Market open: Sensex climbs 100 points, Nifty above 10,900

At 9.28 am, the BSE Sensex was trading 90.99 points higher at 35,602.57. The index hit a all-time high of 35,664 in morning trade. Nifty too hit a record high of 10,906.85. The was trading 0.72 per cent higher at 10,894.70.

Shares of Apollo Micro Systems made a strong debut on Monday as the scrip got listed at Rs 478, a 73.82 per cent premium over its issue price of Rs 275.

Apollo Micro Systems is an electronic system and design manufacturing (EDSM) company and supplies hardware used in defence avionics systems, aerospace, missiles, naval systems, satellite space systems and homeland security.

India’s EDSM industry is worth around $100 billion and is expected to reach $228 billion by 2020. Sectors like this generally have stretched working capital cycles and can only be long-term buys, analysts noted.

The IPO, which ran from January 10 to January 12, had got a strong response from investors, with the QIB quota seeing 102 times subscription, while the HNI quota was subscribed 958 times, the retail investor 40 times and the shaes reserved for employees 16.03 times. In total, the issue was subscribed 248.51 times.

The company reported a 54.2 per cent increase in profit on a 43 per cent rise in sales, compounded annually, over FY2014-17. The company plans to use the proceeds of the Rs 156 crore issue to meet additional working capital and other general corporate purposes.

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