Image Source: NSE India
Patil Automation made a blockbuster debut on the NSE SME Emerge platform today, with its shares immediately locking in the 5% upper circuit at ₹162.75—soaring 35.63% above the issue price of ₹120. The Pune-based automation and robotics solutions provider’s IPO was a resounding success, having been oversubscribed by a massive 101.42 times, reflecting overwhelming investor interest and robust market confidence.
Key Highlights
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Stellar Listing: Patil Automation shares listed at ₹155 per share, a 29.17% premium over the issue price, and quickly surged to the upper circuit at ₹162.75, marking a 35.63% gain for investors on day one.
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IPO Details: The ₹69.61 crore IPO was entirely a fresh issue of 58 lakh shares, with a price band of ₹114–₹120 per share. No offer-for-sale (OFS) component was included.
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Subscription Frenzy: The IPO was oversubscribed 101.42 times overall, with retail investors subscribing 44.77 times, NIIs 258.18 times, and QIBs 82.92 times.
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Grey Market Premium Outperformed: The stock’s debut exceeded grey market expectations, which had hinted at a listing around ₹151 per share.
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Use of Proceeds: Funds raised will be used to set up a new manufacturing facility, repay borrowings, and for general corporate purposes. The company aims to capitalize on rising demand, especially in the electric vehicle and defence segments.
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Financial Performance: For FY25, Patil Automation reported revenue of ₹122 crore and a net profit of ₹11.7 crore, with a PAT margin of 9.91% and ROE of 27.28%.
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Industry Focus: The company serves automotive OEMs, Tier I suppliers, and component manufacturers, offering advanced automation solutions including robotic welding systems, assembly lines, and AI-based inspection systems.
Market Impact
Patil Automation’s stellar debut not only rewarded IPO investors handsomely—yielding profits of up to ₹42,000 per lot—but also underscored the strong appetite for quality SME listings in India’s capital markets. The company’s focus on automation for high-growth sectors like EVs and defence positions it well for future expansion.
"The capital raised will be deployed towards setting up a new manufacturing facility, enabling us to meet rising demand, especially in the electric vehicle segment and defence. It will provide financial flexibility to support future growth."
— Manoj Patil, Managing Director
Source: Moneycontrol, Business Standard, Economic Times, Upstox
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