The book-building process of IPOs is a cornerstone of modern equity markets, providing an efficient way to determine the right price for a company’s shares during its Initial Public Offering (IPO). Understanding this mechanism is key to making informed investment decisions for retail and institutional investors.
This comprehensive guide will delve into the book-building method, its benefits, advantages, and steps, helping you master the process for IPO investments.
What is Book Building in IPOs?
The term book building refers to the method by which companies price their shares for an IPO. Unlike the fixed-price method, book building IPOs allow market participants to bid for shares within a specified price range, called the price band. This process reflects real-time demand and helps issuers and underwriters set a fair market price.
Why is the Book Building Method Important for Price Discovery?
The book-building process of IPO plays a crucial role in price discovery by factoring in market demand and investor sentiment. It ensures that shares are neither overpriced nor underpriced, leading to potential losses for the issuing company.
Steps in the Book-Building Process
Determination of the Price Band
How Underwriters Set the Floor and Cap Prices
The Book Building Process steps begin with underwriters assessing the issuing company’s valuation, market conditions, and industry trends. They then set a price band with a lower (floor) and upper (cap) limit, providing investors with a range within which to bid.
Bidding by Investors
Institutional and Retail Investor Participation in Book Building
Both institutional and retail investors submit their bids, specifying the number of shares and the price they are willing to pay within the band. This phase often involves significant participation from qualified institutional buyers (QIBs), as they help gauge market demand.
Compilation of Bids and Price Discovery
Determining the Cut-Off Price Through Demand Analysis
Once bidding concludes, underwriters compile the bids and analyze demand at various price points. The cut-off price, or the final price at which shares are issued, is determined based on the highest demand within the price band.
Allocation of Shares
How Shares Are Distributed Based on Bids
After price discovery, shares are allocated to investors. Retail investors often receive shares at the cut-off price, while institutional buyers may have varying allotments based on their bid prices. The IPO allotment process is guided by SEBI regulations to ensure fairness.
Types of Book Building in IPOs
100% Book Building Process
Definition and Key Characteristics
In a 100% book-building IPO, the entire offering is priced using the book-building method, encouraging wide market participation. Both institutional and retail investors can bid within a set price range, helping determine the share price based on demand.
This process ensures efficient price discovery and makes the IPO allotment process transparent, as shares are allocated based on the strength of bids and overall demand.
75% Book Building Process
How It Differs From the 100% Method
In this method, 75% of the shares are priced through book building, where bids within a price range help set the price based on demand. The remaining 25% are offered at a fixed price, providing a simple option for some investors. This approach balances flexibility and simplicity, appealing to new and experienced investors.
It also encourages broader participation and ensures demand-driven pricing for listed IPOs, boosting their appeal and transparency.
Advantages of the Book Building Method
Efficient Price Discovery Mechanism
The book building process engages market participants to determine the share price based on demand. This ensures the pricing reflects real market interest, minimizing the chances of shares being undervalued or overvalued. Issuers gain insights into investor preferences by collecting bids across a price range. This leads to a fair and efficient price discovery mechanism that benefits both the company raising funds and the investors seeking returns.
Increased Transparency in IPO Pricing
Book building promotes transparency by allowing investors to monitor demand trends during bidding. Participants can adjust their bids based on real-time data, ensuring they are informed about market dynamics. This open approach builds trust in the IPO allotment process, as investors feel confident that shares are allocated fairly based on demand and bidding strength, making the IPO process more reliable and investor-friendly.
Flexibility for Institutional and Retail Investors
The book building method caters to institutional and retail investors by allowing them to bid within a set price range. Institutional investors benefit from the ability to place large bids with detailed analysis, while retail investors enjoy access to a structured process that encourages their participation. This inclusivity ensures diverse representation, fostering a balanced and competitive environment in the IPO market.
Limitations of the Book Building Process
Complexity in Bidding for Retail Investors
The book building process can be challenging for first-time or less-experienced investors. Understanding terms like price bands, cut-off prices, and bid quantities may feel technical and overwhelming. Retail investors also compete with institutional investors with more resources and market insights, discouraging retail participation and reducing their opportunities in IPOs.
Dependence on Market Sentiment for Pricing
The book building method relies heavily on market sentiment, which can distort IPO pricing. Positive sentiment may inflate prices, overvaluing shares, while negative sentiment can suppress valuations. This dependence means prices often reflect market trends rather than a company’s true value, posing risks for both investors and issuers if prices don’t hold long-term.
Risk of Oversubscription and Underpricing
When demand is high, IPOs may become oversubscribed, leaving retail investors with fewer shares than expected. On the other hand, underpricing occurs when demand is underestimated, causing issuers to lose revenue. These imbalances disrupt market dynamics, making it crucial to balance demand and pricing for a successful IPO.
Comparison: Book Building vs Fixed Price IPOs
Key Differences in Pricing, Demand, and Transparency
Pricing: Book building relies on demand-driven pricing, while fixed price IPOs have predetermined prices.
Demand: Book building gauges real-time demand, whereas fixed price IPOs estimate demand in advance.
Transparency: The book building method is more transparent, as bids are openly analyzed.
Which Method is Better for Investors?
For retail investors, book building typically offers more accurate pricing, reflecting real-time demand and ensuring that shares are priced based on market interest. However, it can be complex for those new to investing. In contrast, fixed price IPOs are simpler, with a set price for shares, making them easier to understand. Investors can explore a complete IPO list to compare both methods and decide which aligns with their investment strategy.
How to Participate in a Book Building IPO
Step-by-Step Guide for Retail Investors
Choose a broker: Select a brokerage platform offering IPO services.
Submit bids: Place bids within the price band for your desired quantity.
Use ASBA: Ensure funds are blocked using the ASBA (Applications Supported by Blocked Amount) facility.
Monitor allocation: After the IPO closes, check the allotment status.
Understanding the Role of ASBA in the Bidding Process
ASBA (Application Supported by Blocked Amount) streamlines the payment process for IPOs by blocking the required funds in your bank account until shares are allotted. Unlike traditional methods where funds are transferred upfront, ASBA ensures that the money remains in your account and is only deducted when shares are successfully allotted. This approach prevents unnecessary transfers and ensures that funds are only debited if your application is successful in the IPO allotment process.
How Equentis Supports Book Building IPO Investments
Tracking Book Building IPOs
Equentis offers tools that allow investors to track demand and bidding trends during the book building process. This helps investors stay updated on the IPO status, making adjusting their bids and strategies easier based on current market activity.
Conclusion
The book building process is a key component of contemporary IPO pricing, providing an efficient, transparent, and flexible method for price discovery. Investors can make more informed decisions with insights into its steps, benefits, and potential drawbacks. A stock market advisory company can guide you through this process to enhance your investment strategy.
Disclaimer Note: The securities quoted, if any, are for illustration only and are not recommendatory. This article is for education purposes only and shall not be considered as a recommendation or investment advice by Equentis – Research & Ranking. We will not be liable for any losses that may occur. Investments in the securities market are subject to market risks. Read all the related documents carefully before investing. Registration granted by SEBI, membership of BASL & certification from NISM in no way guarantee the performance of the intermediary or provide any assurance of returns to investors.
FAQ
What is the Book Building Process?
The Book Building Process is a method for determining an IPO’s offer price. Investment banks act as intermediaries, gathering bids from potential investors at various price points. This information helps determine the optimal offer price that maximizes demand while ensuring a successful IPO.
How does the Book Building Process work?
Investment banks collect bids from institutional investors and high-net-worth individuals. These bids indicate the quantity of shares they are willing to buy at different prices. Based on this data, the underwriters analyze market demand and recommend an offer price to the issuing company.
What are the advantages of the Book Building Process?
The book building process offers several advantages, starting with price discovery, where it accurately reflects market demand and ensures a fair IPO price. This method also enhances efficiency by streamlining the IPO process, reducing time to market.
Who are the key players in the Book Building Process?
Several key players contribute to the success of the book building process. The issuing company, which is going public, is at the heart of the process. Investment banks act as underwriters, managing the IPO and guiding the pricing. Institutional investors, including mutual funds, pension funds, and insurance companies, play a significant role by placing large bids.
An Initial Public Offering (IPO) is a transformative financial event where a private company offers shares of its stock to the general public for the first time. This process allows the company to transition from private to public ownership, broadening its access to capital markets.
IPOs are a crucial milestone for businesses aiming for long-term growth and sustainability. For investors and companies alike, understanding the nuances of IPOs is essential, and tools like stock market advisory services provide valuable insights. Additionally, exploring the complete IPO list can help investors stay updated on available opportunities, including upcoming IPOs in India and current new IPOs.
Why Companies Choose to Go Public
Companies opt to go public for a variety of reasons, including:
Capital Raising
IPOs enable companies to secure substantial funds, often used for expansion, R&D, or paying off debts.
Market Visibility
Public companies gain credibility and recognition, enhancing their brand reputation.
Liquidity for Existing Stakeholders
Founders, employees, and early investors can liquidate their holdings post-IPO.
Access to Future Financing
Being publicly listed allows access to additional funds through subsequent offerings.
Employee Benefits:
Public companies can offer stock options, making them attractive to top talent.
Overview of IPO Types
Different Types of IPO Offerings Explained IPOs are not a one-size-fits-all event. Different types of IPO cater to varying needs of companies and investors. These include fixed-price IPOs, book-building IPOs, offer-for-sale (OFS) IPOs, direct listings, and SMEs. Each type of IPO has distinct processes, advantages, and drawbacks.
How Each IPO Type Caters to Different Investor Needs
Fixed Price IPOs
Best suited for retail investors who prefer price certainty and simplicity.
Book-Building IPOs
Appeals to institutional investors seeking market-driven pricing.
OFS IPOs
Designed for existing shareholders to liquidate their holdings without diluting equity.
Direct Listings
Favored by well-established companies, avoiding underwriting costs.
SME IPOs
Tailored for smaller enterprises looking to access public funding efficiently.
Main Types of IPO Issues
Fixed Price IPO
What is a Fixed-price IPO?
A Fixed Price IPO sets a pre-determined price for shares before the IPO opens. Investors know exactly how much they will pay for each share when subscribing.
How Fixed Price IPOs Work
The company, in consultation with underwriters, fixes a price for the shares.
The price is based on the company’s valuation, market potential, and financial performance.
Investors subscribe to shares at this fixed price; allotment is made based on demand.
Pros and Cons of Fixed Price IPOs
Pros: Simplicity, predictable pricing, and easy understanding for retail investors.
Cons: Lack of price flexibility, risk of underpricing or overpricing, and potential for oversubscription issues.
Book-Building IPO
What is a Book-Building IPO?
A Book-Building IPO involves setting a price range (e.g., $100-$120 per share) rather than a fixed price. Investors bid within this range, indicating the number of shares they are willing to buy and at what price.
Process of Book-Building IPOs
The company and underwriters determine a price band based on market conditions.
Investors submit bids specifying the quantity of shares and their bid price within the range.
Once the bidding period closes, the final price is determined based on demand.
Shares are allocated to investors, often prioritizing higher bids.
Advantages of Book-Building Over Fixed Price
Price determination is market-driven, ensuring better alignment with demand.
Greater transparency in gauging investor interest.
Higher chances of fair pricing, minimizing underpricing or overpricing risks.
Other Types of IPOs
Offer for Sale (OFS) IPO
Definition and Purpose of Offer for Sale
In an OFS IPO, existing shareholders, such as promoters, venture capitalists, or private equity firms, sell their shares to the public. The proceeds from the sale go directly to these shareholders rather than the company.
How It Differs From Regular IPOs
Unlike traditional IPOs, an OFS does not involve issuing new shares. It is purely a mechanism for existing stakeholders to exit or reduce their holdings.
Direct Listing IPO
What is a Direct Listing?
Direct Listing bypasses traditional IPO processes like underwriting. Instead, the company lists its existing shares directly on a stock exchange, allowing them to be traded publicly.
When and Why Companies Use Direct Listings
Direct Listings are ideal for companies with significant brand recognition and financial stability. They avoid underwriting fees, reduce dilution, and allow market forces to determine the share price.
SME IPO
What is an SME IPO?
An SME IPO is a specialized public offering tailored for small and medium-sized enterprises. These IPOs are conducted on SME platforms of stock exchanges, like the NSE Emerge and BSE SME.
Eligibility Criteria for Small and Medium Enterprises
Minimum post-issue paid-up capital of ₹1 crore.
A strong operational track record.
Compliance with regulatory norms and financial disclosures.
Benefits and Risks of SME IPOs
Benefits: Access to growth capital, increased market visibility, and credibility.
Risks: Higher volatility, limited investor participation, and potential liquidity challenges.
Factors Influencing IPO Type Selection
Company Goals and Funding Requirements
Companies choose their IPO type based on strategic objectives such as growth, liquidity, or market positioning.
Market Conditions and Investor Sentiment
Favorable market conditions encourage companies to opt for flexible pricing mechanisms like Book-Building IPOs.
Regulatory Guidelines and Compliance
Regulatory requirements often dictate the IPO type, ensuring transparency and investor protection.
How to Choose the Right IPO as an Investor
Assessing the Type of IPO Issue
Understand the structure and pricing mechanism of the IPO to evaluate its suitability for your investment goals. Evaluating the types of IPO issues helps in aligning your financial strategies effectively.
Evaluating Risk and Return Based on IPO Type
Analyze the company’s financial health, growth potential, and market conditions to assess the risk-return tradeoff. Different types of IPO offer varying risk profiles, so aligning with your goals is crucial.
Matching Your Investment Strategy to the IPO Type
Align your portfolio objectives with the specific features of the IPO, whether it’s Fixed Price, Book-Building, or an SME IPO. Knowing the types of IPOs ensures better investment outcomes.
How Equentis Helps You Navigate IPO Types
Expert Analysis of Fixed Price and Book-Building IPOs
Equentis provides detailed insights into pricing mechanisms and demand trends to help you make informed decisions about different types of IPO.
Real-Time Tracking
Equentis’s tools allow you to monitor IPOs in real-time, ensuring you never miss out on lucrative opportunities in various types of IPO offerings.
Conclusion
Understanding the various types of IPOs is essential for making informed investment decisions. By evaluating each IPO type’s unique features, risks, and benefits, investors can align their strategies with their financial goals and market expectations. Knowing the types of initial public offering, from Fixed Price to SME, empowers investors with the knowledge needed to navigate these opportunities.
Disclaimer Note: The securities quoted, if any, are for illustration only and are not recommendatory. This article is for education purposes only and shall not be considered as a recommendation or investment advice by Equentis – Research & Ranking. We will not be liable for any losses that may occur. Investments in the securities market are subject to market risks. Read all the related documents carefully before investing. Registration granted by SEBI, membership of BASL & certification from NISM in no way guarantee the performance of the intermediary or provide any assurance of returns to investors.
If you’re interested in the stock market or companies specializing in water solutions and infrastructure development, you might want to learn more about Denta Water and Infra Solutions Ltd’s IPO. As it opens today for subscription, the issue size of ₹220.50 crore has generated significant interest among investors.
Yesterday, it announced that it had secured slightly more than ₹66 crore from anchor investors before its IPO. Here’s a detailed breakdown of everything you need to know about this IPO.
