Data Patterns Makes Blockbuster Market Debut, Lists At Premium Of Nearly 50%

Data Patterns shares made a blockbuster stock market debut on Friday. The stock opened for trading at Rs 856 on the National Stock Exchange, marking an upside of 46 per cent from its issue price of Rs 585 per share. On the BSE, Data Patterns shares opened for trading at Rs 864, up 48 per cent from its IPO price.

Data Patterns shares were in very high demand during the three-day share sale via initial public offering which ended on December 16. The issue in total was subscribed 120 times with portion reserved for non institutional investors being subscribed 254 times. Portion set aside for Qualified Institutional Buyers (QIBs), which include financial institutions, insurance companies and foreign institutional investors, was subscribed 191 times and shares set aside for retail individual investors was booked 23 times.

Data Patterns sold shares in the price band of Rs 555-585 per share and the company raised Rs 588 crore from the IPO which consisted of an offer for sale of Rs 348.22 crore and fresh issue of Rs 240 crore.

The company will use proceeds from the IPO for prepayment or repayment of all or a portion of certain outstanding borrowings availed by the company, funding working capital requirements of the company, upgrading and expanding company’s existing facilities at Chennai and for general corporate purposes.

A retail investor was allowed to place bid for minimum one lot of 25 shares up to maximum of 13 lots

IIFL Securities and JM Financial Consultants were the book running lead managers while Link Intime India Private Ltd was the registrar to the issue.

Data Patterns is a defense and aerospace electronics solutions provider catering to the indigenously developed defense products industry. The company offers products to the entire spectrum of defense and aerospace platforms - space, air, land, and sea.

The company's manufacturing facility consists of a 100,000 square feet factory built on 5.75 acres of land in Chennai, which has facilities for design, manufacturing, qualification, and life cycle support of high-reliability electronic systems used in defense and aerospace applications.