Royal Sense lists at 90% premium at Rs 129 per share on BSE

Royal Sense deals in medical equipment, surgical instruments, surgical consumables, laboratory equipment, laboratory reagents, medical disposables, and diagnostic kits, debuted on the Indian stock market today.

The stock of Royal Sense opened at Rs 129.20 per share on the BSE, reflecting a substantial 90% premium over the final issue price of Rs 68 per share. The market capitalisation on the BSE stands at Rs 60.14 crore. Currently, the stock is at Rs 122.74 per share on the BSE.

IPO Proceeds

The net proceeds from the Fresh Issue will be used to fund working capital requirements and general corporate purposes.

Business Overview

Founded in 2023, Royal Sense Limited deals in medical equipment, surgical instruments, surgical consumables, laboratory equipment, laboratory reagents, medical disposables, and diagnostic kits. The company supplies its products to the Ministry of Health departments of various states like Uttar Pradesh, Himachal Pradesh, Rajasthan, Jammu & Kashmir, as well as through a network of distributors/sub-dealers. Additionally, the company supplies its products to government institutions and private hospitals across India.

Subscription details

On March 14, 2024, the final day of the IPO window, the IPO witnessed an impressive response, with a subscription rate of 8.52 times. The public issue received remarkable interest, with the retail category being subscribed 7.32 times, while the NII category reached a subscription rate of 9.72 times.

The IPO price was fixed at Rs 68 per share, with a face value of Rs 10 per share and a lot size of 2000 shares. The total size of the company’s IPO was Rs 9.86 crore, and the final share issue price was fixed at Rs 68 each.

Conclusion

The crucial question that arises in everyone’s mind is whether to hold onto the shares or book profits. Investors who applied for listing gains only have already earned 90% on the listing day itself and can choose to book the profit it has generated. On the other hand, investors with a higher risk appetite may opt to hold the shares for the medium to long term, which could prove to be beneficial.

Disclaimer: This blog has been written exclusively for educational purposes. The securities mentioned are only examples and not recommendations. It is based on several secondary sources on the internet and is subject to changes. Please consult an expert before making related decisions.