Mangal Compusolution Limited debuted on the stock exchange with its shares listing at the IPO price of ₹45, showing no immediate premium or discount for investors. The IPO, which closed for subscription between November 12 and November 14, garnered immense interest, with an oversubscription rate of 34.6 times.

IPO Details and Subscription Performance

The IPO, amounting to ₹16.2 crore, was entirely a fresh issue of 36.06 lakh equity shares. It received remarkable traction across investor categories:

• Retail Institutional Investors (RIIs): 46.9 times subscribed
• Non-Institutional Investors (NIIs): 22.3 times subscribed

The IPO allotment was finalized on November 18, 2024, with Jawa Capital Services acting as the lead manager and Kfin Technologies handling the registrar responsibilities. Additionally, Rikhav Securities served as the market maker for the issue.

Utilization of IPO Funds

The proceeds from the IPO are earmarked for capital expenditure and general corporate purposes, aiming to support the company's operational expansion and financial needs.

About Mangal Compusolution

Founded in 2011, Mangal Compusolution specializes in IT hardware rental solutions, catering to businesses across various industries. Its service portfolio includes:

• Hardware Rentals: Laptops, desktops, servers, projectors, routers
• IT Peripherals: Various high-end technical equipment

While the company primarily operates in Maharashtra, its business footprint extends pan-India, serving diverse sectors.

Financial Overview

The company reported a challenging financial year:

• Revenue Decline: Dropped 32.7% from the previous year, amounting to ₹23.4 crore in FY23-24.
• Profit After Tax (PAT): Decreased by 45.2% to ₹3.9 crore during the same period.

Despite this downturn, the successful IPO reflects market optimism about the company's potential growth trajectory.

Promoter Details

The company is promoted by industry veterans, including:

• Hardik Meghraj Jain
• Neeta Mukesh Desai
• Pathik Mukesh Desai
• Mukesh Khandubhai Desai
• Binny Pathik

Growth Potential and Market Outlook

Mangal Compusolution operates in the growing IT hardware rental sector, a niche market poised for expansion as businesses increasingly prioritize cost-effective solutions. However, the company's recent financial performance, marked by declining revenues and profits, raises concerns about its ability to scale in a competitive environment.

Investor Considerations:

• Neutral Listing: The flat listing suggests cautious investor sentiment despite robust subscription rates.
• Future Growth: The company’s ability to rebound from its financial setbacks and leverage IPO proceeds will be critical to long-term success.

Mangal Compusolution’s IPO marks a significant milestone in its journey, but its operational and financial metrics will require close monitoring.

The Upcoming IPOs in this week and coming weeks are C2C Advanced System, Enviro Infra, Rajesh Power Services, Rajputana Biodiesel, Rosmerta Digital, Avanse Financial and Nisus Finance.

The Current active IPO is NTPC Green Energy and Lomosaic India.

For more insights into financial trends , visit our Top News Headlines. You can also explore investment opportunities in the market and apply for upcoming IPOs through our Best IPO to Apply Now section.