Denta Water and Infra Solutions Ltd is launching an IPO worth ₹220.50 crore, consisting of a fresh issuance of 75 lakh equity shares priced at the upper band of ₹294 per share. The shares will be listed on both the BSE and NSE, with the allotment expected to be finalized on Monday, January 27, 2025, and a tentative listing date set for Wednesday, January 29, 2025.
Allocation of Shares
Retail investors can apply for a minimum of 50 shares of Denta Water and Infra IPO, requiring an investment of ₹14,700, with a maximum limit of 650 shares, amounting to ₹1,91,100. Small High-Net-Worth Individuals (S-HNIs) can invest a minimum of 700 shares for ₹2,05,800, with a cap of 3,400 shares, amounting to ₹9,99,600. Large High-Net-Worth Individuals (B-HNIs) have a minimum investment of 3,450 shares, requiring ₹10,14,300.
The net proceeds from the IPO will be utilized for the following purposes:
Working Capital Requirements: To fund the company’s operations and business expansion.
General Corporate Purposes: Utilization as per applicable laws for business growth and development.
Grey Market Premium (GMP)
The Denta Water IPO Grey Market Premium (GMP) currently stands at ₹165, indicating a strong demand. Based on the IPO price of ₹294, the estimated listing price is projected to be ₹459, reflecting a 56.12% premium. The positive GMP suggests strong investor confidence and potential for a solid listing. Source: Mint
Company Overview
Incorporated in 2016, Denta Water and Infra Solutions Ltd is a leading player in water and infrastructure solutions. The company specializes in designing, installing, and commissioning water management projects, focusing on groundwater recharge.
Key projects executed:
Byrapura Project
Hiremagaluru LIS
KC Valley Project
These projects have significantly contributed to Bengaluru’s wastewater management and the Jal Jeevan Mission. The company owns 98 acres of agricultural land in Madikeri, Karnataka, where it cultivates coffee, pepper, and cardamom. Additionally, it operates a beach resort in Udupi, generating revenue through a facility management agreement.
Service Offerings:
Preliminary investigations and reconnaissance
Feasibility studies
Planning and project formulation
Field surveys and soil testing
Design services
Tender bidding consultancy
Project management and construction supervision
Operation and maintenance guidelines
Engineering procurement consultancy
Turnkey projects
As of November 30, 2024, the company has successfully executed 32 water management projects, comprising:
11 as the main contractor
1 in a joint venture
20 as a sub-contractor
Denta Water is also involved in infrastructure projects across railways and highways.
Financials:
Revenue for the period ending September 30, 2024, was recorded at ₹98.51 Cr., which is lower than the previous fiscal year’s figure of ₹241.84 Cr. as of March 31, 2024, but shows a steady upward trend when compared to ₹175.75 Cr. in March 2023 and ₹119.64 Cr. in March 2022. The company’s profitability has also seen an upward trajectory over the years.
Profit after tax for the half-year ending September 30, 2024, reached ₹24.2 Cr., following ₹59.73 Cr. for the full year ending March 31, 2024, up from ₹50.11 Cr. in March 2023 and ₹38.34 Cr. in March 2022. Net worth has shown consistent growth, reaching ₹188.46 Cr. as of September 30, 2024, up from ₹164.26 Cr. in March 2024, ₹104.55 Cr. in March 2023, and ₹54.43 Cr. in March 2022.
SWOT Analysis of Denta Water and Infra Solutions Ltd
STRENGTHS
WEAKNESSES
Strong Backing: Supported by NTPC Limited, ensuring financial and operational reliability.
Large Portfolio: A diversified renewable energy portfolio of 14,696 MW across solar and wind projects.
Execution Expertise: Proven track record in large-scale renewable energy projects.
Sector Dependency: Heavily reliant on the renewable energy sector. It is making it vulnerable to sector-specific risks.
Revenue Concentration: A significant portion of revenue depends on key off-takers.
OPPORTUNITIES
THREATS
Rising Demand for Renewable Energy: With an increasing global focus on sustainable energy, the company is well-positioned to capitalize on the demand.
Government Support: Strong government push towards renewable energy adoption and infrastructure development.
Market Competition: Intense rivalry from established and emerging players in the renewable energy space.
Regulatory Risks: Changes in government policies or tariffs could impact revenue streams.
Denta Water and Infra Solutions Ltd’s IPO India’s growing water infrastructure sector. The company is poised for growth with a solid track record, diversified business model, and promising financial performance. However, investors should consider the company’s dependence on government projects and working capital requirements before investing.
The IPO allotment results are expected on January 27, 2025, and the shares will tentatively list on January 29, 2025, on both the BSE and NSE. Stay tuned for further updates and market trends to make an informed investment decision.
Disclaimer Note: The securities quoted, if any, are for illustration only and are not recommendatory. This article is for education purposes only and shall not be considered as a recommendation or investment advice by Equentis – Research & Ranking. We will not be liable for any losses that may occur. Investments in the securities market are subject to market risks. Read all the related documents carefully before investing. Registration granted by SEBI, membership of BASL & certification from NISM in no way guarantee the performance of the intermediary or provide any assurance of returns to investors.
Are you among the many investors who bid for the Laxmi Dental IPO? If so, you’re not alone. The Laxmi Dental IPO has attracted unprecedented attention from investors across categories, leading to an oversubscription of 114 times. This response showcases the strong demand and investor confidence in the company’s prospects.
However, with such high levels of interest, many are left wondering about the next steps. How will the allotment process work? What can investors expect on the listing day? And what role does the grey market premium (GMP) play in shaping expectations? We’ll break down each aspect step by step, helping you navigate through the allotment status, listing details, and market trends with ease.
Laxmi Dental IPO Subscription Details
The Laxmi Dental IPO opened for public subscription on January 13, 2025, and closed on January 15, 2025. It raised ₹698.06 crore, comprising a fresh issue of 32.24 lakh equity shares aggregating ₹138 crore and an offer for sale (OFS) of 1.31 crore shares worth ₹560.06 crore. The IPO price band was set between ₹407 and ₹428 per share.
The strong response on the final day highlights the high demand across all investor categories. If you were to look at the day-wise subscription details:
Date
QIB
NII
NII (> ₹10L)
NII (< ₹10L)
Retail
Total
Day 1Jan 13, 2025
0.13
10.89
10.58
11.52
12.61
5.33
Day 2Jan 14, 2025
0.84
37.44
39.38
33.57
29.65
16.06
Day 3Jan 15, 2025
110.38
147.69
167.68
107.7
75.1
114.14
Allotment Details
With bidding now closed, the focus shifts to allotment. Laxmi Dental is expected to finalise the basis of share allotment on Thursday, January 16, 2025. Here’s a step-by-step guide to checking the allotment status:
For those who do not receive an allotment, refunds will be initiated on the same day as the allotment finalization. Successful bidders will have their equity shares credited to their demat accounts promptly.
Grey Market Premium (GMP) Update
Laxmi Dental shares are already creating a buzz in the grey market. The current GMP stands at ₹127 per share, suggesting strong investor sentiment. Here’s what the numbers indicate:
Issue Price: ₹428 per share
GMP: ₹127 per share
Estimated Listing Price: ₹555 per share
Premium: 29%
This bullish trend signals optimism among unlisted market investors ahead of the official listing. Source: Mint
Use of IPO Proceeds
According to the Red Herring Prospectus (RHP), the proceeds from the fresh issue will be allocated to:
Debt Repayment: Reducing financial liabilities.
Capital Expenditure: Supporting operational growth.
General Corporate Expenses: Meeting miscellaneous costs.
Laxmi Dental, a fully integrated dental products company, offers a diverse portfolio ranging from tailor-made crowns and bridges to branded products such as aligner solutions and pediatric dental care items.
Steps to Prepare for the Listing Day
If you’ve been allotted shares, here’s what to keep in mind ahead of the listing on Monday, January 20, 2025:
Set Realistic Expectations: While the GMP indicates a premium, market dynamics can fluctuate.
Track Listing Details: Shares will be listed on BSE and NSE simultaneously.
Conclusion
The Laxmi Dental IPO’s massive oversubscription reflects robust investor confidence in the company’s growth prospects and market position. With allotment and listing dates fast approaching, all eyes are on how the shares will perform in the public market. Stay informed and check your allotment status to be prepared for the next steps.
Disclaimer Note: The securities quoted, if any, are for illustration only and are not recommendatory. This article is for education purposes only and shall not be considered as a recommendation or investment advice by Equentis – Research & Ranking. We will not be liable for any losses that may occur. Investments in the securities market are subject to market risks. Read all the related documents carefully before investing. Registration granted by SEBI, membership of BASL & certification from NISM in no way guarantee the performance of the intermediary or provide any assurance of returns to investors.
Get ready for an action-packed week in the IPO market! This week brings a mix of opportunities, with one mainboard IPO, Laxmi Dental, seeking ₹698.06 Cr , and four SME IPOs – Kabra Jewels Ltd, Rikhav Securities Ltd, Landmark Immigration Ltd, and EMA Partners Ltd – scheduled to hit the market.
This wave of IPOs offers investors a chance to explore a diverse range of sectors and get in on the ground floor of promising Indian businesses.
Before diving into the specifics, let’s break down these companies’ objectives, financial health, Grey Market Premium (GMP), and other key details. Here’s a closer look at what each of these IPOs has to offer!
Laxmi Dental Limited
Laxmi Dental’s IPO aims to raise ₹698.06 crores through a book-built issue. This includes a fresh issue of 0.32 crore shares worth ₹138.00 crores and an offer for sale of 1.31 crore shares aggregating to ₹560.06 crores.
The minimum application size is 33 shares, requiring a retail investment of ₹14,124. For small NII (sNII), the minimum is 15 lots (495 shares), amounting to ₹2,11,860, and for big NII (bNII), it is 71 lots (2,343 shares), requiring ₹10,02,804. The allotment is set for January 16, 2025, with listing on BSE and NSE scheduled for January 20, 2025.
GMP (Grey Market Premium)
The latest GMP for Laxmi Dental IPO is ₹161 (as of January 13, 2025). With a price band of ₹428, the estimated listing price is ₹589, reflecting a potential gain of 37.38% per share.
Objectives of the IPO
Repayment/prepayment of certain outstanding borrowings by the company.
Investment in subsidiaries for repayment/prepayment of borrowings.
Capital expenditure for new machinery acquisition.
Investment in Bizdent Devices Private Limited for machinery purchase.
General corporate purposes.
Company Overview
Incorporated in 2004, Laxmi Dental Limited is an integrated dental products company. It’s product offerings include custom crowns, bridges, clear aligners, thermoforming sheets, and pediatric dental products. Operating under the brand Taglus, the company’s thermoforming sheets and 3D printing resins are industry benchmarks.
Laxmi Dental has six manufacturing facilities and five supporting locations in major cities. With a network spanning over 22,000 clinics across 320 cities in India and exports to more than 90 countries, the company holds a significant presence in domestic and global markets.
Financials
In FY24, Laxmi Dental’s assets grew by 40%, from ₹96.54 crores to ₹134.52 crores. Revenue increased from ₹163.84 crores to ₹195.26 crores. The company’s net worth and profit after tax (PAT) showed strong growth during this period. However, borrowings also increased, indicating rising liabilities.
An integrated business model ensures efficiency and control over production and distribution.
A strong network of over 22,000 clinics and dentists.
Significant presence in international markets, exporting to 90+ countries.
Rising borrowings could affect financial stability.
Dependence on a limited number of manufacturing facilities.
OPPORTUNITIES
THREATS
Growing demand for dental products globally.
Potential for innovation in clear aligner technology.
Expansion into emerging markets.
Intense competition in the dental industry.
Regulatory changes in domestic and international markets.
Currency fluctuations may impact export revenue.
SME IPOs launching this week
Kabra Jewels Limited
Kabra Jewels IPO aims to raise ₹40.00 crores through a book-built issue of 31.25 lakh fresh shares. The minimum application size is 1,000 shares, requiring a retail investment of ₹1,28,000.
For High Net-worth Individuals (HNIs), the minimum investment is 2 lots (2,000 shares) amounting to ₹2,56,000. The allotment will be finalized on January 20, 2025, and the shares are expected to list on the NSE SME platform on January 22, 2025.
GMP (Grey Market Premium)
The last reported GMP for Kabra Jewels IPO is ₹0 (January 13, 2025), suggesting no premium or discount over the price band of ₹128. The estimated listing price is ₹128, with no anticipated gain or loss percentage per share at this stage.
Objectives of the IPO
Repayment or partial repayment of certain borrowings availed by the company.
To meet working capital requirements.
General corporate purposes.
Company Overview
Incorporated in 2010, Kabra Jewels Limited is a retail jewelry company offering a wide range of gold, diamond, and silver ornaments. The company’s product portfolio spans wedding jewelry—its highest-selling category—and daily-wear ornaments. Kabra Jewels operates six showrooms in Ahmedabad under various brands, including KK Jewels Bridal, KK Jewels Diamond, and KK Jewels Gold. It also has three offices and one exhibition center, reinforcing its presence in the local market.
Financials
Kabra Jewels has shown consistent financial growth. Revenue as of November 2024 was ₹12,548.47 crore, up from ₹11,212.54 crore in FY22. Profit After Tax (PAT) for the latest period stood at ₹880.89 crore, almost double the ₹440.58 crore reported in FY23. The steady increase in revenue and PAT highlights the company’s growing market position and operational efficiency. Source: SEBI
SWOT Analysis of Kabra Jewels Limited
STRENGTHS
WEAKNESSES
Diverse product portfolio catering to various customer needs.
Strong presence in Ahmedabad with multiple specialized showrooms.
Consistent revenue and profitability growth.
Limited geographical footprint confined to Ahmedabad.
Dependence on the wedding segment as a primary revenue driver.
OPPORTUNITIES
THREATS
Expansion into new cities or regions to broaden market presence.
Growing demand for affordable and daily-wear jewelry.
Potential to leverage e-commerce for wider reach.
Established and unorganized jewelry retailers pose stiff competition.
Fluctuations in gold and diamond prices impacting margins.
Economic slowdowns or changes in consumer spending patterns.
Rikhav Securities Limited
Rikhav Securities IPO aims to raise ₹88.82 crores through a book-built issue comprising a fresh issue of 83.28 lakh shares aggregating ₹71.62 crores and an offer for sale of 20.00 lakh shares aggregating ₹17.20 crores.
The minimum lot size for this IPO is 1,600 shares, requiring a retail investment of ₹1,37,600. For High Net-worth Individuals (HNIs), the minimum investment is 2 lots (3,200 shares) amounting to ₹2,75,200. The allotment is scheduled to be finalized on January 20, 2025, with a tentative listing date on the BSE SME platform set for January 22, 2025.
GMP (Grey Market Premium)
The last reported GMP for Rikhav Securities IPO is ₹0 (as of January 13, 2025). With the price band set at ₹86, the estimated listing price is ₹86, indicating no expected gain or loss per share based on current market trends.
Objectives of the IPO
Funding the incremental working capital requirements.
Financing capital expenditures for IT software, computers, and laptops.
General corporate purposes.
Company Overview
Incorporated in 1995, Rikhav Securities Limited provides various financial services, including brokerage, investing, and banking solutions. Registered with SEBI as a stockbroker, the company is a BSE, NSE, and MCX member. Rikhav Securities offers equity broking, intra-day trading, futures, options, and services in derivative and commodity segments. The company acts as a Self-Clearing Member for trade settlements and provides IPO participation and demat account services. It also offers mutual fund advisory services catering to diverse client investment needs.
