NSE SME Innomet Advanced Materials soars on debut

The scrip was listed at Rs 190, a premium of 90% over the initial public offer (IPO) price. The stock was currently frozen at its upper limit of 5% over its listing price.

The counter hit a high of Rs 199.50 and a low of Rs 190. About 12.88 lakh shares of the company changed hands at the counter.

Innomet Advanced Materials' IPO was subscribed 282.54 times. The issue opened for bidding on 11 September 2024 and it closed on 13 September 2024. The price of the IPO was set at Rs 100 per share.

The IPO comprised fresh issue of 34,23,600 equity shares. The promoter and promoter group shareholding diluted to 54.80% from 74.52% pre-issue.

The company plans to use the net proceeds from the IPO to support working capital, invest in new equipment, reduce debt, cover issue expenses, and fund general corporate purposes.

Innomet Advanced Materials manufactures diamond tools, metal powders, and Tungsten Heavy Alloys (THA). It has two divisions, Innomet Powders and Innotung (Tungsten Heavy Alloys component manufacturing). Innomet Powders supplies metal and alloy powders. It offers over 20 products, including copper, bronze, brass, nickel, tin, and stainless-steel powders for various industries. Innotung is the brand name for the Tungsten Heavy Alloy series, manufactured through powder metallurgy. The company supplies its products in domestic and international markets like US, UK, Germany, Netherlands, Japan, Italy, New Zealand, Lebanon, Brunei and many others. As on 31 March 2024, the company had 56 employees.

The company recorded revenue from operations of Rs 28.99 crore and net profit of Rs 2.51 crore for the period as of 31 March 2024.