Poojaa Precision Engg IPO Day 1: Issue Subscribed 2.25x, GMP Signals 86% Listing Premium

Poojaa Precision Engg IPO Day 1: Issue Subscribed 2.25x, GMP Signals 86% Listing Premium

The Poojaa Precision Engg IPO opened for subscription on 28 July 2026 and received a strong response from investors on the very first day. The issue was subscribed 2.25 times by midday, while the Grey Market Premium (GMP) continued to strengthen, indicating expectations of a strong listing.

The company plans to utilize the IPO proceeds to expand its manufacturing capacity and strengthen its presence in precision engineering and lightweight automotive components.

Poojaa Precision Engg IPO Snapshot

• IPO Open Date: 28 July 2026
• IPO Close Date: 30 July 2026
• Price Band: ₹285 – ₹301 per share
• Face Value: ₹10 per share
• Issue Size: ₹159.83 Crore
• Lot Size: 400 Shares
• Book Running Lead Manager: Hem Securities Ltd.
• Registrar: MUFG Intime India Pvt. Ltd.
• Market Maker: Hem Finlease Pvt. Ltd.

Day 1 Subscription Status

The IPO witnessed healthy investor participation on the opening day.

• Overall Subscription: 2.25x
• Retail Category: 3.69x
• NII Category: 2.02x
• Employee Category: 13%

As of 11:29 AM, bids were received for 79.81 lakh shares against 35.44 lakh shares on offer.

Latest Grey Market Premium (GMP)

The Grey Market Premium remained exceptionally strong.

• Current GMP: ₹260
• Upper Price Band: ₹301
• Estimated Listing Price: ₹561
• Estimated Listing Gain: 86.38%

Over the last six trading sessions, the GMP has ranged between ₹195 and ₹260, indicating continued positive sentiment toward the IPO.

“**Note:** Grey Market Premium (GMP) is an unofficial market indicator and should not be considered a guarantee of listing performance.”

About the Company

Established in 1992, Poojaa Precision Engg. manufactures high-quality aluminium and precision-machined components for multiple industries.

Its products serve

• Automotive Industry
• Electric Vehicle (EV) Manufacturers
• Industrial Engineering Companies

The company manufactures components such as

• Cylinder Heads
• Intake Manifolds
• EGR Housings
• Clutch Housings
• Transmission Housings
• EV Powertrain Components

The diversified product portfolio positions the company to benefit from both traditional automotive and electric mobility growth.

Financial Performance

The company reported a strong financial performance during FY2025-26.

Revenue from Operations

• ₹293.86 Crore

EBITDA

• ₹51.78 Crore

EBITDA Margin

• 17.62%

Profit After Tax (PAT)

• ₹30.90 Crore

PAT Margin

• 10.52%

Net Worth

• ₹131.16 Crore

Return Ratios

• ROE: 28.18%
• ROCE: 26.38%

The financials indicate healthy profitability, efficient capital utilization, and strong operational performance.

Use of IPO Proceeds

The company plans to utilize the IPO proceeds for expansion initiatives.

Key objectives include

• Development of Unit III
• Addition of 15,000 MTPA melting capacity
• Addition of 6,600 MTPA component manufacturing capacity
• Establishment of Unit IV
• Entry into precision magnesium component manufacturing
• Expansion of production capabilities

These investments are expected to support future growth and diversify the company's engineering portfolio.

Current Manufacturing Capacity

At present, the company has

• Melting Capacity: Approximately 13,800 MTPA
• Component Manufacturing Capacity: Approximately 6,000 MTPA

The planned expansion will significantly enhance production capacity over the coming years.

Key Highlights

• IPO subscribed 2.25x on Day 1
• Retail portion subscribed 3.69x
• GMP at ₹260
• Estimated listing gain of 86.38%
• Strong profitability and healthy margins
• ROE above 28%
• Expansion into magnesium components
• Growing exposure to the EV sector

Key Risks

Investors should continue monitoring

• IPO subscription trends
• Grey Market Premium movement
• Listing market conditions
• Raw material prices
• Automotive industry demand
• EV sector growth
• Execution of expansion projects

What Investors Should Watch

Before the IPO closes, investors should closely monitor

• Day 2 and Day 3 subscription figures
• Institutional investor participation
• GMP trend
• Final allotment data
• Listing day demand
• Long-term growth strategy
• Capacity expansion progress

These factors will provide a clearer picture of the IPO's potential listing performance.

Final Thoughts

Poojaa Precision Engg IPO has started on a strong note, attracting healthy investor demand on Day 1 while the Grey Market Premium continues to indicate robust listing expectations. Backed by strong financial performance, expanding manufacturing capacity, and growing exposure to both automotive and EV segments, the company presents an interesting opportunity for investors. However, investment decisions should be based on detailed analysis of the company's fundamentals, valuation, and overall market conditions rather than GMP alone.

Question for Investors

Do you believe Poojaa Precision Engg IPO can deliver a strong listing performance?

• Yes — Strong fundamentals and high GMP
• Maybe — Waiting for subscription trends
• No — Valuation looks expensive
• Watching after listing

Share your views in the comments.

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Disclaimer

This article is published solely for educational and informational purposes and should not be considered investment advice, financial advice, or a recommendation to buy, sell, or hold any security. TrendRipperX is not registered with SEBI as an Investment Adviser or Research Analyst. Investors should conduct their own research and consult a SEBI-registered financial advisor before making any investment decisions.