Financials
Rikhav Securities has demonstrated robust financial performance. As of September 30, 2024, the company’s total assets stood at ₹33,791.49 crore, a significant rise from ₹18,070.69 crore in FY22. Revenue reached ₹9,615.83 crore, up from ₹4,298.31 crore in FY22, while Profit After Tax (PAT) grew to ₹5,037.32 crore, nearly tripling from ₹1,762.47 crore during the same period, reflecting strong profitability and operational growth. Source: Rikhav
SWOT Analysis of Rikhav Securities Limited
STRENGTHS
WEAKNESSES
Established presence in the financial services sector with SEBI registration.
Diversified service offerings, including brokerage, IPO participation, and mutual fund advisory.
Strong financial growth in recent years.
Heavy reliance on market conditions for revenue generation.Limited brand visibility compared to larger players in the financial sector..
OPPORTUNITIES
THREATS
Expanding into underserved geographical areas.
Increasing demand for investment services among retail investors.
Leveraging technology to streamline operations and enhance customer experience.
Strong competition from both established and emerging financial service providers.
Regulatory shifts influencing operations and profitability.
Market fluctuations affecting revenue generation and client acquisition.
Landmark Immigration Consultants Limited
Landmark Immigration Consultants Limited is launching an IPO with a total size of ₹40.32 crores, comprising 56.00 lakh shares. The issue is entirely a fresh issue with no offer for sale. The minimum lot size for retail investors is 1,600 shares, which translates to an investment of ₹1,15,200.
High Net-worth Individuals (HNIs) will need to apply for at least 2 lots, or 3,200 shares, amounting to ₹2,30,400. The IPO’s allotment process will be finalized on January 21, 2025, and it will be listed on the BSE SME on January 23, 2025.
Objectives of the IPO
The company plans to use the net proceeds from the IPO for the following purposes:
Capital expenditure for establishing new branches.
Advertisement expenses to increase brand awareness and visibility.
Acquisitions to drive inorganic growth.
General corporate purposes.
Company Overview
Founded in 2010, Landmark Immigration Consultants Limited specializes in Global Consultancy Services, particularly in global education and immigration consultancy. The company offers services for students seeking to study abroad and provides immigration consultancy for visas, tourism, business, and permanent residency, particularly in Canada.
Landmark operates through 9 fully equipped branches and partners with over 30 Canadian institutions. In addition, the company has entered into franchise agreements at locations in Jammu, Jind, and Karnal.
Financials
Landmark Immigration has shown strong financial growth over the past few years. As of March 31, 2024, the company reported assets of ₹4,431.51 lakhs, a rise from ₹3,625.3 lakhs in 2023 and ₹3,611.51 lakhs in 2022. Revenue surged to ₹3,707.03 lakhs in 2024, up from ₹2,162.62 lakhs in 2023 and ₹1,931.54 lakhs in 2022. Profit After Tax (PAT) also showed a significant increase, reaching ₹1,111.83 lakhs in 2024, compared to ₹443.48 lakhs in 2023 and ₹393.53 lakhs in 2022, reflecting strong financial growth. Source: BSE
SWOT Analysis of Landmark Immigration Consultants Limited
STRENGTHS
WEAKNESSES
Well-established brand in global education and immigration consultancy.
A wide network with 9 branches and 30+ Canadian institution partnerships.
Strong financial performance with consistent growth in revenue and profit.
Dependence on the Canadian immigration market could limit diversification.
High reliance on physical branches, which may restrict scalability.
OPPORTUNITIES
THREATS
Expansion into new markets with the opening of new branches.
Growth potential from inorganic initiatives through acquisitions.
Increasing demand for education and immigration services globally.
High competition from local and global consultancy firms.
Potential regulatory changes that may influence operations and profitability.
The market volatility could affect client acquisition and revenue generation.
EMA Partners Limited
EMA Partners India Limited is launching an IPO with a total issue size of ₹76.01 crores. The issue consists of a fresh issue of 53.34 lakh shares, amounting to ₹66.14 crores, and an offer for sale of 7.96 lakh shares, aggregating ₹9.87 crores.
Retail investors must invest a minimum of ₹1,24,000 for a lot size of 1,000 shares. The minimum investment for high-net-worth individuals (HNIs) is ₹2,48,000 for 2 lots or 2,000 shares. The IPO allotment will be finalized on January 22, 2025, and the shares are expected to list on the NSE SME on January 24, 2025.
Objectives of the IPO
The company intends to use the funds raised from the IPO for the following purposes:
Strengthening the leadership team for both the company and its subsidiaries.
Upgrading the existing IT infrastructure for both the company and its subsidiaries.
Repaying or pre-paying borrowings taken for the purchase of office premises.
General corporate purposes and potential inorganic acquisitions.
Company Overview
EMA Partners India Limited, established in 2003, is an executive search firm specializing in leadership hiring solutions. The company provides global recruitment services, focusing on C-suite and board-level hiring across various industries. EMA Partners India is headquartered in Mumbai, with a growing international presence in Singapore, Dubai, and James Douglas (Dubai). The company offers two key services: Executive Search and Leadership Advisory. Additionally, MyRCloud, an AI-driven platform, enhances hiring efficiency for entry and middle management positions.
Financials
The company’s financial performance demonstrates fluctuations over the past few periods. For the period ending July 31, 2024, revenue stood at ₹2,632.9 lakh, a decline from ₹6,883.45 lakh in March 2024 but higher than ₹5,106.16 lakh in March 2023 and ₹5,786.52 lakh in March 2022. Profit After Tax (PAT) for July 2024 was ₹437.22 lahks, significantly lower than ₹1,427.3 lahks in March 2024 but up from ₹307.07 lahks in March 2023 and ₹1,127.06 lahks in March 2022. Source: Indorient
SWOT Analysis of EMA Partners India Limited
STRENGTHS
WEAKNESSES
Strong brand reputation in executive search and leadership advisory.
Expanding global presence with offices in key international markets.
Advanced AI platform, MyRCloud, streamlining recruitment processes.
Dependence on a few key markets for global revenue.Limited diversification in service offerings beyond executive search and leadership advisory.
OPPORTUNITIES
THREATS
Potential for expansion into untapped international markets.
Growth prospects in mid-to-senior level recruitment through the James Douglas brand.
Further enhancement of AI-powered recruitment tools to improve efficiency.
Fierce competition from other global executive search firms.
Economic challenges that could reduce demand for recruitment services.
Regulatory changes that could influence the recruitment industry.
Disclaimer Note: The securities quoted, if any, are for illustration only and are not recommendatory. This article is for education purposes only and shall not be considered as a recommendation or investment advice by Equentis – Research & Ranking. We will not be liable for any losses that may occur. Investments in the securities market are subject to market risks. Read all the related documents carefully before investing. Registration granted by SEBI, membership of BASL & certification from NISM in no way guarantee the performance of the intermediary or provide any assurance of returns to investors.
The Standard Glass Lining IPO has caught investors’ attention with an oversubscription of 183.18 times. This means there was a huge demand for the shares, way more than what was available. Today, the basis of allotment will be finalized, which is crucial in determining which applicants will receive shares and in what quantity.
If you’ve applied for the IPO, you’re probably wondering whether you got an allotment. Don’t worry—it’s easy to check! We’ll walk you through how to check your allotment status and provide you with all the details about the IPO so you know exactly what’s happening.
Overview of Standard Glass Lining IPO
Standard Glass Lining Technology IPO was open for bidding from January 6 to January 8, 2025. The shares were priced in a range of ₹133-₹140 per share, with a minimum lot size of 107 shares. The company raised ₹410.05 crore through this public offering, which included ₹210 crore from a fresh issue and ₹200.05 crore through an offer-for-sale (OFS).
By the end of the subscription period, the IPO had received bids for 3,81,56,56,808 shares against an offer of 2,08,29,567 shares, leading to an oversubscription of 183.18 times.
Subscription Details
The IPO witnessed overwhelming demand across all investor categories:
The highest demand came from Qualified Institutional Buyers (QIBs), followed by Non-Institutional Investors (NIIs) and Retail Individual Investors (RIIs).
Day-Wise Subscription Details
Here’s a breakdown of how the subscription grew during the three days of bidding:
The sharp increase in demand on Day 3 highlights the interest from institutional and non-institutional investors, driving the oversubscription.
Grey Market Premium (GMP)
Standard Glass Lining’s shares are trading at a grey market premium of ₹91 over the upper price band of ₹140, indicating a potential listing price of ₹231. This suggests a return of 65%, though it’s essential to remember that grey market trends are speculative and unregulated.
Listing Date
The shares are scheduled to list on the BSE and NSE on January 13, 2025. While GMP trends are optimistic, actual listing performance will depend on broader market sentiment.
Checking the Allotment Status
If you participated in this IPO, here’s how you can check your allotment status:
Select “Standard Glass Lining Technology Limited” from the dropdown menu (available if the allotment is finalized).
Choose one of the three identification modes: Application number, Demat Account number, or PAN ID.
Select your application type (ASBA or non-ASBA).
Enter the relevant details and solve the captcha.
Click submit to check your allotment.
About Standard Glass Lining Technology
Established in 2012, Standard Glass Lining Technology Limited is a premier manufacturer of specialized engineering equipment for India’s pharmaceutical and chemical industries. The company delivers turnkey solutions with in-house production capabilities, including design, manufacturing, assembly, and operational support.
Product Portfolio:
The company’s offerings cater to diverse industrial needs:
Reaction Systems for controlled chemical processes.
Storage, Separation, and Drying Systems for material handling and purification.
Plant Engineering and Services for complete operational efficiency.
The company uses glass-lined steel, stainless steel, and nickel alloys to ensure its products meet the highest quality and performance standards.
Clientele
Standard Glass Lining serves an impressive client base, including Aurobindo Pharma, Natco Pharma, Laurus Labs, Deccan Fine Chemicals, and CCL Food and Beverages.
Infrastructure
With eight advanced manufacturing units in Hyderabad and sales offices in Vadodara, Mumbai, Ankleshwar, and Visakhapatnam, the company ensures nationwide reach. It also has sales representatives across key cities like Chennai, New Delhi, and Bengaluru.
Financials of Standard Glass Lining Technology
Between the financial years ending March 31, 2023, and March 31, 2024, Standard Glass Lining Technology Limited demonstrated solid financial performance, with a notable 10% increase in revenue. During the same period, the company’s profit after tax (PAT) also significantly improved, rising by 12%. These figures highlight the company’s ability to sustain growth and profitability in a competitive market environment.
With a record-breaking oversubscription, the Standard Glass Lining IPO has been a significant event in the market. Investors are now eagerly awaiting the allotment results and subsequent listing performance. Following the above steps, you can quickly check if you’ve secured an allotment.
Disclaimer Note: The securities quoted, if any, are for illustration only and are not recommendatory. This article is for education purposes only and shall not be considered as a recommendation or investment advice by Equentis – Research & Ranking. We will not be liable for any losses that may occur. Investments in the securities market are subject to market risks. Read all the related documents carefully before investing. Registration granted by SEBI, membership of BASL & certification from NISM in no way guarantee the performance of the intermediary or provide any assurance of returns to investors.
The primary market has been a busy street in 2024, with nearly 300 IPOs raising around Rs.1.8 lakh crore collectively. The trend continues in 2025, with projections for the primary market reaching a value of Rs.2 lakh crore. The estimates this year is kickstarting with the 7 upcoming IPOs in January, of which 6 are opening this week. Let’s take a detailed look at each of these IPOs.
Standard Glass Lining Technology IPO:
Standard Glass Lining Technology Ltd. is one of the top five manufacturers of engineering equipment for chemical and pharmaceutical companies in India. It offers complete solutions, from design and manufacturing to assembly, installation, and commissioning. The company, however, gets 81.79% of its revenue from the pharmaceutical sector clients.
The company is raising the IPO for the following purposes-
Funding capital expenditure for machinery and equipment purchases.
Repaying part or all of its outstanding borrowings, including those of its wholly owned subsidiary, S2 Engineering Industry Private Limited.
Investing in S2 Engineering for its capital expenditure needs, including machinery and equipment.
Supporting inorganic growth through strategic investments or acquisitions.
Standard Glass Lining has already raised Rs.123 crore on 3rd January 2025 from the anchor investors and will tentatively be listed on 13th January 2025. The IPO includes a fresh issue of Rs.1.5 crore shares (Rs.210 crore) and an offer for sale of 1.43 crore shares (Rs.200.05 crore).
Grey Market Premium of Standard Glass Lining Technology IPO
The ‘grey market premium’ shows how much investors are willing to pay above the issue price. For the Standard Glass Lining IPO, the GMP today is +97, meaning the shares are trading at an Rs.97 premium in the grey market. Based on the upper end of the IPO price band and the current grey market premium, the expected listing price for Standard Glass Lining shares is Rs.237 each, which is 69.29% higher than the IPO price of Rs.140.
Quadrant Future Tek IPO:
Quadrant is a research-driven company focused on creating advanced Train Control and Signalling Systems for Indian Railways, ensuring top safety and reliability for passengers. They also have a Specialty cable manufacturing facility with an Electron Beam Irradiation Centre. As part of the KAVACH initiative, the company is working on a train collision avoidance system and an electronic interlocking system aimed at boosting safety and capacity on the railways. The company plans to raise funds through IPO for:
Meeting long-term working capital needs
Developing the Electronic Interlocking System
Repaying or reducing its outstanding working capital term loan
General corporate purposes
IPO Details:
Offer Price
Rs.275-290 per share
Face Value
Rs.10 per share
Opening Date
7th Jan 2025
Closing Date
9th Jan 2025
Total Issue Size (in Shares)
1,00,00,000 shares
Total Issue Size (in Rs.)
Rs.290 crore
Issue Type
Book Built Issue IPO
Lot Size
50 shares
To be listed on
NSE and BSE
Quadrant Future Tek IPO is entirely a fresh issue of 1 crore shares. It will tentatively be listed on 14th January 2025. The minimum investment for retail investors is Rs.14,500. For sNII (Small Non-Institutional Investor), the minimum lot size is 14 lots, which is 700 shares, and costs Rs.2,03,000. For bNII (Big Non-Institutional Investor), the minimum lot size is 69 lots or 3,450 shares, and the investment comes to Rs.10,00,500.
Grey Market Premium of Standard Glass Lining Technology IPO
Quadrant Future Tek shares were trading at a premium of Rs.180 in the unlisted market earlier on 6th January 2025. With the IPO price band set at Rs.290, the expected listing price is Rs.470. This could give investors an estimated listing gain of around 62.07%.
Capital Infra Trust Invit IPO:
Capital Infra Trust, established in September 2023, is an infrastructure investment trust (InvIT) sponsored by Gawar Construction Limited. The InvIT is set up to make investments and carry out activities as permitted under SEBI InvIT Regulations. Gawar Construction specializes in building road and highway projects across 19 states in India for government bodies like NHAI, MoRTH, MMRDA, and CPWD.
