Denta Water IPO: Issue Fully Subscribed In Less Than 1 Hour Of Opening; Check Latest GMP; Should You Bid?

Denta Water IPO: The Rs 220.50 crore worth IPO is fully subscribed in less than 1 hour of its opening on Wednesday, January 22. At the time of writing, Denta IPO was subscribed by 2.72x against its offered size. Notably, Denta raised about Rs 66.15 crore from anchor investors prior to the mainboard IPO. The latest grey market premium (GMP) of Denta signalled at over 56% premium listing on BSE and NSE.

Denta Water IPO Subscription Status:

At the time of writing, till 10:51 am, the IPO had subscribed by 2.72x, with strong buying from non-institutional investors and retail individual investors. At around 11:06 am, the issue was subscribed by 3.32 times with bids of 1,74,48,050 equity shares, compared to offered size of 52,50,000 equity shares.

The portion of Non Institutional Investors (NII) oversubscribed by 5.24x, while the retail investors category subscribed by 4.40x. However, there was dull demand from qualified institutional buyers.

Denta Water IPO GMP Today:

As per Investor Grain data, Denta Water IPO last GMP is Rs 165, last updated Jan 22nd 2025 08:57 AM. With the price band of 294.00, Denta Water IPO's estimated listing price is Rs 459 (cap price + today's GMP). The expected percentage gain/loss per share is 56.12%.

Denta Water IPO Price Band:

The IPO opened on January 22, and will close for bidding on January 24. The 100% book building has a price band of Rs 279 to Rs 294 per share.

Denta Water IPO Details:

The proceeds from its fresh issuance will be utilised for (i) meeting working capital requirements of the Company, and General corporate purposes, subject to the applicable laws.

After the IPO, the basis of allotment of Denta Water is expected to take place on January 27, while refunds or credit of shares are expected on January 28. Further, a listing of Denta Water is expected on January 29.

Should You Subscribe to The IPO?

In its IPO note, Geojit said, "At the upper price band of ₹294, Denta is available at a P/E of 16.2 (FY25 Annualised), which is at a discount compared to its listed peers. The company's focus on water management projects and growing market opportunities present significant prospects for the company's future growth. With a robust order pipeline and consistent financial performance featuring industry-leading margins, the company is set for future success. We recommend subscribing to this issue for short- to medium term investment."

Also, SBI Securities note said, "The company is valued at FY24 P/E and EV/EBITDA multiple of 13.1x/9.8 at post-issue capital of upper price band. The company's Revenue/EBITDA/PAT achieved CAGR of 41.3%/23.6%/24.8% to Rs 239 cr/Rs 79 cr/Rs 60 cr during FY22-FY24 period. The industry forecast indicates healthy growth for the Indian Water and Wastewater treatment market which is projected to expand at a CAGR of 6.2% for the CY24E-CY30E period. We recommend the investors to subscribe the issue."

Denta Water and Infra Solutions Ltd. (DWISL) specializes in the design, installation, and commissioning of water management projects, with a primary focus on groundwater recharge solutions. Established in 2016 and based in Bangalore, Karnataka, DWISL also undertakes construction projects within the railway and highway sectors, leveraging its expertise to deliver high-quality infrastructure solutions.