Indo Farm Equipment IPO Anchor Allocation at 30.00%

Indo Farm Equipment IPO received a strong anchor allocation response, with 30.00% of the total IPO size subscribed by anchor investors. Out of the 12,100,000 shares on offer, anchor investors were allocated 3,630,000 shares, showcasing significant market confidence. The anchor allocation details were reported to the stock exchanges on December 30, 2024, just ahead of the IPO opening on January 3, 2025.

The book-built issue of ₹380.00 crores comprises a fresh issue of 10,200,000 shares aggregating to ₹214.50 crores and an offer for sale of 1,900,000 shares aggregating to ₹165.50 crores. The price band is set at ₹185 to ₹215 per share, with a face value of ₹10 per share. This includes a share premium of ₹205 per share at the upper end of the price band.

The anchor allocation process, which took place on December 30, 2024, saw robust participation from institutional investors. The entire anchor allocation was made at the upper end of the price band, ₹215 per share, highlighting strong demand and confidence in the company’s growth potential.

After the anchor allocation, the overall allocation of the IPO looks as follows:

The lock-in period for anchor investors is a critical aspect of the allocation. For Indo Farm Equipment IPO, the lock-in details are as follows:

• Lock-in Period (50% Shares): January 29, 2025
• Lock-in Period (Remaining Shares): March 30, 2025

This lock-in period ensures that anchor investors maintain their investments for a specified duration, contributing to stock price stability post-listing.

Anchor Investors in Indo Farm Equipment IPO

Anchor investors, typically large institutional investors, are allotted shares in an IPO before it opens to the public. The anchor allocation process plays a pivotal role in price discovery and instilling confidence among retail investors. The strong response from anchor investors often sets a positive tone for the public issue and influences the overall subscription levels.

On December 30, 2024, Indo Farm Equipment IPO completed the bidding for its anchor allocation. A total of 3,630,000 shares were allotted to anchor investors at the upper IPO price band of ₹215 per share, resulting in an overall anchor allocation of ₹78.04 crore. This represents 30.00% of the total issue size of ₹380.00 crore, indicating robust institutional demand.

Indo Farm Equipment IPO Key Details

About Indo Farm Equipment Limited and How to Apply for Indo Farm Equipment IPO

Incorporated in 1994, Indo Farm Equipment Limited is a leading manufacturer of agricultural machinery and construction equipment. The company specializes in the production of tractors, cranes, and other agricultural implements. With a strong presence in both domestic and international markets, Indo Farm Equipment has established itself as a trusted brand.

The company operates two state-of-the-art manufacturing facilities located in Baddi, Himachal Pradesh, covering a total area of 150,000 sq ft. Indo Farm produces over 50 models of tractors ranging from 30 to 110 HP, along with a wide range of construction equipment. The company exports its products to over 20 countries across Africa, South Asia, and Eastern Europe. As of March 31, 2024, the company employs 1,200 people.

Indo Farm Equipment’s commitment to innovation and quality has driven its growth over the years, making it a strong player in the agricultural equipment industry.