Epack Durable closes at ₹207.70 on the BSE, declines 9.70% on listing day

Epack Durable, the air-conditioner maker, faced a challenging debut on the stock exchanges on Tuesday. The company's shares experienced a significant decline of 9.70%, closing at ₹207.70 on the BSE, notably below the IPO price of ₹230. The stock opened 2.17% lower at ₹225 and further depreciated by 10.56% to ₹205.70 during the trading session. On the NSE, it recorded a 9.5% decline, closing at ₹208.15.

Despite a robust subscription rate of 16.37 times, primarily driven by high net worth individuals and qualified institutional buyers (QIBs), investors hoping for listing gains were disappointed as the stock failed to surpass the IPO price throughout the day.

The IPO, amounting to ₹640 crore, consisted of a fresh issue of ₹400 crore and an offer-for-sale of ₹240 crore by the promoters, promoter group members, and existing shareholders. The funds raised through the fresh issue are designated for capital expenditure, including the establishment of manufacturing facilities, repayment of loans, and general corporate purposes.

During the IPO exercise, Epack Durable secured ₹192 crore from anchor investors, which included prominent entities such as Societe Generale, Copthall Mauritius Investment, Integrated Core Strategies (Asia) Pte, SBI Life Insurance Company, SBI General Insurance Company, HDFC Life Insurance Company, Bajaj Allianz Life Insurance Company, Aditya Birla Sun Life Insurance Company, and HDFC Mutual Fund.