Explosive listing and huge earnings for investors in IPO

Indobell Insulation has made a strong debut in the stock market. The company’s shares were listed at Rs 87.40 with a 90% premium, while the share price in the IPO was fixed at Rs 46. The total size of this IPO was Rs 10.14 crore, which opened on 6 January 2025 and closed on 8 January. This IPO was issued at fixed price.

Stormy rise after listing

After the spectacular listing, the rising trend in the shares of Indobel Insulation continued.

• Share Price:
  • The shares reached Rs 91.77 with a gain of 5%.
  • The stock also touched a low of Rs 83.03 during trading.

Company Introduction

Indobel Insulation was established in May 1972.

What does the company make?

• The company manufactures insulation products.
• Their products are used in residential, commercial and industrial applications.

Promoters and stake:

• Promoters:
  • Vijay Burman
  • Man Mohan Burman
  • Megha Burman
  • Raksha Burman
• Before the IPO, the promoters’ stake was 99.99%, which has now come down to 65%.

IPO got tremendous response

Indobel Insulation’s IPO was very popular among investors.

• Total Subscription:
  • The IPO was subscribed 54.13 times.
• Category-wise subscription:
  • Retail investors: 52.37 times.
  • Non-Institutional Investors (NII): 51.31 times.
• In one lot:
  • There were 3000 shares in one lot in the IPO.
  • Retail investors had to invest Rs 1,38,000 for one lot.

Use of funds raised from IPO

The company will use the funds raised from the IPO for the following purposes:

1. Purchase of additional plant and machinery.
2. To meet working capital requirements.

employee data

• As of December 31, 2024, the company has a total of 31 employees working across various departments.

Was it right to invest in this IPO?

Investors’ earnings:

• Investors who bought at the IPO price of Rs 46 made a profit of 90% on the listing itself.
• After listing in the stock market, this stock has become increasingly attractive for investors.

future prospects:

• The company’s growth prospects are quite good due to increasing demand for insulation products and strong fundamentals.