Aequs Ltd Soars on Debut: A Strong Start for India's Precision Manufacturing Champion

Aequs Limited, a leading player in India's precision engineering and manufacturing ecosystem, marked its presence on the bourses today, December 10, 2025, with a solid listing performance. The debut follows a highly successful Initial Public Offering (IPO) that saw exceptional demand from all investor classes.

Decent Listing Premium

The company's shares opened on the National Stock Exchange (NSE) and the Bombay Stock Exchange (BSE) at Rs 140 per share. This represents a respectable premium of 12.90 per cent over the upper end of its IPO price band, which was fixed at Rs 124 per equity share. While the listing premium was lower than some of the strong grey market expectations, it still reflects healthy investor confidence in the company's long-term growth story, particularly within the high-entry-barrier Aerospace sector.

IPO Subscription Details

The Rs 921.81 crore IPO, which included a fresh issue of Rs 670 crore and an Offer for Sale (OFS) of Rs 251.81 crore, was met with massive oversubscription. The public issue closed with an overall subscription of an astounding 101.63 times.

The overwhelming subscription across all segments underscores the perceived value of Aequs's integrated manufacturing capabilities and its strong relationships with global aerospace Original Equipment Manufacturers (OEMs).

Business Overview and Future Plans

Aequs is a vertically integrated precision manufacturing company, with the Aerospace Segment contributing the lion's share of its revenue (approximately 89 per cent in FY25). It supplies critical components across engine systems, landing systems, and aircraft structures for major global programmes like the Airbus A320 and Boeing B737.

The proceeds from the Fresh Issue will primarily be directed towards:

• Debt Reduction: Repaying or prepaying certain outstanding borrowings of the company and its subsidiaries (approx. Rs 433.17 crore). This is expected to strengthen its balance sheet and improve future profitability.
• Capital Expenditure: Funding the purchase of new machinery and equipment.
• Strategic Growth: Supporting potential acquisitions and other strategic initiatives.

Despite reporting net losses in the recent financial years (Rs 102.35 crore in FY25), analysts view the company's strong global customer base, high barriers to entry in precision manufacturing, and the planned use of IPO funds for debt reduction as key drivers for long-term value creation.

Disclaimer: The article is for informational purposes only and not investment advice.