Msafe Equipments IPO Subscribed 81x on Final Day, GMP at 21%

Introduction to Msafe Equipments IPO

The initial public offering (IPO) of Msafe Equipments, a manufacturer of height-safety equipment, concluded on Friday, January 30, 2026, with an exceptional response from investors. The issue was oversubscribed approximately 81 times, reflecting strong market appetite for the company's shares. The robust demand was consistent across all investor categories, including Non-Institutional Investors (NIIs), retail investors, and Qualified Institutional Buyers (QIBs).

Overwhelming Subscription Figures

By the final day of bidding, the IPO had garnered bids for around 284.92 million shares against the 3.87 million shares on offer, according to BSE data. The Non-Institutional Investors (NIIs) category led the demand, with a subscription of over 115 times its allotted quota. The retail investors' portion was also heavily subscribed at 66.7 times, while the Qualified Institutional Buyers (QIBs) segment was booked 41.85 times. This widespread interest underscores significant investor confidence in the company's business model and growth prospects.

Grey Market Premium Signals Strong Listing

The grey market, an unofficial platform for trading IPO shares before listing, indicated a strong premium for Msafe Equipments. Shares were trading at ₹149, a premium of ₹26 or 21% over the upper price band of ₹123 per share. This Grey Market Premium (GMP) suggests that the market anticipates a healthy listing gain when the shares debut on the stock exchange.

IPO Structure and Offer Details

The Noida-based company aimed to raise ₹66.42 crore through its public offering. The issue comprised a fresh issue of 4.4 million equity shares, intended to raise ₹54.12 crore, and an offer-for-sale (OFS) of 1 million shares, valued at ₹12.30 crore. The price band for the issue was set at ₹116 to ₹123 per share, with a minimum lot size of 1,000 shares.

Utilization of Net Proceeds

Msafe Equipments has outlined a clear plan for the capital raised through the fresh issue. According to its Red Herring Prospectus (RHP), the company intends to allocate the funds for key strategic initiatives. A significant portion, ₹32.26 crore, will be used to establish a new manufacturing facility to expand production capacity. Another ₹6 crore is earmarked for manufacturing equipment for its rental business, and ₹8 crore will be directed towards meeting working capital requirements. The remaining funds will be used for general corporate purposes.

Company Profile and Financial Health

Msafe Equipments Limited is engaged in the manufacturing, sales, and rental of access and height-safety equipment, including aluminium scaffolding, MS scaffolding, and various types of ladders. The company operates three manufacturing units in Greater Noida, Uttar Pradesh, and maintains a robust distribution network with 17 warehouses across states like Maharashtra, Karnataka, Tamil Nadu, and Gujarat. This pan-India presence allows it to serve a diversified customer base across sectors such as construction, fire safety, warehousing, and electrical works.

The company's financial performance has shown consistent growth. For the fiscal year ended March 31, 2025, Msafe Equipments reported a total income of ₹71.62 crore and a profit after tax (PAT) of ₹13.01 crore. This was a substantial increase from the previous fiscal year, where total income stood at ₹48.34 crore and PAT was ₹6.55 crore.

Key Dates and Listing Information

With the subscription window now closed, investors are looking forward to the next steps. The basis of allotment for the IPO is expected to be finalized on Monday, February 2, 2026. Refunds for unsuccessful applicants and the credit of shares to the demat accounts of successful bidders are scheduled for Tuesday, February 3, 2026. The shares of Msafe Equipments are tentatively scheduled to be listed on the BSE SME platform on Wednesday, February 4, 2026.

Conclusion

The highly successful IPO of Msafe Equipments, marked by an 81x oversubscription and a positive grey market premium, highlights strong investor interest in its specialized business segment. The capital raised is set to fuel the company's expansion plans, including a new manufacturing facility and enhanced rental offerings. All eyes will now be on its stock market debut, scheduled for early February, to see if the listing performance matches the high expectations set during the subscription period.