning of process-fired heaters, reformers, and cracking furnaces. The company has executed projects not only in India but also in Nigeria and Mexico. Its client roster includes prominent names such as Indian Oil Corporation, Tata Projects, and Rashtriya Chemicals & Fertilisers.
JNK India has emerged as a significant player in the Heating Equipment segment and is strategically positioned to benefit from industry trends. Its expansion into waste gas handling and venture into green hydrogen further bolster its competitive advantage.
Motilal Oswal, in an IPO analysis, stated, “JNK’s stock appears reasonably priced at 37.5x 9MFY24 P/E (on an annualized & diluted basis) when compared to peers in the capital goods sector. We are bullish on JNK due to its proven track record, extensive client base, and diversified presence across geographies and products. Therefore, we recommend subscribing for the long term.”
On the opening day of bidding, April 23, JNK India’s IPO received subscriptions equivalent to 0.5 times its offering.
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IIFL Securities and ICICI Securities served as the book-running lead managers for JNK India’s IPO, while Link Intime India acted as the registrar for the issue.
