The dynamic Indian IPO landscape continues to present new avenues for investors, and the upcoming Suntech Infra Solutions Ltd IPO is set to capture significant attention. As an SME (Small and Medium Enterprise) IPO, it offers a distinct opportunity for those looking to invest in growing companies within the infrastructure sector. This article is designed to provide general consumers, industry experts, and potential investors with a clear and comprehensive guide to this offering.
We will delve into the essential details of the Suntech Infra Solutions Ltd IPO, its Shariah compliance status, the expected subscription trends once it opens, and insights into its Grey Market Premium (GMP). Understanding these critical facets is key to making an informed investment decision as this IPO approaches.
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About Suntech Infra Solutions Ltd: Building the Future of Infrastructure
Suntech Infra Solutions Ltd (referred to by its IPO symbol, SUNTECH) operates in the vital infrastructure sector. The company is primarily involved in the business of providing comprehensive infrastructure solutions. This typically includes a range of services from civil construction work, real estate development, to possibly other related infrastructure projects. Their focus is on delivering quality and timely execution for various development initiatives.
With a commitment to contributing to India’s growing infrastructure needs, Suntech Infra Solutions Ltd aims to leverage its expertise and experience in executing projects, positioning itself as a reliable partner in the development space.
Suntech Infra Solutions IPO Snapshot: Key Details You Need to Know
The Suntech Infra Solutions Ltd IPO is an NSE SME issue. Here are its essential details, based on the tentative schedule:
- IPO Open Date: Wednesday, June 25, 2025
- IPO Close Date: Friday, June 27, 2025
- Issue Price Band: ₹81 to ₹86 per equity share
- Face Value: ₹10 per share
- Sale Type: Fresh Capital-cum-Offer for Sale
- Total Issue Size: 51,61,600 shares (aggregating up to ₹44.39 Crore)
- Fresh Issue (Ex Market Maker): 37,15,200 shares (aggregating up to ₹31.95 Crore)
- Offer for Sale (Ex Market Maker): 11,87,200 shares (aggregating up to ₹10.21 Crore)
- Net Offered to Public: 49,02,400 shares (aggregating up to ₹42.16 Crore)
- Reserved for Market Maker: 2,59,200 shares (aggregating up to ₹2.23 Crore)
- Minimum Lot Size for Retail: 1600 Shares (Amount: ₹1,37,600 at upper price band)
- Listing At: NSE SME
- Tentative Allotment: Monday, June 30, 2025
- Tentative Listing Date: Wednesday, July 2, 2025
- Cut-off time for UPI mandate confirmation: 5 PM on June 27, 2025
(Source: Chittorgarh IPO Details – Suntech Infra Solutions)
Crucial Insight: Shariah Status of Suntech Infra Solutions Ltd IPO
For investors who prioritize ethical and Shariah-compliant investments, assessing a company’s adherence to Islamic finance principles is fundamental. Shariah law prohibits investments in businesses involved in certain non-permissible activities and mandates adherence to specific financial ratios, especially concerning interest-bearing debt.
Based on our detailed screening, Suntech Infra Solutions Ltd’s IPO has been assessed for its Shariah compliance:
As indicated by the screening, the company is categorized as “Non-Shariah Compliant.” The primary reason for non-compliance highlighted is “Interest-bearing debt to total assets” at 45.3%, which is marked as “FAIL.” This ratio exceeds generally accepted Shariah screening thresholds (33%) for interest-bearing debt.
Additionally, the screening notes provide further context:
These notes clarify that “The 548.51 lakh loan from director/ related partie is interest free.” While this specific loan is interest-free, the overall interest-bearing debt to total assets ratio remains above the Shariah threshold, leading to the “Non-Shariah Compliant” status. This is a critical factor for users of platforms like our app, IslamicStock, who rely on such detailed screenings for ethical investing.
Understanding IPO Subscription Status
The subscription status of an IPO provides a real-time indication of the demand for the shares across different investor categories: Qualified Institutional Buyers (QIBs), Non-Institutional Investors (NIIs), and Retail Individual Investors (RIIs). Since the Suntech Infra Solutions Ltd IPO opens on June 25, 2025, its live subscription data will become available then.
Monitoring the live subscription data (which will be updated on platforms like Chittorgarh) helps gauge market sentiment and potential listing performance. High subscription rates, especially from QIBs, often signal confidence in the company’s prospects. Investors can track the daily updates once the bidding period begins.
Grey Market Premium (GMP) Insights
The Grey Market Premium (GMP) is an unofficial, speculative price at which IPO shares trade before their official listing. It acts as an early, unofficial indicator of market sentiment, reflecting the premium (or discount) over the IPO’s issue price that investors are willing to pay in the unofficial market.
For the Suntech Infra Solutions Ltd IPO, the current GMP is:
- Suntech Infra Solutions IPO GMP Today (June 24, 2025): ₹23
- Expected Listing Price (Upper Band + GMP): ₹86 (Upper Price Band) + ₹23 (GMP) = ₹109
- Expected % Gain/Loss: (₹23 / ₹86) * 100% = 26.74%
Important Note: GMP is not an official indicator. It is highly speculative, unregulated, and can change drastically based on market news, sentiment, and other factors. It should only be used as a very rough guide and not as a guarantee of listing performance. Investors should always base their decisions on thorough research of the company’s fundamentals, financials, and the overall market.
Making an Informed Investment Decision
Investing in an upcoming IPO requires careful consideration. For the Suntech Infra Solutions Ltd IPO, potential investors should review several factors:
- Company Fundamentals: Thoroughly evaluate SUNTECH’s business model, financial performance, growth strategies, and competitive landscape.
- Industry Outlook: Assess the prospects of the infrastructure solutions sector.
- IPO Valuations: Assess if the IPO price band offers a reasonable valuation compared to its peers.
- Risk Factors: Understand the specific risks detailed in the company’s Red Herring Prospectus (RHP).
- Shariah Compliance: For investors strictly adhering to Shariah principles, the “Non-Shariah Compliant” status due to interest-bearing debt is a crucial factor to consider.
Disclaimer
This article is for informational and educational purposes only and should not be considered financial advice. IPO investments carry inherent risks, and there is no guarantee of returns. Readers are strongly encouraged to conduct their own due diligence, consult with a SEBI-registered financial advisor, and carefully read the Red Herring Prospectus (RHP) before making any investment decisions. The information on Shariah compliance is based on the provided screening and common interpretations of Islamic finance principles.
To learn more about IPOs, detailed company analyses, and Shariah-compliant investment options, visit our website at IslamicStock Website, explore insightful articles on our blog at IslamicStock Blog, and download our application, IslamicStock, for in-depth screenings and investment guidance.