Bharat Dynamics IPO subscribed 44 per cent on Day 2

Among the first of the defence PSU IPOs that opened this year, Bharat Dynamics’s Initial Public Offering has received a subscription of 44 per cent till 4 pm on Day 2, Thursday.    

The IPO which open on Wednesday is offered at the price band of Rs. 413-428 per share, which is 10.3 to 10.7 times P/E for the company’s FY2017 earnings.

According to the data provided by NSE, investors bid for a total of 97,91,215 shares till 4 pm on Thursday, with 33,03,895 bids received at cut-off price.  The total issue size is of 2,24,51,953 equity shares.

The company is a state-owned defence manufacturer, which primarily caters to the Indian Defence forces. The company engages in the manufacture of Surface to Air missiles, Anti-Tank Guided missiles, torpedoes, launchers, countermeasures and test equipment.  The company also provides maintains and repair services for missiles and partners with DRDO.