As of December 2024, the company’s portfolio includes 26 road projects under hybrid annuity mode (HAM) with NHAI. This includes 11 completed projects, 5 acquired from Sadbhav Infrastructure Project Limited, and 15 ongoing projects. The company is raising funds through an IPO, which will be used to:
Provide loans to Project SPVs to repay or prepay external borrowings, including interest and penalties.
Provide loans to Project SPVs to repay unsecured loans from the Sponsor.
The IPO will be a combination of a fresh issue of 10.77 crore shares (Rs.1077 crore) and an offer for the sale of 5.01 crore shares (Rs.501 crore). The shares will tentatively be listed on 14th January 2025 under the management of HDFC Bank Limited and SBI Capital Market Limited. To invest, retail investors need a minimum of Rs.15,000. For sNII, the minimum lot size is 14 lots (2,100 shares), totaling Rs.2,10,000, and for bNII, it is 67 lots (10,050 shares), which comes to Rs.10,05,000.
Grey Market Premium of Capital Infra Trust Invit IPO:
The company’s shares are currently trading at no premium in the grey market, meaning there’s no price advantage over the IPO listing price. Since trading started on 1st January 2025, the GMP has stayed the same.
Indobell Insulation IPO:
Indobell Insulation Limited, founded in May 1972, manufactures insulation products like nodulated and granulated wool (mineral and ceramic fiber nodules) and prefabricated thermal insulation jackets. The company also offers services, including consultancy, engineering, fabrication, material supply, installation, supervision, and project management. It serves industries like power plants, railways, aeronautics, and navigation. The product range includes Ceramic Fiber Nodules and Mineral Fiber Nodules. The funds raised will be used for:
Purchasing additional plant and machinery to boost capital expenditure
The IPO is entirely a fresh issue and is tentatively set to be listed by 13th January. The minimum investment amount for a retail investor is Rs.138000, and for the HNI is Rs.276000 (2 lots).
Grey Market Premium Indobell Insulation IPO
Indobell Insulations IPO GMP (grey market premium) was Rs.0 per share earlier on 6th January, as per InvestorGain. This points to a possible flat listing for Indobell Insulations IPO.
B. R. Goyal IPO:
B.R.Goyal Infrastructure Limited, founded in 2005, focuses on infrastructure projects like roads, highways, bridges, and buildings. The company has built a strong integrated EPC and construction business backed by a design and engineering team along with an RMC unit in Indore that has a capacity of 1.80 Lakh cubic meters per year. The company plans to use the net proceeds from the IPO for:
Capital expenditure requirements
Working capital needs
Inorganic growth through acquisitions and other strategic initiatives
The IPO is a fresh issue of 63.12 lakh shares, which will tentatively be listed on 14th January 2025. The minimum investment required for retail investors is Rs.135000, and for the HNI, it is Rs.270000 (2 lots).
Grey Market Premium of B. R. Goyal IPO:
GMP, or grey market premium, gives an idea of how the IPO might perform on its debut. It reflects demand in the unofficial market before the shares are listed. The B.R. Goyal IPO GMP is Rs.21 as of 4th January 2025. With an issue price of Rs.135, the estimated listing price could be around Rs.156.
Delta Autocorp IPO:
Delta Autocorp Limited, founded in 2016, manufactures and sells electric two-wheelers (2W) and three-wheelers (3W) under the “Deltic” brand. It focuses on creating affordable, durable EVs for tier-2 and tier-3 towns. The company is shifting to Lithium Ferro Phosphate (LFP) batteries to improve cost efficiency and safety.
With a network of 300+ dealers across 25 states and Union Territories, Delta Autocorp emphasizes B2B transactions. The company is raising funds through IPO for the following purposes:
A new electric three-wheeler fabrication and painting plant
The IPO includes a fresh issue of Rs.50.54 crore, that is, 38.88 lakh shares, and an offer for sale of Rs.4.06 crore (3.12 lakh shares). The minimum investment required for the retail investors in this IPO is Rs.130000, and for the HNI, it is Rs.260000.
Grey Market Premium of Delta Autocorp IPO:
The GMP for Delta Autocorp IPO as of 1st January was Rs.21, which increased to Rs.47 on 3rd January 2025. This suggests a possible listing price of Rs.177 per share against an approximate premium of 36.2%. However, as of 6th January 2025, the GMP increased to Rs.70, further pushing the listing price to a higher estimate.
Avax Apparels And Ornaments IPO
Avax Apparels and Ornaments Ltd, established in 2005, operates in two sectors: wholesale fabric trading and online silver jewelry retail. It sells knitted fabrics and offers a variety of silver ornaments like rings, bangles, payals, kadas, and more through its online platform, delivering across major cities in India. The company plans to raise funds through IPO and utilize the issue proceeds for:
The IPO is a fresh issue of 2.74 lakh shares and will be listed on the BSE SME platform on 14th January 2025. For retail investors, the minimum investment is 1 lot, that is, Rs.140000, and for the HNIs, the requirement is Rs.280000. SKI Capital Services Limited is entirely managing the IPO.
Grey Market Premium of Avax Apparels And Ornaments IPO
As of 6th January 2025, the GMP for the Avax Apparels And Ornaments IPO is Rs.21, consistent since 4th January. As per the GMP, the assessment coincides with an estimated listing price of Rs.70.
Bottomline:
January has just started with the mentioned 7 listings. The following week, many new listings are expected, including the Indo Farm Equipment IPO, whose shares were subscribed 229.68 times, along with five other listings on the SME platform. So, if you are planning to invest in any of the IPOs, carefully go through the market factors and the company fundamentals before shortlisting the stocks for your portfolio.
Disclaimer Note: The securities quoted, if any, are for illustration only and are not recommendatory. This article is for education purposes only and shall not be considered as a recommendation or investment advice by Equentis – Research & Ranking. We will not be liable for any losses that may occur. Investments in the securities market are subject to market risks. Read all the related documents carefully before investing. Registration granted by SEBI, membership of BASL & certification from NISM in no way guarantee the performance of the intermediary or provide any assurance of returns to investors.
The Indian IPO market stood out as one of the highest-performing markets globally in 2024. The IPO boom raised Rs.1.67 lakh crore ($19.5 billion) through 268 mainboards and 178 SME IPOs. This IPO boom will likely continue in 2025 when companies have already lined up for their market debut in January.
This blog will briefly examine the upcoming IPOs in India in 2025 and understand what the IPO market may look like ahead.
IPO Industry in 2024:
2024 was a standout year for IPOs, especially for SMEs. The BSE small-cap index jumped 30% in the past year and 27% year-to-date, while the mid-cap index grew 28% and 24% over the same periods. This growth was driven by strong market conditions, regulatory reforms, and a thriving economy.
Hyundai Motor India’s Rs.27,870 crore IPO was the highlight of the year, marking the largest IPO in Indian history. Swiggy followed with a Rs.11,327 crore issue, and NTPC Green Energy’s Rs.10,000 crore offering became the biggest fresh equity issue ever. Looking ahead, 2025 promises to keep the momentum going. With an IPO pipeline projected to exceed Rs.2.5 lakh crore, excitement is building yet again in the primary market.
Upcoming IPO 2025:
Upcoming IPOs are initial public offerings of companies that have filed the DRHP (Draft Red Herring Prospectus) with SEBI and are expected to launch in 2025. Staying updated on current new IPOs and tracking developments of such upcoming IPOs will help you understand market sentiment and sector performance.
Avax Apparels And Ornaments Limited, founded in June 2005, operates in two key areas: wholesale trading and online retail of silver ornaments. The company wholesales knitted fabric and sells silver jewelry, including rings, anklets, kada, plate sets, glass, bangles, bowls, chains, and more. It caters to major cities across India.
As of the quarter ending September 2024, it recorded a revenue of Rs.15 crore and a net worth of Rs.4.05 crore. With a PAT margin of 6.26% and ROCE of 61.68% for FY2024, Avax is performing well.
The company is set for an IPO launch on 7th January 2025. The net proceeds of the IPO will be used to meet the company’s working capital needs and for general corporate purposes. It plans to list its fresh issue of 2.74 lakh shares on the BSE SME by 14th January 2025.
Capital Infra Trust, established in September 2023, is an infrastructure investment trust (InvIT) sponsored by Gawar Construction Limited. This InvIT focuses on infrastructure investments as per the SEBI InvIT Regulations. Gawar Construction specializes in road and highway projects across 19 states in India, working with government bodies like NHAI, MoRTH, MMRDA, and CPWD.
The company is planning an IPO that will be open for subscription from 7th January 2025 to 9th January 2025. The funds raised will be used for:
Providing loans to Project SPVs for repayment or pre-payment of external borrowings, including any interest and prepayment penalties.
Offering loans to Project SPVs to repay unsecured loans from the Sponsor.
The company aims to list on the BSE and NSE by 14th January 2025. The InvIT IPO will include a fresh issue of 10.77 crore shares, totalling Rs.1,077.00 crores, and an offer for sale of 5.01 crore shares, totalling Rs.501.00 crores.
B.R.Goyal Infrastructure Limited, established in 2005, focuses on building infrastructure projects like roads, highways, bridges, and buildings. The company has built a strong EPC and construction business, supported by a design and engineering team and an RMC unit in Indore, with a capacity of 1.80 lakh cubic meters per year. In 2005, it also ventured into wind energy with a 1.25 MW wind turbine in Jaisalmer, Rajasthan.
As of July 2024, the company reported a revenue of Rs.156.86 crore, a PAT of Rs.1.94 crore, and a net worth of Rs.128.63 crore. B.R.Goyal Infrastructure plans to raise funds through an IPO, opening for subscription on 7th January 2025. The funds will be used for:
Capital expenditure
Working capital requirements
Inorganic growth through strategic initiatives and acquisitions
General corporate purposes
The 63.12 lakh fresh issue of shares will be listed on the BSE SME on 14th January 2025.
Quadrant Future Tek Limited IPO:
Offer Price
Rs.275-290 per share
Face Value
Rs.10 per share
Opening Date
7th Jan 2025
Closing Date
9th Jan 2025
Total Issue Size (in Shares)
1,00,00,000 shares
Total Issue Size (in Rs.)
Rs.290 crore
Issue Type
Book Built Issue IPO
Lot Size
50 shares
To be listed on
NSE and BSE
Quadrant Future Tek Limited supplies cables to the defense sector and railroad rolling equipment. Its plant can also produce solar and electric vehicle cables. Founded in September 2015, the company is developing next-generation Train Control and Signaling Systems for Indian Railways’ KAVACH project to improve passenger safety and reliability.
For the quarter ending September 2024, Quadrant earned a revenue of Rs.65.14 crore but faced a loss of Rs.12.11 crore. Despite this, its net worth remains stable at Rs.34.18 crore. The company is raising Rs.290 crore through a book-built IPO, which will be used for:
Long-term working capital requirements
Capital expenditure for developing the Electronic Interlocking System
Repayment of outstanding working capital loans
General corporate purposes
The IPO, which offers a fresh issue of 1 crore shares, is scheduled to be listed on the NSE and BSE on 14th January 2025.
Delta Autocorp Limited manufactures and sells two- and three-wheeler electric vehicles using top-notch components from trusted OEMs. The company designs these vehicles using specific engineering and manufacturing processes. It also supplies vehicle-compatible components. For the period ending October 2024, Delta Autocorp achieved total revenues of Rs 45.17 crore and a net profit of Rs 4.80 crore. Its net worth stands at Rs 22.70 crore.
Now, the company is raising Rs 54.60 crore through a book-built IPO. The proceeds will be used to set up an electric three-wheeler fabrication plant, invest in new product development, cover working capital needs, and serve general corporate purposes.
The Delta Autocorp IPO consists of a fresh issue of 38.88 lakh shares (Rs 50.54 crore) and an offer for sale of 3.12 lakh shares (Rs 4.06 crore). The shares will be listed on the NSE SME platform on 14th January 2025
Apart from the mentioned companies, other IPOs yet to be scheduled include
Navi Technologies IPO
Survival Technologies IPO
Reliance Jio IPO
PharEasy IPO
Snapdeal IPO
Bottomline:
Investing in an IPO can offer a range of benefits, such as the potential for significant returns and the opportunity to participate in a company’s growth journey. However, it’s essential to approach IPO investments with caution. Thorough research is crucial, and understanding the company’s fundamentals, market position, and growth potential is key.
Additionally, seeking advice from a registered share market advisor can help make more informed decisions and minimize risks. By taking the time to analyze and assess the offering carefully, investors can ensure a smarter and more rewarding IPO investment experience.
FAQs on Upcoming IPOs in Jan 2025
What happens when an IPO is oversubscribed?
If the number of shares demanded exceeds the number of shares offered to the public in the IPO, the company may choose to distribute the available shares on a pro-rata basis.
Who are anchor investors?
Anchor investors are key institutional or high-net-worth individuals who invest in an IPO before it opens to the public, helping to build confidence and attract other investors.
How much does an HNI invest?
An HNI (High Net-Worth Individual) invests between Rs.2 lakh and Rs.5 lakh in an IPO. Non-institutional investors (NIIs) invest over Rs.2 lakh but are not required to be SEBI-registered, unlike Qualified Institutional Investors (QIIs).
Disclaimer Note: The securities quoted, if any, are for illustration only and are not recommendatory. This article is for education purposes only and shall not be considered as a recommendation or investment advice by Equentis – Research & Ranking. We will not be liable for any losses that may occur. Investments in the securities market are subject to market risks. Read all the related documents carefully before investing. Registration granted by SEBI, membership of BASL & certification from NISM in no way guarantee the performance of the intermediary or provide any assurance of returns to investors.
Another stirring IPO is set to enter the market, and the investors were looking forward to the news that they have secured the shares in the Rs.260.15 crore Indo Farm IPO. The company declared the final allotment status for the IPO on 3rd January 2025 after it witnessed a subscription of 229.68 times. What led to such a whopping response? And how do you check your allotment status for the Indo Farm IPO? Let’s understand in detail.
Indo Farm Equipment IPO Details:
Indo Farm Equipment Limited, established in 1994, specializes in manufacturing tractors, pick-and-carry cranes, and harvesting equipment. It operates under the brand names “Indo Farm” and “Indo Power.” Based in Baddi, Himachal Pradesh, this ISO-certified company started its manufacturing journey in 2000 and expanded its portfolio over time to become a leader in producing high-quality agricultural tractors, cranes, and implements.
The IPO of tractor manufacturer Indo Farm Equipment Ltd saw massive demand, with subscriptions soaring nearly 230 times by the end of day 3. Additionally, the subscription volume in all the three segments was overwhelming-
Indo Farm Equipment’s IPO was a book-built issue worth Rs.260.15 crore, and it is planned to be listed on both the BSE and NSE, with the listing date tentatively fixed as 7th January 2025. The bidding period for the IPO ran from 31st December 2024 to 2nd January 2025, and the price band was set at Rs.204-Rs.215 per share. The minimum lot size for investment was as follows-
At the upper limit, the company raised Rs.260.15 crore through the book-built issue. This included a fresh issue of 86 lakh equity shares worth Rs.184.90 crore and an offer-for-sale of 35 lakh shares amounting to Rs.75.25 crore. The funds are being raised for the following purposes-
Expanding the company’s pick-and-carry crane manufacturing capacity by setting up a dedicated unit.
Repaying or prepaying certain borrowings, either fully or partially.
