Ajax Engineering IPO Anchor Allocation at 30.00%

Ajax Engineering IPO received a strong anchor allocation response, with 30.00% of the total IPO size subscribed by anchor investors. Out of the 20,180,446 shares on offer, anchor investors were allocated 6,030,449 shares, demonstrating significant market confidence. The anchor allocation details were reported to the stock exchanges on February 7, 2025, just ahead of the IPO opening on February 10, 2025.

Ajax Engineering IPO’s book-built issue of ₹1,269.35 crores is entirely an offer for sale of 2,01,80,446 shares. The price band is set at ₹599 to ₹629 per share, with a face value of ₹1 per share. This includes a share premium of ₹628 per share at the upper end of the price band.

The anchor allocation process, which took place on February 7, 2025, saw robust participation from institutional investors. The entire anchor allocation was made at the upper end of the price band, ₹629 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 Ajax Engineering IPO, the lock-in details are as follows:

• Lock-in Period (50% Shares): March 15, 2025
• Lock-in Period (Remaining Shares): May 14, 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 Ajax Engineering 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 February 7, 2025, Ajax Engineering IPO completed the bidding for its anchor allocation. A total of 6,030,449 shares were allotted to anchor investors at the upper IPO price band of ₹629 per share, resulting in an overall anchor allocation of ₹379.32 crore. This represents 30.00% of the total issue size of ₹1,269.35 crore, indicating robust institutional demand.
 

Ajax Engineering IPO Key Details:

• IPO Size: ₹1,269.35 crores
• Shares Allocated to Anchors: 6,030,449
• Anchor Subscription Percentage: 30.00%
• Listing Date: February 17, 2025
• IPO Opening Date: February 10, 2025

About Ajax Engineering Limited

Incorporated in July 1992, Ajax Engineering Limited manufactures a wide range of concrete equipment and services across the value chain. The company has developed 141 concrete equipment variants and sold over 29,800 units in India in the last ten years. With four facilities in Karnataka, located at Obadenahalli, Gowribidanur, and Bashettihalli, the company specializes in different products. As of September 30, 2024, the company maintains a strong presence with 51 dealerships across 23 states in India, providing 114 touchpoints, including 51 headquarters and 63 branches, with 34 serving as service centers. The company has established 25 dealers and distributors across South and Southeast Asia, the Middle East, and Africa, serving over 15,700 customers. Their comprehensive product portfolio includes self-loading concrete mixers, batching plants, transit mixers, boom pumps, concrete pumps, self-propelled boom pumps, slipform pavers, and 3D concrete printers. The company's success is driven by its strong in-house design and development team of 79 full-time employees, representing 15.96% of the total workforce, and a dedicated service team of 85 employees supporting their extensive dealer network.