Lucknow/Mumbai: Shares of Safety Controls & Devices made a positive debut on the BSE SME platform on Monday, listing at ₹83 per share—marking a 3.75% premium over its initial public offering (IPO) price of ₹80—despite a broader market downturn.
The listing surpassed expectations indicated by the grey market premium (GMP), which stood at ₹0 ahead of the debut, suggesting a flat listing. The stock’s performance stood out on a day when benchmark indices faced heavy selling pressure.
Weak Market Overshadowed by Global Concerns
Indian equities witnessed a sharp decline amid global uncertainty triggered by stalled peace talks between the United States and Iran, leading to a spike in crude oil prices. The BSE Sensex plunged 1,682 points or 2.1% to close at 75,868.32, while the Nifty 50 dropped 495 points or 2% to settle at 23,555.60.
Moderate Subscription Led by Strong NII Interest
The ₹48 crore IPO of Safety Controls & Devices received an overall subscription of 1.23 times during its bidding period from April 6 to April 8.
The Non-Institutional Investors (NII) segment showed robust demand, subscribing 2.78 times the allocated quota. Meanwhile, the Qualified Institutional Buyers (QIBs) category was subscribed 1.20 times, and Retail Individual Investors (RIIs) participation remained relatively muted at 0.74 times.
In total, the issue garnered bids for 72.48 lakh shares against 56.96 lakh shares on offer.
IPO Structure and Utilisation of Funds
The public issue, entirely comprising a fresh issue of 60 lakh equity shares, was launched via the book-building route with a price band of ₹75 to ₹80 per share. There was no offer-for-sale (OFS) component.
The company intends to utilise the proceeds for repayment of borrowings, meeting working capital requirements, and general corporate purposes. Investors could apply in lots of 1,600 shares, with the minimum investment for retail participants set at ₹2.56 lakh at the upper price band.
Company Profile
Headquartered in Lucknow, Safety Controls & Devices operates as an engineering, procurement, and construction (EPC) company. Its business spans substations, solar power projects, firefighting systems, and hospital infrastructure development, particularly for government agencies including the Ministry of AYUSH.
The firm serves both conventional and renewable energy sectors, positioning itself as a full-service engineering solutions provider.
Sobhagya Capital Options acted as the book-running lead manager for the issue, while Maashitla Securities served as the registrar.
Despite challenging market conditions, the company’s listing performance reflects cautious investor optimism, particularly in niche infrastructure and EPC segments.