Investing in its NBFC subsidiary, Barota Finance Ltd., to strengthen its capital base and meet future needs.
Covering general corporate expenses.
Indo Farm Equipment IPO GMP:
Indo Farm Equipment’s IPO showed solid performance in the grey market. As of today, 3rd December 2024, the grey market premium (GMP) for its shares is Rs.97. This means the shares are trading Rs.97 above their issue price in the unofficial market. Based on this GMP, the expected listing price for Indo Farm Equipment shares could be around Rs.312. That’s a 45% premium over the issue price of Rs.215.
Company’s Revenue Trend:
In Fiscal 2024, the company generated most of its revenue from tractor sales (52.16%) and Pick & Carry cranes (47.77%). Over the last three years, revenue from manufactured goods has steadily grown, increasing from Rs.330.87 crore in FY2022 to Rs.346.62 crore in FY2023 and further to Rs.352.46 crore in FY2024.
As of the June 2024 quarter, the company’s total revenue for the ongoing fiscal year is Rs.69.54 crore. Tractor and Pick & Carry crane sales remain key contributors to its revenue. Additionally, the total revenue of the company for FY2024 was Rs.375.23 crore.
The company’s net profit for FY2024 was Rs.15.4 crore, and the figure for the quarter ending June 2024 was Rs.2.45 crore. Since the past five years, the net profit of the company has been following an upward trend; however, the growth rate has reduced over time.
If you secure an allotment for the Indo Farm Equipment IPO, here’s what you can expect:
Listing Gains:
With a grey market premium (GMP) of Rs.97, your shares could list at Rs.312, giving you a potential 45% gain over the issue price of Rs.215. The listing is tentatively set for 7th January 2025.
Growth Potential:
The funds raised from this IPO are earmarked for exciting expansion plans. This includes increasing the company’s pick-and-carry crane manufacturing capacity, reducing debt, and strengthening its subsidiary, Barota Finance Ltd. These efforts could position the company for strong future growth.
Steady Revenue Increase:
Indo Farm Equipment has shown consistent growth in revenue, largely driven by tractor and crane sales. In FY2024, the company reported Rs.352.46 crore in revenue. This solid performance indicates that the business is currently on a stable growth path.
How To Check The Allotment Status of Indo Farm IPO?
To check the allotment status on the BSE, you can follow the mentioned steps-
1 Open the Application Status page on the BSE website.
2 Select ‘Equity’ from the options.
3 Choose Indo Farm Equipment Limited from the dropdown menu.
4 Enter your IPO application number or PAN details.
5 Tick the ‘I am not a Robot’ box.
6 Click on the Submit button to view your allotment status.
Bottomline:
The Indo Farm Equipment IPO has generated significant interest, with a subscription rate of 229.68 times. The company is raising funds for expansion and debt reduction, which could drive future growth. With a solid revenue track record and a potential listing gain of 45%, this IPO has attracted considerable attention. Investors interested in the allotment status can easily check it through the BSE website by entering their application number or PAN details. As the IPO progresses, all eyes will be on its listing performance on 7th January 2025.
Disclaimer Note: The securities quoted, if any, are for illustration only and are not recommendatory. This article is for education purposes only and shall not be considered as a recommendation or investment advice by Equentis – Research & Ranking. We will not be liable for any losses that may occur. Investments in the securities market are subject to market risks. Read all the related documents carefully before investing. Registration granted by SEBI, membership of BASL & certification from NISM in no way guarantee the performance of the intermediary or provide any assurance of returns to investors.
FAQ
When will the company get listed?
Indo Farm Equipment Limited will tentatively get listed on the BSE on 7th January 2024.
What is the grey market?
The grey market refers to the unofficial trading of stocks or securities before they are listed on the exchange. It allows investors to buy or sell shares based on demand and supply, often at a premium or discount to the issue price.
What is Indi Farm Equipments Limited’s net worth?
As of the quarter ending June 2024, the net worth of the company stands at Rs.342.25 crore.
Mukesh Ambani, chairman of Reliance Industries, is reportedly finalizing plans for a massive ₹35,000-₹40,000 crore initial public offering (IPO) of Reliance Jio. Jio IPO is poised to become the biggest in India’s history, marking a significant milestone for the country’s telecom and tech sectors.
With a valuation of $120 billion, the Reliance Jio IPO is anticipated in the second half of 2025. The offering will consist of both new and existing shares, along with a pre-IPO placement for select investors. An official announcement is awaited.
India ranks as the world’s second-largest telecommunications market. As of May 2024, the country’s tele-density was 85.87%, with a total telephone subscriber base of 1,203.69 million.
In May 2024, Jio led the wireless subscriber market with 474.61 million users, followed by Bharti Airtel with 387.76 million, Vodafone Idea with 218.15 million, and BSNL with 86.32 million.
Wired broadband subscribers totaled 41.31 million as of May 2024, while for FY24, wired broadband subscriptions stood at 40.06 million, and wireless broadband users reached 884.01 million. By March 2024, Reliance Jio Infocom Ltd led the top five service providers with 469.73 million subscribers, followed by Bharti Airtel (265.50 million), Vodafone Idea (127.69 million), and BSNL (20.65 million).
Between April and December 2024, India’s total internet subscribers grew to 936.16 million, including 38.57 million wired and 897.59 million wireless users.
According to reports, Ambani and his advisors are in the advanced stages of preparing the Jio IPO, which is expected to hit the markets later this year. Discussions for the pre-IPO placement are already underway, but the final ratio of existing to new shares being offered has not yet been determined.
For investors, the Jio IPO represents an opportunity to own a piece of one of the most dynamic companies in India. With over 475 million subscribers, Jio is already a market leader. The Jio IPO could provide a pathway for retail and institutional investors to benefit from Jio’s continued expansion and technological innovation.
Jio IPO as a Potential Trigger for RIL Shares
An IPO could serve as a potential trigger for Reliance Industries Limited (RIL) shares, which ended 2024 with a loss, marking the first time in the last decade. The heavyweight stock has declined by around 6% over the past year.
Following the tariff hike in July 2024, the telecom industry has seen a loss in subscribers, although the pace of the decline has slowed, with September marking the peak. From July to October 2024, Reliance Jio lost about 16.5 million subscribers. Despite this, Jio continues to lead the market with a 40% subscriber market share.
The telecom sector is facing challenges as companies compete fiercely for market share, which could lead to a price war and lower Average Revenue Per User (ARPU). A ₹40,000 crore IPO would bring in a lot of capital for Reliance Industries, helping it grow further, expand digital services, and possibly enter new markets.
Jio Platform Achievements and Growth Highlights
Jio Platforms (JPL), the parent company for Jio and other digital businesses under Reliance, is now among the top 12 companies in India.
Strong Profit Growth
JPL reported an 11.7% year-on-year increase in net profit, reaching ₹5,698 crore (US$ 684.7 million) in Q1 of FY25, fueled by significant subscriber growth.
5G Leadership
Jio currently boasts over 130 million 5G users and owns more than 85% of India’s 5G radio cells.
Broadband and Digital TV Services
Jio serves broadband and digital TV to around 30 million homes across India.
Rapid Adoption of JioAirFiber
Since its October launch, JioAirFiber, powered by 5G, rapidly gained 1 million customers in the first six months and another 1 million in just 100 days.
Reliance Jio’s Journey: From Disruptor to Market Leader
Reliance Jio’s entry into the Indian telecom sector was nothing short of revolutionary. In 2016, the company launched an aggressive pricing model, offering free voice calls and dirt-cheap data. This move forced established players like Bharti Airtel, Vodafone, and Idea Cellular to rethink their strategies. Within a year, Jio had amassed over 100 million subscribers, and today, it serves more than 475 million users across the country.
Jio’s influence extends beyond telecom. The company has expanded into fiber broadband, digital services, and e-commerce, making it a significant player in India’s tech ecosystem. Its digital arm, Jio Platforms, attracted investments from global giants like Facebook and Google, underscoring its potential and global appeal.
What the Jio IPO Means for Reliance Industries
The Jio IPO is part of Mukesh Ambani’s broader strategy to unlock value from Reliance’s vast portfolio of businesses. By listing Jio separately, Reliance Industries can reduce debt, attract new investors, and provide liquidity to shareholders. This move aligns with Ambani’s vision of transforming Reliance into a digital powerhouse, with Jio at the center of its growth story.
In recent years, Reliance has been diversifying its business model with ventures in retail, renewable energy, and digital services. The proceeds from the Jio IPO could fund these ambitious projects, further cementing Reliance’s status as a conglomerate with diverse revenue streams.
Investor Interest and Market Sentiment in Jio IPO
The anticipation surrounding the Jio IPO has generated significant buzz in financial circles. Market analysts predict that the offering will attract strong demand from both domestic and international investors. Retail investors are particularly keen on the Jio IPO, seeing it as an opportunity to invest in a company.
Institutional investors, too, view Jio as a long-term growth prospect driven by India’s rapidly expanding digital economy and increasing smartphone penetration.
Timing and Market Conditions Affecting Jio IPO
The timing of the Jio IPO is crucial. India’s IPO market has been vibrant in recent years, with several high-profile listings. However, economic uncertainties and global market volatility could influence investor sentiment.
Despite potential challenges, analysts believe that Jio’s strong fundamentals and market leadership position will drive demand.
Potential Risks and Challenges for Jio IPO
The Indian telecom sector is highly competitive, with regulatory challenges and price wars posing potential threats. Additionally, Jio’s expansion into new areas like 5G and digital services requires substantial investment, which could impact profitability in the short term.
Investors will also closely scrutinize Jio’s debt levels and profitability metrics. While the company has demonstrated impressive growth, sustaining this momentum will be critical for long-term success.
A Landmark Moment for Indian Markets
The ₹40,000 crore Jio IPO is set to be a defining moment for India’s financial markets. It represents not only the growth of Reliance Jio but also the broader transformation of India’s digital economy. For investors, the Jio IPO offers a unique opportunity to participate in Jio’s growth journey and gain exposure to one of the most dynamic companies in the country.
As Mukesh Ambani finalizes the details, market watchers eagerly await the official announcement, ready to witness what could be India’s biggest IPO to date.
Disclaimer Note: The securities quoted, if any, are for illustration only and are not recommendatory. This article is for education purposes only and shall not be considered as a recommendation or investment advice by Equentis – Research & Ranking. We will not be liable for any losses that may occur. Investments in the securities market are subject to market risks. Read all the related documents carefully before investing. Registration granted by SEBI, membership of BASL & certification from NISM in no way guarantee the performance of the intermediary or provide any assurance of returns to investors.
In December 2024, the IPO batch of over 10 companies welcomed a new entrant in the primary market: Citichem India Limited. The SME IPO opened for subscription on 27 December 2024 on the BSE Limited (BSE SME) SME platform. The company aims to raise Rs.12.6 crore through this fresh equity sale at seven times its face value of Rs.10 per share.
Now, before investing in the IPO, you must carry out thorough research, right? Here are a few essentials to help highlight the important aspects of the IPO.
The Citichem India IPO is a fixed-price IPO launched as an entirely fresh issue of 18 lakh shares. Here, a fixed-price IPO is when the share price is set in advance and does not change based on demand or bids. The minimum required investment from a retail investor is set at Rs.1,40,000, and for the HNIs (High Networth Individuals), it is 2 lots worth Rs.2,80,000.
The Citichem IPO is 100% underwritten. Horizon Management Private Limited is the lead manager for the IPO, with Kfin Technologies Limited as the registrar and Aftertrade Broking Private Ltd as the market maker. A market maker ensures liquidity and stable trading by actively buying and selling shares of the stock. At the same time, the registrar manages investor applications, share allotment, and record-keeping for the issue.
Additionally, the company’s promoters, Mr. Arif Esmail Merchant, Mrs. Fozia Arif Esmail Merchant, Mr. Hashim Arif Merchant, and Mrs. Saima Hashim Merhant, currently hold 83.25% of the company’s shares, which will reduce to 61.21% post IPO.
Allocation Of Shares:
The 18,00,000 fresh IPO issue has been divided into reservations for the different stakeholders. The reservation portion for the market maker is 92,000 shares, which at Rs.70 per share aggregates to Rs.64.40 lakhs.
Another lot of 8,40,000 shares are separated for the retail individual investors who usually invest up to Rs.2 lakh each, and the same portion is kept for individual retail investors who would invest more than Rs.2 lakh.
Objectives Of The IPO:
The net proceeds of the IPO are estimated to be Rs.11.80 crore, that is, the difference between the amount raised and the IPO expenses. The plan is to proceed with strategic investments to drive growth and efficiency. Around Rs.360.00 lakhs (28.57%) will be used for acquiring property, Rs.469.10 lakhs (37.23%) will go towards purchasing vehicles and accessories, and Rs.279.70 lakhs (22.20%) is allocated for general corporate purposes.
Grey Market Premium:
As of 7:34 a.m. on 27th December 2024, the Citichem India IPO’s grey market premium (GMP) was Rs.30 per share, indicating strong investor interest ahead of its listing. This premium suggests a potential listing gain of 42.86%, with the shares likely to debut at around Rs.100 per share on the BSE SME, assuming current trends hold steady. The estimate is based on the upper end of the IPO price band set at Rs.70, highlighting positive sentiment in the grey market. Source: Live Mint
Overview Of The Company:
Citichem India Limited, established in 1992, supplies specialty chemicals, active pharmaceutical ingredients (APIs), and food-grade chemicals. It caters to industries like pharmaceuticals, steel, textiles, food, adhesives, and paints. The company offers chemicals like Caustic Soda Flakes, Citric Acid Monohydrate, and Hydrogen Peroxide. Known for quality and innovation, it has earned a trusted reputation across diverse sectors.
Citichem’s management team has expertise in regulatory affairs, sales, marketing, and finance. This enables them to seize market opportunities, navigate complexities, and drive growth. They use a customer-centric and order-driven business model that ensures quality supply and economies of scale. Additionally, Citichem aims to expand procurement sources and strengthen its market position.
Financial Parameters Of Citichem India Limited:
EPS
Earnings Per Share (EPS) shows a company’s profitability per share. A higher EPS indicates better profitability, while a lower EPS may signal financial struggles. For Citichem, the EPS has increased in FY2024 to Rs.2.24 from the drop of FY2023 to Rs.0.80. Plus, as of the quarter ending June 2024, the EPS was Rs.0.4.
As of FY2024, the company’s net worth was Rs.7.25 crore, the highest in the past three years. And as of the quarter ending June 2024, the net worth increased to Rs.7.45 crore.
Experienced Promoters: Citichem’s promoters have over 25 years of experience in sourcing, negotiating, and supplying chemicals, giving them deep market insights and a strong ability to spot growth opportunities.
Quality Commitment: The company focuses on high-quality products sourced from credible suppliers. Its rigorous quality management ensures that only certified products are delivered to clients, strengthening its reputation.
Dependence on Few Customers: A significant portion of Citichem’s revenue relies on a small number of customers. Any loss or reduction in purchases from these key clients could negatively impact the company’s financial performance.
OPPORTUNITIES
THREATS
Strategic Investments: The IPO proceeds will help Citichem expand its operations with investments in property, vehicles, and corporate purposes, driving growth and efficiency.
Market Expansion: With plans to diversify procurement sources, Citichem is poised to strengthen its market position and increase its customer base.
