Kanohar Electricals stock: Two-day rally takes gain from IPO price to 40%, here's why 

Shares of recently listed Kanohar Electricals Ltd surged up to 18% today after Groww Mutual Fund bought 4.75 lakh shares or 0.6 percent stake in the power transformer maker for Rs 35.2 crore.

The shares were purchased at Rs 740.38 apiece. Taking into account the current session's gain, the electrical equipment stock has zoomed 40% in two days from its issue price of Rs 632 in two sessions. Shares of Kanohar Electricals rose 18% to Rs 885.65 in the current session. Market cap of the firm stood at Rs 6,647 crore.

On Wednesday, the stock made a tepid market debut. The stock rose 8.46% to its IPO price. It listed at Rs 685.50 per share on the NSE against the IPO price of Rs 632. The Rs 1,056-crore issue had a price band of Rs 601-632 per share.

On BSE, Kanohar Electricals stock listed at Rs 672.05 per share, a premium of 6.34 percent. The company's market capitalisation stood at Rs 5,321.75-crore.

The company finalised the basis of allotment of its equity shares on Friday, September 11. Investors applying for the issue could check the status of their applications on the websites of the registrar, NSE or BSE.

The initial public offering (IPO) of Kanohar Electricals received a strong response from investors during its three-day subscription window from September 8 to September 10. The issue had a lot size of 23 equity shares and in multiples thereafter.

The company raised Rs 1,056 crore through the IPO, which was subscribed 90.59 times overall. The issue attracted more than 49.23 lakh applications, with bids worth nearly Rs 66,950 crore.

Kanohar Electricals Limited is engaged in the manufacturing of transformers in India. The Company caters to industries such as power transmission, railways, renewable energy and power distribution.