Laser Power & Infra Shares Make Strong Debut, Stock Lists With Over 25% Premium

Shares of Laser Power & Infra made their stock market debut on July 16. Upon debut, the stock opened higher than the issue price as it listed with a discount.

Opening on the BSE at Rs 269, the stock listed with a premium of 25.7 per cent compared to its issue price of Rs 214. Meanwhile, on the NSE, the Kolkata-based cable and conductor manufacturer’s stock debuted at Rs 250, marking a 16.8 per cent premium.

Laser Power & Infra Listing Day Gains

For retail applicants who were allotted the base lot of 70 shares, the listing translated to a listing gain of Rs 3,850 (Rs 269- Rs 214 x 70) as soon as trading commenced. Given the initial trading range, the integrated power distribution company's total market capitalization hovered around the Rs 3,775.91 crore mark and 2.21 million shares of the company traded hands.

Laser Power & Infra IPO: Offer Size

The company successfully raised Rs 742 crore through its public issue. Unlike a purely fresh offering, this IPO was a mix that featured a fresh issue of shares aggregating to Rs 542 crore alongside an offer for sale (OFS) worth Rs 200 crore. The issue price for Laser Power & Infra was fixed at Rs 203 to Rs 214 price band.

Laser Power & Infra IPO: Subscription Details

Retail investors could apply for the public issue by bidding for a minimum of 70 shares, translating to an initial investment of Rs 14,980. Bidding for the issue opened on July 9 and concluded on July 13.The offering was oversubscribed by 38.94 times overall.

Institutional buyers led the demand, with the Qualified Institutional Buyers (QIB) segment subscribed 92.25 times. The Non-Institutional Investors (NII) category also saw robust action, booked 43.34 times, while the retail individual investor portion was subscribed 6.59 times.

Laser Power & Infra: Promoters

Prior to the IPO, the promoters, Deepak Goel, Devesh Goel, Akshat Goel, and Rakhi Goel held complete ownership of the company. Following the public issue and subsequent equity dilution, the promoter group's shareholding has been adjusted to 75.29 per cent.

Laser Power & Infra: Competitors and Listed Peers

The company operates in the highly competitive power transmission, distribution, and EPC sector. Its primary competitors include industry heavyweights like Polycab India, KEI Industries, and Apar Industries, as well as smaller comparable players such as Dynamic Cables and Universal Cables. After listing, Laser Power & Infra shares will trade alongside these listed peers.

Laser Power & Infra IPO: Core Objectives

Proceeds generated from the fresh issue are earmarked primarily for debt reduction. The company plans to utilise Rs 490 crore for the pre-payment or re-payment of outstanding borrowings, with the remaining capital allocated for general corporate purposes and issue expenses.