Hazardous Chemicals Risks: As the company deals with hazardous and corrosive chemicals, accidents could lead to operational disruptions, financial losses, and legal consequences.
Citichem India Limited has established itself in the chemicals industry, emphasizing quality and benefiting from its extensive experience. The company is currently pursuing an IPO for the purpose of raising funds to support its strategic investments, which may enhance its growth prospects. However, it’s important to consider some areas of concern, such as the company’s reliance on a limited number of key customers and the inherent risks associated with handling hazardous chemicals.
As with any investment, you must consider the company’s current performance, growth prospects, and risks. Research and weigh all the factors before deciding whether Citichem’s IPO fits your investment strategy.
Disclaimer Note: The securities quoted, if any, are for illustration only and are not recommendatory. This article is for education purposes only and shall not be considered as a recommendation or investment advice by Equentis – Research & Ranking. We will not be liable for any losses that may occur. Investments in the securities market are subject to market risks. Read all the related documents carefully before investing. Registration granted by SEBI, membership of BASL & the certification from NISM in no way guarantee performance of the intermediary or provide any assurance of returns to investors.
FAQ
What is meant by pre-apply in the case of Citichem India IPO?
The pre-IPO allows investors to invest in the IPO 2 days before the start of the subscription period.
What is Citichem India Limited’s PAT?
The profit after tax figure of the company as of FY2024 is Rs.111.83 lakhs.
Can I submit multiple applications for Citichem India Limited’s public issue using the same PAN?
No, you can only submit one application using your PAN card.
Have you been tracking recent developments in the manufacturing sector? If you’re interested in the stock market or companies specializing in agricultural and construction equipment, you may want to learn more about Carraro India Limited’s IPO.
With an issue size of ₹1,250 crores, this offering has attracted significant attention from market participants. It marks an important step for Carraro India, providing an opportunity to explore a company that plays a key role in transmission systems and gear manufacturing. Here’s a detailed breakdown of everything you need to know about this IPO.
Carraro IndiaIPO Details
The IPO bidding will begin today and end on December 24, 2024. Investors can expect the allotment process to be finalized by December 26, 2024, and the shares will be tentatively listed on December 30, 2024, on BSE & NSE.
The issue is entirely an offer to sell 1.78 crore shares. The price band for the IPO is set at ₹668 to ₹704 per share, and investors must bid for a minimum of 21 shares. Retail investors must invest a minimum of ₹14,784, while sNII and bNII investors must invest ₹2,06,976 and ₹10,05,312, respectively, based on their lot sizes.
Allocation of Shares
The share allocation is structured as follows:
QIB (Qualified Institutional Buyers): Not more than 50% of the net offer.
Retail Investors: Not less than 35% of the net offer.
NII (Non-Institutional Investors): Not less than 15% of the net offer.
Investors can bid for a minimum of 21 shares or multiples thereof. Based on the structure above., allocation will favor different investor categories.
Grey Market Premium (GMP) of Carraro India IPO Details
As of December 20, 2024, Carraro India IPO has a grey market premium (GMP) of nil. According to sources tracking the unofficial market, the unlisted shares are trading flat ahead of the IPO launch.
Objectives of the Carraro IndiaIPO
The objectives of Carraro India’s IPO are as follows:
The company will not receive any proceeds from the offer.
After deducting offer-related expenses and relevant taxes, all proceeds will go to the promoter-selling shareholder.
Company Overview
Established in 1997, Carraro India Limited specializes in manufacturing components ranging from individual gears to complete tractors. The company designs, manufactures, and markets transmission systems—including axles, transmissions, and drives—primarily catering to agricultural and construction equipment for off-highway vehicles.
Additionally, Carraro India offers a diverse range of gear for sectors such as automotive, trucks, agricultural machinery, and construction vehicles.
The company operates two manufacturing plants in Pune, Maharashtra, covering approximately 84,000 square meters (driveline plant) and 78,000 square meters (gear manufacturing plant). These facilities boast advanced technologies, including casting, machining, assembly, prototyping, testing, and painting for drivelines and heat treatment processes like carburizing, induction hardening, and nitriding for gear manufacturing.
Carraro India has demonstrated consistent financial growth, with notable profitability and operational efficiency improvements. The company’s Profit After Tax (PAT) increased by 29% from FY23 to FY24, reflecting enhanced operational performance. Furthermore, Carraro India maintains a strong balance sheet characterized by controlled borrowings and a steadily increasing net worth.
Established presence in the agricultural and construction equipment sector.
Advanced manufacturing technologies and robust infrastructure.
Diversified product offerings catering to multiple sectors.
Dependence on specific market segments such as off-highway vehicles.Limited geographical footprint compared to global peers.
OPPORTUNITIES
THREATS
There is a rising demand for agricultural and construction equipment in emerging markets.
There is potential for geographic expansion and diversification.
Increasing focus on technological advancements in gear and transmission manufacturing.
There is Intense competition from both domestic and international players.
It is susceptibility to economic cycles affecting the agricultural and construction sectors.
Fluctuations in raw material prices impact production costs.
Conclusion The Carraro India Limited IPO provides an opportunity to engage with a company with a strong position in the agricultural and construction equipment manufacturing sector. Carraro India is a notable player with its advanced technologies and consistent financial growth.
However, potential investors should carefully evaluate the company’s SWOT analysis and financials to make informed decisions. This IPO marks a significant milestone for Carraro India and offers a glimpse into its future growth trajectory.
Disclaimer Note: The securities quoted, if any, are for illustration only and are not recommendatory. This article is for education purposes only and shall not be considered as a recommendation or investment advice by Equentis – Research & Ranking. We will not be liable for any losses that may occur. Investments in the securities market are subject to market risks. Read all the related documents carefully before investing. Registration granted by SEBI, membership of BASL & the certification from NISM in no way guarantee performance of the intermediary or provide any assurance of returns to investors.
This week is bustling with IPO activity, featuring 10 upcoming listings. Of these, 7 are mainboard IPOs, including notable names like Transrail Lighting Limited and DAM Capital Advisors, while 3 SME IPOs aim to raise a total of ₹71.72 crore.
The mainboard IPOs collectively target a much larger sum, with a combined goal of ₹4630 crore. With such a packed schedule, let’s look at each IPO’s key highlights and what they offer.
Transrail Lighting IPO
Transrail Lighting IPO is a book-built issue aiming to raise ₹838.91 crores. The issue consists of a fresh issue of 0.93 crore shares amounting to ₹400.00 crores and an offer for sale of 1.02 crore shares aggregating ₹438.91 crores.
The company will be listed on the BSE and NSE with a tentative date of December 27, 2024. Retail investors can apply for a minimum lot size of 34 shares, amounting to ₹14,688. The minimum lot size for Small and Medium Investors (sNII) is 14 lots (476 shares), totaling ₹2,05,632, while for Bulk Investors (bNII), it is 69 lots (2,346 shares), amounting to ₹10,13,472.
The company plans to utilize the net proceeds of the IPO for the following purposes:
To meet incremental working capital requirements.
To fund capital expenditure needs.
For general corporate purposes.
GMP of Transrail Lighting IPO
As of December 17, 2024, the Transrail Lighting IPO has a Grey Market Premium (GMP) of ₹120. With the price band of ₹432 per share, the estimated listing price is ₹552. This indicates a potential gain of 27.78% per share, reflecting positive market sentiment.
Company Overview
Transrail Lighting Limited, established in February 2008, is an engineering and construction company specializing in power transmission, distribution, and infrastructure projects. The company provides services in transmission line construction, civil engineering (including bridges and elevated roads), and railway electrification. It also manufactures and installs lattice structures, conductors, and poles for lighting. Transrail has completed over 200 projects globally, with a presence in 58 countries, including Bangladesh, Kenya, and Finland.
Financials
Transrail Lighting Limited has shown impressive financial growth. For the financial year ending March 31, 2024, the company’s revenue grew by 30.2%, and its profit after tax (PAT) surged by 116.8% compared to the previous year.
SWOT Analysis of Transrail Lighting Limited
STRENGTHS
WEAKNESSES
Extensive presence across 58 countries, offering a broad market reach.
Strong track record of over 200 completed projects in power transmission and distribution.
Diversified portfolio covering transmission, civil construction, lighting, and railway services.
Increasing dependence on large infrastructure projects can be subject to delays and cost overruns.
Limited market share in some regions compared to larger competitors.
OPPORTUNITIES
THREATS
Growing demand for infrastructure development globally, particularly in emerging markets.
Expansion of railway electrification and renewable energy projects.
Fierce competition from both local and international players.
Fluctuations in raw material costs affect project margins.
Regulatory changes in key markets impacting operations.
It is a book-built issue aiming to raise ₹840.25 crores. The entire issue is an offer for sale, consisting of 2.97 crore shares. The allotment is expected to be finalized on December 24, 2024. The shares will be listed on BSE and NSE, with the tentative date set for December 27, 2024.
Retail investors can apply for a minimum lot size of 53 shares, which requires an investment of ₹14,999. For Small and Medium Investors (sNII), the minimum lot size is 14 lots (742 shares), totaling ₹2,09,986, and for Bulk Investors (bNII), it is 67 lots (3,551 shares), amounting to ₹10,04,933.
Objectives of the DAM Capital Advisors Limited IPO
The company will not receive any proceeds from the offer for sale by the selling shareholders.
GMP of the DAM Capital Advisors Limited IPO
As of December 17, 2024, the DAM Capital Advisors IPO has a Grey Market Premium (GMP) of ₹108. With the price band set at ₹283 per share, the estimated listing price is ₹391. This suggests an expected percentage gain of 38.16% per share.
Company Overview
DAM Capital Advisors Limited is an Indian investment bank offering various financial solutions. Its services include investment banking (equity capital markets, mergers and acquisitions, private equity, and structured finance advisory) and institutional equities (broking and research).
Since its acquisition on November 7, 2019, the company has executed 72 equity capital market transactions and advised on 23 M&A, private equity, and structured finance deals. It has a diverse client base, including 263 active clients, and operates in global markets such as India, the USA, the UK, Europe, and Asia.
Financials
DAM Capital Advisors Limited’s revenue grew by 114%, and its profit after tax (PAT) surged by 713% for the financial year ending March 31, 2024, compared to the previous year.
SWOT Analysis of DAM Capital Advisors Limited
STRENGTHS
WEAKNESSES
Strong track record in executing major equity capital market transactions. Established presence in international markets, with a broad client base across geographies. A diverse range of financial services is offered, including high-demand areas like M&A and private equity.
Strong dependency on advisory and capital market services is subject to market volatility. Limited brand recognition compared to larger investment banks in India.
OPPORTUNITIES
THREATS
Increasing demand for financial advisory services in India and emerging markets. Expansion of institutional equities and research services to new clients.
Intense competition from larger investment banks and financial institutions. Regulatory changes that could impact business operations in key markets.
Mamata Machinery IPO is a book-built issue aiming to raise ₹179.39 crores. The issue consists entirely of an offer for sale of 0.74 crore shares. The allotment will be finalized on December 24, 2024. The shares will be listed on BSE and NSE, with the tentative listing date set for December 27, 2024.
Retail investors can apply for a minimum lot size of 61 shares, with an investment of ₹14,823. For Small and Medium Investors (sNII), the minimum lot size is 14 lots (854 shares), totaling ₹2,07,522, and for Bulk Investors (bNII), it is 68 lots (4,148 shares), amounting to ₹10,07,964.
Mamata Machinery will not receive any proceeds from the offer. The offer proceeds will go to the selling shareholders after deducting offer-related expenses.
GMPof the Mamata Machinery Limited IPO
As of December 17, 2024, the Mamata Machinery IPO has a Grey Market Premium (GMP) of ₹111. With the price band set at ₹243 per share, the estimated listing price is ₹354. This implies a potential gain of 45.68% per share, which suggests strong market demand for the stock.
Company Overview
Mamata Machinery Limited, founded in April 1979, manufactures machines for producing plastic bags, pouches, packaging, and extrusion equipment. The company serves the packaging industry, catering primarily to the FMCG, food, and beverage sectors.
Its notable clients include Balaji Wafers, Chitale Foods, Om Flex India, and Gits Food Products. The company exports to over 75 countries and has international offices in Bradenton, Florida, Montgomery, Illinois, and sales agents in Europe, South Africa, and Asia.
Financials
Mamata Machinery Limited has shown solid financial performance. The company’s revenue increased by 14.84% compared to the previous year, and its profit after tax (PAT) grew by 60.52% for the financial year ending March 31, 2024.
SWOT Analysis of Mamata Machinery Limited
STRENGTHS
WEAKNESSES
Long-established presence in the packaging machinery market. A wide international reach, exporting to over 75 countries. Strong client base across various industries, including FMCG and food & beverage sectors.
Heavy reliance on the packaging industry can be subject to market fluctuations. Dependence on the global export market exposes the company to currency risks and geopolitical instability.
OPPORTUNITIES
THREATS
Growing demand for packaging machinery in emerging markets. Expansion of product offerings and penetration in new regions.
Intense competition from both domestic and international players in the machinery manufacturing sector. Fluctuations in raw material prices affect profit margins.
Sanathan Textiles IPO is a book-built issue worth ₹550.00 crores. The issue comprises a fresh issue of 1.25 crore shares, aggregating to ₹400.00 crores, and an offer for sale of 0.47 crore shares, totaling ₹150.00 crores. Retail investors can apply for a minimum lot size of 46 shares, requiring an investment of ₹14,766. For sNII, the minimum lot size is 14 lots (644 shares), amounting to ₹2,06,724; for bNII, it is 68 lots (3,128 shares), totaling ₹10,04,088.
Investment in its subsidiary, Sanathan Polycot Private Limited, for debt repayment.
General corporate purposes.
GMP of Sanathan Textiles Limited IPO
As of December 17, 2024, the Grey Market Premium (GMP) for Sanathan Textiles IPO stands at ₹0. With a price band cap of ₹321, the estimated listing price is ₹321, reflecting no premium or discount (0.00%).
Company Overview
Sanathan Textiles Limited, incorporated in 2005, is a leading polyester yarn manufacturer and a global supplier of cotton yarn. The company operates in three key segments: polyester, cotton yarn, and technical textiles. These technical yarns cater to automotive, healthcare, construction, sports, and protective wear industries.
The company has over 3,200 active yarn varieties and over 45,000 stock-keeping units (SKUs). It can manufacture over 14,000 yarn varieties and 190,000 SKUs for diverse applications. As of June 30, 2024, the company had over 925 distributors across India and six other countries, including Canada, Germany, and Israel.
Financial Strength
Sanathan Textiles reported a decline in performance for the year ending March 31, 2024. Revenue fell by 11%, and the profit after tax (PAT) decreased by 12% compared to the previous year.
SWOT Analysis of Sanathan Textiles Limited
STRENGTHS
WEAKNESSES
Wide product portfolio with extensive SKUs.
Strong presence in domestic and international markets.
Established relationships with distributors globally.
The recent decline in financial performance.
Dependence on the textile industry is cyclical and sensitive to market demand.
OPPORTUNITIES
THREATS
Growing demand for technical textiles in emerging sectors like healthcare and automotive.
Expansion opportunities in untapped global markets.
Volatile raw material prices impact margins.
Competition from domestic and international textile manufacturers.
