PAN HR Solutions SME IPO Enters Final Subscription Day
The initial public offering (IPO) of PAN HR Solutions Limited, a human resource services provider, is now in its final subscription phase. The public issue opened for bidding on Thursday, February 6, 2025, and is scheduled to close tomorrow, Tuesday, February 10, 2025. This marks a crucial period for investors looking to participate in this small and medium enterprise (SME) segment offering.
IPO Price Band and Fundraising Objectives
The company has set a price band of ₹74 to ₹78 per equity share for its maiden public offering. Through this SME IPO, PAN HR Solutions aims to raise a total of ₹17.04 crore. The issue structure comprises a combination of a fresh issue and an offer for sale (OFS). Specifically, the fresh issue component involves 18 lakh shares aggregating to ₹14 crore, while the offer for sale consists of 4 lakh shares worth ₹3 crore.
The net proceeds from the fresh issue are earmarked for specific corporate purposes. A significant portion, approximately ₹9.75 crore, is allocated to meet the company's working capital requirements. The remaining funds will be utilized for the pre-payment or repayment of certain outstanding borrowings, alongside general corporate purposes to support business growth and operational efficiency.
Subscription Status and Investor Categories
As of 4:40 PM on the second day of the subscription period, the IPO was subscribed 1.48 times overall. The breakdown across investor categories reveals varied interest levels. The retail individual investor (RII) portion was subscribed 0.71 times, indicating moderate retail participation. The non-institutional investor (NII) segment saw 0.57 times subscription.
In contrast, the qualified institutional buyer (QIB) portion received stronger demand, being subscribed 3.2 times. In total, the company has received bids for 18.76 lakh shares against the 12.67 lakh shares on offer, reflecting the cumulative investor appetite as the subscription window nears its end.
Grey Market Premium and Listing Timeline
Investor sentiment, as gauged by the grey market premium (GMP), appears muted. On February 9, 2025, the GMP for PAN HR Solutions was reported at ₹0. The grey market premium is an unofficial indicator of investor willingness to pay above the issue price. A GMP of ₹0 suggests the stock is expected to list at or around the IPO price, with no significant premium anticipated in the unofficial market.
The IPO allotment is tentatively scheduled for Wednesday, February 11, 2025. Successful applicants are likely to receive their shares in demat accounts by Thursday, February 12, 2025. Refunds for non-allottees will also be initiated on the same day. The stock is expected to make its debut on the BSE SME platform, with a tentative listing date set for Thursday, February 13, 2025.
Anchor Investment and Key Issue Managers
Ahead of the public subscription opening, PAN HR Solutions secured ₹4.19 crore from anchor investors on February 5, 2025. This pre-IPO placement helps in building initial confidence and securing committed capital from institutional players prior to the general public offering.
The book running lead manager for the issue is Marwadi Chandarana Intermediaries Brokers, responsible for overseeing the offering process. Maashitla Securities acts as the registrar, handling application and allotment procedures. Additionally, Giriraj Stock Broking has been appointed as the market maker for the company, tasked with ensuring liquidity and two-way quotes in the stock post-listing.
Investment Details and Company Profile
For retail investors, the lot size is set at 1,600 shares. At the upper end of the price band (₹78 per share), this translates to a minimum investment of ₹1,24,800 per lot. However, the retail investment requirement is typically for a minimum of two lots, meaning the effective minimum application amount would be ₹2,49,600 for 3,200 shares.
PAN HR Solutions, incorporated in 2015, operates as a comprehensive human resource services provider. The company offers a wide array of HR solutions, including staffing services, payroll management, facility management, compliance audits, and e-commerce logistics support. Operating on a business-to-business (B2B) model, it delivers end-to-end manpower solutions across various industries, catering to roles ranging from unskilled to skilled blue-collar workers.
The company positions itself as a one-stop service provider, offering integrated HR solutions that encompass recruitment, staffing, payroll administration, compliance management, and facility services. This diversified service portfolio aims to address the multifaceted HR needs of corporate clients in a streamlined manner.
