Key Points
- Resourceful Automobile’s shares listed flat at Rs 117, matching the IPO price.
- The IPO was oversubscribed by 400 times, with bids for 40.76 crore shares.
- The stock’s debut didn’t meet the grey market premium expectations.
- Resourceful Automobile operates with only two outlets and a small team.
- This year’s SME IPOs have generally seen high subscriptions and strong early gains.
Looma News
Resourceful Automobile Limited had a pretty dull start on the BSE SME platform on August 29, despite huge investor excitement. The shares listed at the same Rs 117 issue price, falling short of the 89% premium seen in the grey market. This underwhelming debut is surprising given the IPO’s massive 400x oversubscription, with bids for a huge 40.76 crore shares against the 9.76 lakh available.
Founded in 2018, the company operates as “Sawhney Automobile” and runs just two showrooms in New Delhi. Even with its small size—only eight employees—Resourceful Automobile drew a lot of interest, mirroring the current trend in SME IPOs. This year has been quite active, with many small and medium enterprises seeing huge subscriptions and early gains. However, the gap between the grey market buzz and the actual listing shows that initial hype doesn’t always lead to immediate financial success.