Concord Enviro Systems IPO is a book-built issue totaling ₹500.33 crores. The issue consists of a fresh issue of 0.25 crore shares aggregating ₹175.00 crores and an offer for sale of 0.46 crore shares worth ₹325.33 crores. The price band is set between ₹665 and ₹701 per share.
The minimum lot size is 21 shares, requiring a retail investment of ₹14,721. The minimum investment for sNII is 14 lots (294 shares) at ₹2,06,094, and for bNII, it is 68 lots (1,428 shares) at ₹10,01,028.
Objectives of the Concord Enviro Systems Limited IPO
The funds will be utilized for the following purposes:
Capital expenditure for the greenfield project in the UAE (assembly unit).
Expansion of manufacturing facilities for the Vasai project.
Purchase of plant and machinery.
Prepayment/repayment of borrowings by Concord Enviro FZE.
Working capital requirements for Concord Enviro FZE.
Investment in the joint venture Reserve Enviro Pvt. Ltd. for business growth.
Investment in technology and new market initiatives.
General corporate purposes.
GMP of Concord Enviro Systems Limited IPO
The Grey Market Premium (GMP) for Concord Enviro Systems IPO is ₹0 as of December 17, 2024. With a price band cap of ₹701, the estimated listing price remains ₹701, showing no premium or discount (0.00%).
Company Overview
Incorporated in July 1999, Concord Enviro Systems Limited specializes in global water and wastewater treatment and reuse solutions, including zero-liquid discharge (ZLD) technology. The company offers integrated services, including design, installation, operations and maintenance (O&M), and IoT-based digital solutions.
Concord Enviro’s operations are divided into four key areas:
Manufacturing and sale of water treatment, reuse, and ZLD systems.
Operations and maintenance services.
Sale of consumables and spare parts, including membranes, plants, and chemicals.
Installation of compressed biogas plants (CBG).
Financial Strength
The company has shown robust financial growth. Between FY 2023 and FY 2024, revenue grew by 46%, while profit after tax (PAT) surged by 655%, showcasing strong operational efficiency.
SWOT Analysis of Concord Enviro SystemsLimited
STRENGTHS
WEAKNESSES
Comprehensive solutions for water treatment and reuse.
Strong financial performance with high-profit growth.
Advanced ZLD technology catering to sustainability goals.
Greater influence of industrial demand for water treatment.
Capital-intensive projects that may impact cash flow.
OPPORTUNITIES
THREATS
Growing global demand for wastewater treatment and ZLD solutions.
Expansion into international markets and IoT-based digital solutions.
Competition from domestic and global players in water treatment.
Regulatory changes and delays in large-scale industrial projects.
Ventive Hospitality IPO is a book-built issue worth ₹1,600.00 crores. The issue consists entirely of a fresh issue of 2.49 crore shares. The IPO price band is between ₹610 and ₹643 per share. The IPO will list on BSE and NSE, with the tentative listing date scheduled for Monday, December 30, 2024.
The minimum lot size for retail investors is 23 shares, requiring an investment of ₹14,789. For sNII, the minimum lot size is 14 lots (322 shares) at ₹2,07,046; for bNII, it is 68 lots (1,564 shares) at ₹10,05,652.
The company plans to use the funds for the following purposes:
Repayment/prepayment, in part or full, of certain borrowings.
Payment of interest accrued on borrowings for the company and its step-down subsidiaries.
Investments in subsidiaries SS & L Beach Private Limited and Maldives Property Holdings Private Limited.
General corporate purposes.
GMP
As of December 17, 2024, the Grey Market Premium (GMP) for Ventive Hospitality IPO is ₹0. Based on the cap price of ₹643, the estimated listing price remains ₹643, reflecting no premium or discount (0.00%).
Company Overview
Incorporated in February 2002, Ventive Hospitality Limited operates in the hospitality sector, focusing on the business and leisure segments. The company develops and manages luxury hotels and resorts in India and the Maldives.
As of September 30, 2024, Ventive Hospitality manages 11 operational assets comprising 2,036 keys across upscale segments. Global hospitality giants like Marriott, Hilton, Minor, and Atmosphere operate or franchise their properties. Key assets include JW Marriott Pune, The Ritz-Carlton Pune, Conrad Maldives, Anantara Maldives, and Raaya by Atmosphere Maldives.
Financial Strength
Between FY 2023 and FY 2024, the company’s revenue grew by 8%. However, profit after tax (PAT) significantly declined, dropping by -526%, indicating substantial financial pressure.
SWOT Analysis of Ventive Hospitality Limited
STRENGTHS
WEAKNESSES
Strong presence in luxury hospitality with high-end assets in prime locations.
Partnerships with global operators like Marriott and Hilton.
Diversified geographical presence, including popular destinations like the Maldives.
Strong dependence on borrowings, leading to financial instability.
Significant decline in PAT, raising profitability concerns.
OPPORTUNITIES
THREATS
Growth in luxury travel and hospitality demand post-pandemic.
Expansion opportunities in premium spiritual and cultural destinations.
Economic downturns affect leisure and business travel.
Rising competition in the upscale hospitality segment.
Senores Pharmaceuticals IPO is a book-built issue comprising a fresh issue worth ₹50 crore and an offer for sale of 0.21 crore shares. The IPO will open for subscription on December 20, 2024, and close on December 24, 2024. The allotment is expected to be finalized on Thursday, December 26, 2024. The company’s shares will list on BSE and NSE, with a tentative listing date set for Monday, December 30, 2024.
Objectives of the Senores Pharmaceuticals Limited IPO
The company aims to use the funds for the following purposes:
Investment in subsidiary Havix Group, Inc. to set up a sterile injection manufacturing facility in Atlanta.
Repayment or prepayment of borrowings availed by the company.
Repayment or prepayment of borrowings availed by Havix Group, Inc.
Funding the company’s working capital requirements.
Funding working capital requirements for subsidiaries Senores Pharmaceuticals Inc. and Ratnatris Pharmaceutical Private Limited.
Supporting inorganic growth, acquisitions, and general corporate purposes.
GMP of Senores Pharmaceuticals Limited IPO
The Grey Market Premium (GMP) for Senores Pharmaceuticals IPO has not been announced yet.
Company Overview
Incorporated in December 2017, Senores Pharmaceuticals Limited develops and manufactures pharmaceutical products for regulated markets such as the US, Canada, and the UK and serves emerging markets.
The company’s portfolio includes a wide range of tablets and capsules like Amphetamine Sulfate, Hydroxychloroquine Sulfate, Ketoconazole, and more. As of September 30, 2024, Senores has launched 55 products in key therapeutic segments, particularly antibiotics and anti-fungal treatments. They have established partnerships with distributors and hospitals across various states in India.
Financial Strength
The company has demonstrated impressive financial growth. Between FY 2023 and FY 2024, revenue increased by 457%, while profit after tax (PAT) rose by 288%, showcasing strong performance and scalability.
SWOT Analysis of Senores Pharmaceuticals Limited
STRENGTHS
WEAKNESSES
Rapid revenue and profit growth in regulated markets.
Strong portfolio with 55 products across critical therapeutic segments.
Established presence in key global markets like the US, Canada, and the UK.
Heavy reliance on subsidiaries for manufacturing and growth.
Dependency on regulatory approvals to launch new products in international markets.
OPPORTUNITIES
THREATS
Expansion in emerging markets and untapped geographies.
New product launches and increased focus on sterile injection manufacturing.
Stringent regulatory requirements in the US and other regulated markets.
Rising competition from global and domestic pharmaceutical players.
Having covered all the mainboard IPOs scheduled for this week, let’s now focus on the 3 SME IPOs set to hit the market. These offerings come from various sectors, including infrastructure, VFX, and steel, providing a diverse set of opportunities for investors.
These companies aim to raise ₹71.72 crore, catering to different investor preferences and goals. With such a varied lineup, there’s something for everyone looking to explore niche segments. Let’s dive into the key highlights of each SME IPO and see what they have to offer.
This week brings exciting IPO opportunities, ranging from established names like Transrail Lighting Limited and DAM Capital Advisors to promising SME offerings. Investors have various choices, whether they prefer large-scale investments or stocks with high-growth potential in niche markets.
As always, analyzing the details carefully and weighing the risks before making any investment decisions is crucial. As these IPOs debut in the market, look for more updates and insights.
Disclaimer Note: The securities quoted, if any, are for illustration only and are not recommendatory. This article is for education purposes only and shall not be considered as a recommendation or investment advice by Equentis – Research & Ranking. We will not be liable for any losses that may occur. Investments in the securities market are subject to market risks. Read all the related documents carefully before investing. Registration granted by SEBI, membership of BASL & the certification from NISM in no way guarantee performance of the intermediary or provide any assurance of returns to investors.
Did you participate in the recent Vishal Mega Mart IPO? The Gurugram-based hypermarket chain’s public offering generated significant investor interest and closed with an impressive 27.28-times oversubscription. With the bidding window closing, investors eagerly await the allotment status.
To check your allotment status, we explain everything you need about the Vishal Mega Mart IPO, from subscription details to Grey Market Premium (GMP).
Strong Investor Response to Vishal Mega Mart IPO
The Gurugram-basedVishal Mega Mart opened its IPO for bidding from December 11 to December 13. It offered shares at a price band of ₹74-78 per share, with a minimum lot size of 190 shares. The IPO aimed to raise ₹8,000 crore entirely through an offer-for-sale (OFS) of up to 1,02,56,41,025 equity shares.
The subscription details reveal the immense interest among various categories of investors:
Qualified institutional buyers (QIBs)
Subscribed 80.75 times
Non-institutional investors (NIIs)
Subscribed 14.24 times
Retail investors
Subscribed 2.31 times
The IPO received bids for 20,64,25,17,700 equity shares against the 75,67,56,757 shares on offer, garnering bids worth ₹1.60 lakh crore. Of this, QIBs alone accounted for ₹1.36 lakh crore worth of bids, underscoring the strong demand from institutional investors. Source: Mint
Key Dates and Allotment Process
The allotment status of Vishal Mega Mart IPO is expected to be finalized soon. Under the ‘T+3’ listing rule, the IPO must be listed within three days of the subscription closure, making this a highly anticipated event for investors.
What Happens Post-Allotment?
Once the allotment is finalized:
Shares will be credited to the demat accounts of successful bidders.
Refunds for unsuccessful applications will be initiated on the same day.
Financial Strength and Business Overview
Founded in 2001, Vishal Mega Mart operates as a prominent hypermarket chain in India, offering a diverse range of products under its General Merchandise and Food and Groceries sections. Key highlights of the business:
Retail Presence: Operates 645 franchised stores in 414 cities with over 11 million square feet of retail space.
Ownership: Acquired by Switzerland’s Partners Group and India’s Kedaara Capital in 2018.
Product Categories: The General Merchandise section includes home and kitchen appliances alongside travel products, while the Food and Groceries section features FMCG items such as personal and household care essentials.
Financial Performance:
Revenue grew by 17.41% between FY23 and FY24, reflecting strong operational efficiency and market demand.
Profit after tax (PAT) surged by 43.78% during the same period, underscoring the company’s ability to enhance profitability.
Market Capitalization: Stands at ₹35,168.01 crore, highlighting its strong market positioning.
Vishal Mega Mart shares show a bullish trend in the unlisted market, supported by a decent grey market premium (GMP). According to stock market observers, today’s Vishal Mega Mart IPO GMP is ₹19 per share. This indicates that Vishal Mega Mart shares are trading ₹19 higher in the grey market compared to their issue price.
Based on the current GMP of ₹19, the estimated listing price of the shares is₹97 per share. This represents a premium of 24.36% over the IPO price of ₹78 per share. The positive GMP suggests strong investor sentiment and expectations of robust performance upon listing. Source: Mint
How to Check Vishal Mega Mart IPO Allotment Status
If you’ve applied for the IPO, here’s how you can check your allotment status:
Select the IPO name (only available if the allotment is finalized).
Choose your preferred mode for verification: Application Number, Demat Account Number, or PAN ID.
Specify your application type (ASBA or non-ASBA).
Fill in the necessary details and captcha.
Submit the form to view your allotment status.
Registrar and Lead Managers
KFin Technologies Limited, the official registrar, is handling the IPO process. KFinTech is responsible for processing applications, managing refunds, and resolving investor queries. The lead managers for the IPO include:
Kotak Mahindra Capital Company
ICICI Securities
Intensive Fiscal Services
Jefferies India
JP Morgan India
Morgan Stanley India
Conclusion
The Vishal Mega Mart IPO has drawn significant participation from all categories of investors, with high subscription levels among QIBs, NIIs, and retail investors. This indicates broad-based interest in the company and its growth potential. As the next key step, investors who have applied for shares are advised to check their allotment status through the BSE or KFinTech portals.
With its established presence in the Indian retail market, consistent financial growth, and buoyant grey market sentiment, market participants are closely watching the IPO’s listing. Whether you’re a retail investor or an institutional player, keeping track of the allotment and understanding the steps to verify your status is crucial. Stay updated to ensure you don’t miss out on any key developments.
Disclaimer Note: The securities quoted, if any, are for illustration only and are not recommendatory. This article is for education purposes only and shall not be considered as a recommendation or investment advice by Equentis – Research & Ranking. We will not be liable for any losses that may occur. Investments in the securities market are subject to market risks. Read all the related documents carefully before investing. Registration granted by SEBI, membership of BASL & the certification from NISM in no way guarantee performance of the intermediary or provide any assurance of returns to investors.
This week is packed with IPO activity, with 11 IPOs set to debut in the market. 5 mainboard IPOs are drawing attention, including well-known names like Vishal Mega Mart and One Mobikwik. On the other hand, 6 SME IPOs are targeting a collective sum of ₹145 crore.
The mainboard IPOs aim for a significantly larger amount, with a combined target of ₹18,337 crore. With such a busy lineup, let’s dive into the key details of each of these IPOs and see what they have to offer.
Vishal Mega Mart Limited
Vishal Mega Mart is set to launch its ₹8,000 crore IPO, entirely structured as an offer for sale (OFS) of 102.56 crore shares. The IPO will open for subscription on December 11, 2024, and close on December 13, 2024. Allotments are expected to be finalized by December 16, 2024, with shares slated to list on the BSE and NSE on December 18, 2024.
Investors can apply with a minimum lot size of 190 shares, requiring an investment of ₹14,820 for retail participants. Small non-institutional investors (sNII) need a minimum of 14 lots (2,660 shares), amounting to ₹207,480, while big non-institutional investors (bNII) need at least 68 lots (12,920 shares), requiring ₹1,007,760.
Vishal Mega Mart Limited Grey Market Premium (GMP)
As of December 9, 2024, Vishal Mega Mart’s IPO has a Grey Market Premium (GMP) of ₹23, with a price band of ₹78 per share. This suggests an estimated listing price of ₹101 per share, representing a potential gain of 29.49% on the listing day. The strong GMP indicates positive investor sentiment and could hint at a good demand for the IPO.
Objectives of the Vishal Mega Mart Limited IPO
This IPO is an Offer for Sale (OFS), and Vishal Mega Mart will not directly receive any proceeds from the issue.
The proceeds will go to the promoter-selling shareholder after deducting taxes and IPO-related expenses.
