Concord Enviro Systems debuts at Rs. 826 with 18% Premium Over Issue Price

Concord Enviro Systems Ltd.'s shares debuted on the stock market on Friday, December 27, at Rs. 826 per share, which is higher than their Rs. 701 IPO price.

The listing price represents a nearly 18% premium over Concord Enviro System’s IPO price.

Bidding was open from December 19 to December 23 for Concord Enviro System’s Rs. 500-crore initial share sale, an environmental engineering solutions company.

Investors made bids for a minimum of 21 shares and in multiples of those shares within the fixed price range of Rs. 665 to Rs. 701 per share that the company was offering.

In addition to an offer-for-sale (OFS) of 46.41 lakh equity shares valued at Rs. 325.33 crore, at the upper end of the price band, by promoters and an investor, the IPO featured a new issuance of equity shares valued at Rs. 175 crores.

The promoters Prayas and Prerak Goel, the promoter groups Namrata, Nidhi, and Pushpa Goel, and the investor AF Holdings are the ones who sold shares in the OFS.

The proceeds of the new issue will be used by Concord Enviro FZE (CEF) to meet its working capital requirements and establish a new assembly unit for water treatment systems.

Rochem Separation Systems (India) Private Ltd will also receive funding for working capital needs, debt repayment, technology and growth initiatives, and general corporate purposes in addition to the expansion of its manufacturing facilities and support operations.

The company had raised Rs. 150 crores from anchor investors prior to the issue launch. Anchor investors included Societe Generale, Kotak, LIC, PGIM India, Bandhan, ICICI Prudential Mutual Fund (MF), SBI General Insurance Company, and Morgan Stanley Asia (Singapore) Pte Ltd.