Drone manufacturer ideaForge Technology IPO has received positive response from primary market investors. ideaForge has launched IPO today to raise Rs 567 crore in price band of Rs 638-672. The company has already raised Rs 255 crore from anchor investors, before IPO was launched. IPO market is currently witnessed strong investor interest and we can expect ideaForge to list positively, based on the interest primary markets have shown in the IPO.

By afternoon on launch day, the IPO was fully subscribed. Retail investors have already oversubscribed by 9 times for the public issue of drone manufacturer.

As per exchange data, ideaForge Technology received bids for 1.14 crore equity shares against 46.4 lakh shares the company is planning to sell during IPO. As per company plans, 10 percent of the shares will be allocated to retail investors, 75 percent to qualified institutional buyers and 15 percent for high net-worth individuals. For HNI portion, the company has received 2.8 times the allocated shares for sale.

Qualified institutional buyers have still not placed enough bids for the IPO. It is quite possible that QIBs will kick in during the last day of the issue. IdeaForge has plans to use the proceeds from the IPO for repaying debts, meeting working capital requirements and R&D for future drones.

The company was started in 2007 by IIT-Bombay engineers Ankit Mehta, Rahul Singh, Ashish Bhat with Vipul Joshi. The company is maintaining the leadership position in the Indian unmanned aircraft systems (UAV) market with 50 percent market share.