Telangana-based Sumex Engineering's initial public offering demonstrated exceptional investor demand, achieving 167.18 times oversubscription on the final bidding day of August 28. According to reports from Moneycontrol, the IPO witnessed intense bidding activity in the final session, with total subscriptions jumping from 35.65x at 11:15 AM to 167.18x by market close. The company is raising ₹53.4 crore through the initial share sale of 52.87 lakh shares at the upper end of the price band of ₹95–101 per share. Investors placed bids for 58.44 crore shares over the four-day bidding period from August 25 to 28, against the offer size of 38.52 lakh shares through 1.37 lakh applications.
Non-institutional investors led the subscription with the highest demand, bidding 319.82 times their allotted quota, as reported by Moneycontrol. The retail investor portion was subscribed 167.18 times, while the qualified institutional buyer segment remained unsubscribed at 0.00x throughout the bidding period. The IPO comprises a fresh issue of 42.91 lakh shares, while promoters are offloading 9.96 lakh shares through an offer for sale (OFS). The subscription pattern showed significant improvement across all categories, with QIB participation increasing from 0.00x on Day 1 to 113.29x by Day 4, while retail demand strengthened from 5.54x to 167.18x over the same period. According to latest reports, NII (bHNI) jumped 83.2% intra-day to 23.36x on Day 3, while QIBs entered with 2.22x subscription on the final day.
Sumex Engineering reported strong financial performance with revenue from operations of ₹147.69 crore in FY2026, representing growth from ₹130.79 crore in FY2024 and ₹146.13 crore in FY2025. The company's profitability improved significantly, with total profit rising from ₹7.43 crore in FY2024 to ₹12.76 crore in FY2026. As reported by Moneycontrol, total equity increased from ₹38.87 crore in FY2024 to ₹61.62 crore in FY2026, indicating strengthened financial position. The company serves automotive manufacturers and the aftermarket industry globally, with operations in countries like Thailand, South Korea, and the USA, and is managed by MD Sudeep Mehta and CEO Smriti Mehta.
According to market observers, Sumex Engineering shares were trading at around 35 percent premium in the grey market, indicating strong investor confidence ahead of listing. As reported by Moneycontrol, the company is expected to finalise the IPO share allotment by August 31, while trading in its equity shares is likely to commence on the NSE Emerge platform on September 2. The grey market serves as an unofficial market for trading in IPO shares before their listing on stock exchanges.
With two existing manufacturing facilities in Tamil Nadu and Haryana, Sumex Engineering manufactures and trades in products tailored for the automotive industry, including adhesive tapes and die-cuts, rubbing and polishing compounds, buffing pads, reflective tapes and printing solutions, domes and graphics, as well as car care products. According to Moneycontrol, the company intends to set up two additional manufacturing facilities in Rajasthan and Haryana using the IPO proceeds. Of the net fresh issue proceeds, ₹4.88 crore will be utilised for the construction of a manufacturing unit in Rajasthan, while ₹16.62 crore will be used for the construction of a unit in Haryana.
