Shares of Kaynes Technology India gained nearly 18 per cent during their stock market debut on Tuesday. Shares of Electronics System Design and Manufacturing (ESDM) firm finished at Rs 690, with a gain of Rs 103, or 18 per cent, over its issue price of Rs 587 per share. The stock hit a high of Rs 787 and a low of Rs 675 on the BSE.
Kaynes positive listing follows an encouraging response to its Rs 858-crore IPO. The maiden offering was subscribed more than 30 times. Through the IPO, Kaynes raised Rs 530 crore in fresh capital. It plans to use this to repay its debt and expand its manufacturing facility.
At the last close, the company was valued at around Rs 4,000 crore. In FY22, Kaynes had clocked profits of Rs 41.7 crore on sales of Rs 706 crore.
“With an impressive 3-year CAGR Revenue/PAT growth of 38%/111% respectively coupled with industry leading operating margins and robust order book of Rs 2266 crore as of June 30, 2022. Kaynes will continue to move up the value chain of the ESDM sector. With the fresh issue of Rs 530 crore the company plans to triple its existing capacity in coming years, reduce its debt and fund working capital requirements which further multiplies its growth prospects,” Anand Rathi had said in a pre-IPO note.