ASK Automotive IPO: A Comprehensive Overview

About ASK Automotive

ASK Automotive, a leading manufacturer of automotive powertrains, made a stellar debut on the Indian stock market with its initial public offering (IPO). The issue was oversubscribed 1.34 times on Day 2, indicating strong investor interest in the companys growth prospects.

ASK Automotive IPO: Key Details

Issue Type: Book Building Issue Price: ₹268 - ₹282 per share Face Value: ₹2 per share Fresh Issue Size: ₹834 crore Offer for Sale Size: ₹0 crore Market Lot: 53 shares Listing Date: November 9, 2023

ASK Automotive IPO: GMP (Grey Market Premium)

The grey market premium (GMP) is an indicator of the demand for a stock before it gets listed on the stock exchange. ASK Automotives GMP stood at a positive ₹50 on Day 2, indicating that investors were willing to pay a premium of ₹50 per share above the issue price.

ASK Automotive IPO: Subscription Status on Day 2

ASK Automotives IPO witnessed strong subscription on Day 2, with the issue being subscribed 1.34 times. The retail investor portion was fully subscribed 1.68 times, while the NII portion was subscribed 2.27 times. The QIB portion was subscribed 6%.

ASK Automotive IPO: Financial Highlights

ASK Automotive has a strong financial track record, with revenue growing at a CAGR of 20% over the past three years. The companys profitability has also been improving, with its EBITDA margin expanding from 10% to 15% over the same period.

ASK Automotive IPO: Strengths

Strong market position in the automotive powertrain segment. Diversified customer base. Experienced management team. Strong track record of growth and profitability.

ASK Automotive IPO: Weaknesses

Reliance on the automotive industry, which is cyclical in nature. Exposure to rising raw material costs. Competition from larger and established players

ASK Automotive IPO: Review and Conclusion

ASK Automotives IPO is a promising investment opportunity for those seeking exposure to the growing automotive powertrain segment. The companys strong financial performance, experienced management team, and diversified customer base make it a compelling investment proposition. However, investors should also consider the companys exposure to the cyclical automotive industry and rising raw material costs.

Disclaimer

This slide-wise web story content is for informational purposes only and should not be considered as investment advice. Please consult with a qualified financial advisor before making any investment decisions.