Laxmi Dental IPO day 1: GMP, subscription status, review, other details. Good or bad for investors? | Stock Market News

Laxmi Dental IPO: The initial public offering (IPO) of Laxmi Dental Limited has opened today and will remain open until 15 January 2025. This means Laxmi Dental IPO will remain open for bidding from Monday to Wednesday. The public issue is proposed for listing on the BSE and the NSE and Laxmi Dental IPO price band has been declared at ₹407 to ₹428 per equity share. The mainboard IPO aims to raise ₹698.06 crore, of which ₹138 crore is expected from the issuance of fresh shares. The remaining ₹560.06 crore is reserved for the offer for sale (OFS) route.

Meanwhile, before the opening date of the Laxmi Dental IPO subscription, the integrated dental product company shares are available in the grey market. According to stock market observers, shares of the company are available at a premium of ₹161 in the grey market today.

Laxmi Dental IPO details

1] Laxmi Dental IPO GMP: According to stock market observers, shares of the company are available at a premium of ₹161 in the grey market today.

2] Laxmi Dental IPO date: The public issue opens today and will remain open until 5:00 PM on Wednesday.

3] Laxmi Dentals IPO price: The company’s IPO has a fixed price band of ₹407 to ₹428 per equity share.

4] Laxmi Dental IPO size: The integrated dental product company aims to raise ₹698.06 crore, of which ₹138 crore is expected from the issuance of fresh shares. The remaining ₹560.06 crore is reserved for the offer for sale (OFS) route.

5] Laxmi Dental IPO lot size: A bidder can apply in lots, and one lot of the upcoming IPO will comprise 33 company shares.

6] Laxmi Dental IPO allotment date: The most likely date for finalization of share allocation is 16 January 2025.

7] Laxmi Dental IPO registrar: Link Intime India Private Limited has appointed the upcoming IPO’s official registrar.

8] Laxmi Dental IPO Lead Managers: Nuvama Wealth Management, Motilal Oswal Investment Advisors, and SBI Capital Market have been appointed Lead Managers of the upcoming IPO worth ₹698.06 crore.

9] Laxmi Dental IPO listing date: The most likely date for share listing is 20 January 2025.

Laxmi Dental IPO: Good or bad for investors?

10] Laxmi Dental IPO review: On whether one should apply for the public issue or not, Prathamesh Masdekar, Research Analyst at StoxBox, said, “On the financial front, the company reported Revenue/EBITDA CAGR of 18.9%/109.6% during the FY2022-24 period, respectively. Laxmi Dental has also witnessed margin improvement from 4.0% in FY22 to 19.5% in H1FY25, driven by operational efficiencies. The interest cost reduction following debt repayment will likely improve profitability further. The issue is valued at a P/E of 89.2x on the upper price band based on FY24 earnings. However, we believe that factors such as the shift from the unorganized to the organized segment, greater awareness and adoption of dental aesthetics and a shift towards metal-free products will likely drive growth for the company. Therefore, we recommend a SUBSCRIBE rating for the issue.”

Giving a ‘subscribe’ tag to the book build issue, Rajan Shinde, Research Analyst at Mehta Equities, said, “Based on annualized FY 2025 earnings and fully diluted post-IPO paid-up capital, the company is asking for a PE of 76.8x (adjusted for exceptional items) which seems aggressively priced considering the near term growth triggers and compared to its industry peers. As India’s only end-to-end integrated dental product company operating in a niche and growing market segment, it may command a higher valuation multiple. Investors should also look at IPO offers, which come with Rs.560.06cr OFS, which is 80% of the total issue, which is an area of concern for new investors. By leveraging its B2B2C model and innovative offerings, Laxmi Dental is well-positioned to capture a significant share of the growing dental solutions space. Hence, we recommend risk-taking investors to “SUBSCRIBE” for Laxmi Dental Ltd IPO for a long-term perspective only.”

The market capitalization of the book build issue is ₹2,352.38 crore. Ahead of the opening date for the problem, the book build issue has raised ₹314.13 crore from anchor investors. In FY24, the company’s assets grew from ₹96.54 crore to ₹134.52 crore, recording around 40 per cent YoY growth. The company’s revenue grew from ₹163.84 crore to ₹195.26 crore. The company’s net worth and PAT also witnessed strong growth in GY24. However, the company’s borrowings also grew in this period.

Disclaimer: The views and recommendations above are those of individual analysts, experts, and brokerage firms, not Mint. We advise investors to consult certified experts before making any investment decisions.