KP Green Engineering to launch Dalal Street’s biggest SME IPO on March 15

With a bumper IPO and listing week coming up on Dalal Street, all eyes remain on KP Green Engineering, which is set to launch its initial public offering on March 15. In fact, the KP Green Engineering IPO is set to be the biggest SME public issue the Indian stock market has ever seen.

KP Green Engineering is a fabricated and hot-dip galvanised steel products manufacturer which is set to launch its IPO on Friday, March 15. The issue will be open from Friday to Tuesday, i.e. March 15 to March 19. The IPO is being launched for 1,31,60,000 equity shares of the company.

A total of five SME (small and medium enterprise) segment IPOs are expected to make a splash on Dalal Street next week, and KP Green Engineering is by far the biggest.

While the rest of the four SME companies are collectively aiming to raise ₹107 crore through their public issue, KP Green Engineering is looking to raise ₹189.5 crore through its IPO, at the upper price band. The IPO consists of only a fresh issue and no offer for sale component.

Before this, the largest SME IPO ever to hit the Indian stock market was Spectrum Talent Management, which ended up raising ₹105 crore. Before this, it was Aashka Hospitals, which ended up raising ₹101.6 crore.

KP Green Engineering IPO: More details

The initial public offer of KP Green Engineering is set to be open at March 15, and the subscription will close on March 19. The fresh issue IPO is aiming to raise ₹189.5 crore by selling 1,31,60,000 equity shares of the company.

KP Green Engineering has set the price band of the issue at ₹137-144 per equity share. Around 6.58 lakh equity shares have been reserved for the market maker, while half of the issue size has been reserved for qualified institutional buyers.

The firm has said in its recent filings that it will spend ₹156.1 crore out of the total money raised for setting up a new manufacturing unit, while the rest of the funds will be used for general corporate purposes.