Company Overview
Vishal Mega Mart, established in 2001, is a leading hypermarket chain in India, offering products like apparel, groceries, electronics, and home essentials. Catering to middle and lower-middle-income groups, it operates 645 stores across 414 cities in 28 states and two union territories (as of September 30, 2024). With a growing digital presence via its app and website, the company follows an asset-light model, leasing stores and sourcing products from third-party manufacturers to optimize costs and scalability.
Financial Strength
Vishal Mega Mart has demonstrated good financial performance in recent years. Between FY23 and FY24, the company’s revenue grew by 17.41%, reflecting its strong operational efficiency and market demand. Its profit after tax (PAT) surged by 43.78% during the same period
Established presence with 645 stores across India and a strong digital platform.
Asset-light model minimizes fixed costs and enhances operational flexibility.
Diversified product portfolio catering to essential consumer needs.
Consistent financial growth with a significant rise in revenue and profitability.
Heavy reliance on third-party vendors for product sourcing.
IPO proceeds will not benefit the company directly, limiting immediate growth funding.
OPPORTUNITIES
THREATS
Expansion potential in Tier-III and rural markets.
Growing demand for affordable retail options among price-conscious consumers.
Scope for strengthening its e-commerce presence to complement its physical stores.
Intense competition from retail giants and e-commerce platforms.
Vulnerability to economic downturns affecting consumer spending in its target demographic.
Dependency on leased infrastructure, which could pose operational challenges.
Sai Life Sciences Limited
Sai Life Sciences is launching its ₹3,042.62 crore IPO, a combination of a fresh issue of ₹950 crores and an offer for sale (OFS) of ₹2,092.62 crores, comprising a total of 5.54 crore shares. The IPO will open for subscription on December 11, 2024, and close on December 13, 2024. Allotments are scheduled to be finalized on December 16, 2024, with the listing expected on December 18, 2024, on the BSE and NSE.
The price band is set at ₹522 to ₹549 per share, with a minimum lot size of 27 shares. For retail investors, the minimum investment required is ₹14,823. For small non-institutional investors (sNII), the minimum investment is ₹207,522 for 14 lots (378 shares), while for big non-institutional investors (bNII), it is ₹1,007,964 for 68 lots (1,836 shares).
Grey Market Premium of Sai Life Sciences Limited (GMP)
Sai Life Sciences IPO has a Grey Market Premium (GMP) of ₹42, as of December 9, 2024, 09:00 AM. Based on the cap price of ₹549, the estimated listing price is ₹591 per share, indicating a potential gain of 7.65%. The GMP reflects moderate optimism among investors.
Objectives of the Premium IPO
To repay or prepay certain outstanding company borrowings in full or in part.
For general corporate purposes.
Company Overview
Incorporated in January 1999, Sai Life Sciences Limited specializes in researching, developing, and manufacturing new chemical entities for small molecules. The company provides customized services to biotech and global pharmaceutical companies, catering to the unique needs of over 280 pharmaceutical innovators in FY24, including 230 clients as of September 30, 2024. Impressively, Sai Life Sciences collaborates with 18 of the top 25 global pharmaceutical companies ranked by revenue in 2023.
The company serves clients across major markets, including the US, UK, Europe, and Japan, and a highly experienced business development team supports it. This team comprises 16 professionals, strategically positioned with six in the US, nine in the UK and Europe, and one in Japan.
Financial Strength
Sai Life Sciences has demonstrated good financial growth between FY23 and FY24. The company’s revenue grew by 20%, while its profit after tax (PAT) surged by 729%.
Long-term partnerships with leading global pharmaceutical companies.
Established presence in key markets like the US, UK, Europe, and Japan.
Diverse service offerings spanning drug discovery, development, and manufacturing.
Outstanding financial performance with a 729% PAT growth in FY24.
Revenue concentration from a limited number of large clients.
Exposure to shifts in global pharma sector demand.
OPPORTUNITIES
THREATS
Increasing reliance on outsourcing by global biotech and pharma firms.
Expansion potential in underserved and emerging markets.
Ability to scale niche services in discovery and development.
Competitive pressure from global CRO and CDMO players.
Complex regulatory landscapes in multiple jurisdictions.Risk of disruption from evolving pharmaceutical technologies.
One Mobikwik Systems Limited
One Mobikwik Systems Limited is launching a ₹572 crore IPO, fully comprising a fresh issue of 2.05 crore shares. The allotment will be finalized on December 16, 2024, with shares expected to list on the BSE and NSE on December 18, 2024. Investors can apply for a minimum lot size of 53 shares, requiring an investment of ₹14,787. Small non-institutional investors (sNII) must invest ₹207,018 for 14 lots (742 shares), while big non-institutional investors (bNII) need ₹1,005,516 for 68 lots (3,604 shares).
Grey Market Premium of One Mobikwik Systems Limited(GMP)
The IPO has a GMP of ₹95 as of December 9, 2024, with an estimated listing price of ₹374 per share, based on the cap price of ₹279. This reflects a potential gain of 34.05%, indicating strong demand in the market.
Invest in data, machine learning, AI, products, and technology.
Capital expenditure for the payment devices business.
General corporate purposes.
Company Overview
Incorporated in 2008, Mobikwik is a fintech company offering digital wallets and online payment services. It enables users to pay bills, recharge mobile phones, shop online and offline, transfer money, check bank balances, and make payments through QR codes or credit cards.
The company has introduced innovative solutions like MobiKwik ZIP, ZIP EMI, and Merchant Cash Advance. These leverage digital infrastructure like Aadhaar and NSDL to provide seamless, digital-first financial experiences.
Financial Strength
Between FY23 and FY24, Mobikwik achieved 59% revenue growth and saw its profit after tax (PAT) rise by an impressive 117%, reflecting its strong financial performance and operational scalability.
Established presence in the digital payment ecosystem.
Innovative products like MobiKwik ZIP and ZIP EMI.
Significant revenue and profit growth in FY24.
High competition in the fintech sector.
Reliance on partnerships for certain financial products.
OPPORTUNITIES
THREATS
Increasing adoption of digital payments in India.
Expansion in underserved markets.Potential to enhance offerings using AI and ML.
Regulatory risks in fintech operations.
Market competition from established players like Paytm and PhonePe.
Dependency on public digital infrastructure for operations.
Inventurus Knowledge Solutions Limited
Inventurus Knowledge Solutions Limited is launching a ₹2,497.92 crore IPO, entirely an offer for sale of 1.88 crore shares. The IPO opens on December 12, 2024, and closes on December 16, 2024.
The allotment date is December 17, 2024, and shares are expected to list on the BSE and NSE on December 19, 2024. Investors can apply for a minimum lot size of 11 shares, requiring an investment of ₹14,619. Small non-institutional investors (sNII) must invest ₹204,666 for 14 lots (154 shares), while big non-institutional investors (bNII) need ₹1,008,711 for 69 lots (759 shares).
Grey Market Premium of Inventurus Knowledge Solutions Limited (GMP)
The IPO has a GMP of ₹225 as of December 9, 2024, with an estimated listing price of ₹1,554 per share, based on the cap price of ₹1,329. This reflects a potential gain of 16.93%, suggesting moderate market interest.
Objectives of Inventurus Knowledge Solutions Limited IPO
Proceeds will be entirely allocated to the selling shareholders, with no funds going to the company.
Company Overview
Incorporated in 2006, Inventurus Knowledge Solutions (IKS Health) specializes in providing administrative support to healthcare enterprises. Its services include clinical support, virtual medical scribing, and medical documentation management, helping doctors and healthcare providers reduce paperwork burdens.
IKS Health’s platform supports outpatient care, such as observation, diagnosis, and treatment without hospital admission, and inpatient care, which involves medical services requiring hospital stays. The company focuses on enhancing patient care delivery and reducing administrative bottlenecks for healthcare providers.
Financial Strength
Inventurus Knowledge Solutions recorded a 75.25% revenue growth and a 21.38% increase in PAT in FY24 compared to FY23, demonstrating strong operational performance and profitability.
SWOT Analysis of Inventurus Knowledge Solutions Limited
STRENGTHS
WEAKNESSES
Unique position in healthcare administrative support.
Strong revenue growth with stable profitability.
Established presence in both outpatient and inpatient care services.
Strong dependance on the healthcare sector for business.
Limited diversification in revenue streams.
OPPORTUNITIES
THREATS
Growing demand for healthcare outsourcing.
Potential expansion into international healthcare markets.
Increasing need for virtual healthcare solutions..
Regulatory changes in the healthcare sector.
Competition from other healthcare technology providers.
Dependency on healthcare providers’ adoption of outsourcing.
International Gemological Institute (India) Limited
The International Gemological Institute (IGI) IPO is a book-built issue worth ₹4,225 crores, comprising a fresh issue of ₹1,475 crore and an offer for sale of ₹2,750 crores. The IPO opens for subscription on December 13, 2024, and closes on December 17, 2024. The allotment for the IPO is expected to be finalized on December 18, 2024, and the shares are likely to list on BSE and NSE on December 20, 2024.
Grey Market Premium of International Gemological Institute (India) Limited (GMP)
As of December 9, 2024, the GMP for the IGI IPO stands at ₹107.50, indicating an expected listing price of ₹524.50 (cap price of ₹417 plus the GMP). This reflects a potential gain of 25.78%, suggesting strong market interest and positive sentiment for the IPO.
Objectives of International Gemological Institute (India) Limited IPO
The company plans to use the net proceeds from the IPO for the following purposes:
Payment for acquiring the IGI Belgium Group and IGI Netherlands Group from the promoter.
General corporate purposes.
Company Overview
Incorporated in February 1999, the International Gemmological Institute (IGI) India is a leading diamond, gemstone, and jewelry certification and grading organization. The company provides independent grading reports for diamonds and gemstones based on internationally accepted standards, assessing key characteristics like color, cut, clarity, and carat weight.
IGI operates 31 laboratories worldwide and provides grading services for natural diamonds, lab-grown diamonds, gemstones, and finished jewelry. The company also runs 18 gemology schools that graduate thousands of students annually. IGI is renowned for its expertise and is a trusted name in the global gem and jewelry industry.
Financial Strength
IGI has shown consistent growth in its financials. As of September 30, 2024, the company recorded a revenue of ₹619.49 crore, significantly rising from ₹374.29 crore in 2021. Similarly, PAT increased from ₹171.53 crore in 2021 to ₹326.06 crore in September 2024, reflecting profitability and operational efficiency.
SWOT Analysis of International Gemological Institute (India) Limited
STRENGTHS
WEAKNESSES
Global recognition in gem and jewellery certification.Strong presence in 31 laboratories worldwide.Well-established reputation in the diamond and gemstone grading industry.
Dependence on the gem industry, which can be cyclical.Limited diversification outside grading and certification.
OPPORTUNITIES
THREATS
Expansion of gemology schools and educational offerings.Growing demand for lab-grown diamonds and sustainable gemstones.Potential to expand market share in emerging markets.
Intense competition from other gem certification agencies.Changes in regulations or standards in the grading industry.Fluctuations in the global diamond market, impacting demand.
SME IPOs launching this week
Now that we’ve discussed all the mainboard IPOs scheduled for this week, it’s time to shift our focus to the 6 SME IPOs set to debut. These IPOs span various sectors, offering opportunities in industries such as aggrotech, marketing consulting, fashion, and transformers.
Together, these companies are looking to raise a total of ₹145 crore from the market. With such a diverse mix of businesses, investors can find options across different sectors that align with their interests and investment goals. Let’s take a closer look at the key details of each of these SME IPOs and what they bring to the table.
With a diverse range of IPOs launching this week, from major players like Vishal Mega Mart and One Mobikwik to promising SME offerings, investors have plenty of opportunities to explore. Whether you’re looking at large-scale investments or smaller, high-growth potential stocks, this week’s IPOs offer something for everyone. As always, reviewing the details and assessing the risks before making any investment decisions is important. Stay tuned for further updates and insights on these IPOs as they begin their market journey.
Disclaimer Note: The securities quoted, if any, are for illustration only and are not recommendatory. This article is for education purposes only and shall not be considered as a recommendation or investment advice by Equentis – Research & Ranking. We will not be liable for any losses that may occur. Investments in the securities market are subject to market risks. Read all the related documents carefully before investing. Registration granted by SEBI, membership of BASL & the certification from NISM in no way guarantee performance of the intermediary or provide any assurance of returns to investors.
The ₹114.24-crore Nisus Finance Services IPO has seen strong investor participation since it opened for bidding on Wednesday. On Day 1, the IPO was fully subscribed within hours, with the overall subscription reaching 3.13 times by the end of the day.
The momentum continued into Day 2, with the subscription rising to 7.08 times by 11 AM. Retail investors accounted for a significant portion of the demand, subscribing 10.48 times their allotted shares. This early response highlights investor interest in the company, offering shares in a price band of ₹170 to ₹180 each, with a minimum lot size of 800 shares. Let’s explore in detail what the Nisus Finance IPO has to offer.
Nisus Finance IPO Details:
The ₹114.24-crore Nisus Finance Services IPO opened for bidding on Wednesday and quickly gained attention, achieving full subscription on its first day. The SME IPO includes a fresh issue of 56.46 lakh shares, raising ₹101.62 crore, with an offer-for-sale (OFS) of 7.01 lakh shares valued at ₹12.61 crore. The price band has been set between ₹170 and ₹180 per share, with investors required to apply for a minimum lot size of 800 shares, translating to a minimum investment of ₹1,44,000.
Key milestones in the IPO timeline include finalizing share allotment status by December 9, refunding non-allottees on December 10, and listing on the BSE SME platform on December 11.
Subscription Status
On its opening day, the IPO achieved a subscription rate of 3.13 times, with bids for 1,31,44,800 shares against the 42,05,600 shares on offer. Retail investors showed significant enthusiasm, contributing a subscription rate of 10.48 times. By 11 AM on Day 2, the IPO had garnered an overall subscription of 7.08 times, indicating strong market interest.
The current GMP for the Nisus Finance Services IPO is ₹55 (as of December 5, 2024, 9:59 AM). Based on the upper price band of ₹180, the estimated listing price is ₹235, reflecting a 30.56% gain per share.
Objectives of the IPO
The company plans to utilize the net proceeds from the IPO for:
Infrastructure Expansion:
Setting up operations in IFSC-Gift City (India), DIFC-Dubai (UAE), and FSC-Mauritius.
Distribution and Fundraising:
Covering distribution and placement costs for fund creation in Indian and international markets.
Capital Augmentation:
Strengthening the capital base of its associate company, Nisus Fincorp Private Limited (an RBI-registered NBFC).
General Corporate Purposes:
Supporting operational and expansion needs.
Company Overview
Nisus Finance Services Co. Limited, headquartered in India, was established in 2013. Operating under the ‘Nisus Finance Group’/’NiFCO’ brand, the company offers:
Transaction Advisory Services.
Real Estate and Urban Infrastructure Fund Management: Through subsidiaries like Nisus Finance & Investment Managers LLP and Nisus Finance International Advisors IFSC LLP.
Financing: Via its NBFC subsidiary, Nisus Fincorp Private.
The company has a diversified operational framework, engaging in asset management and financing across multiple geographies, including India, Dubai, and Mauritius.
Nisus Finance Services demonstrated an improved growth:
Revenue Growth: Increased by 266.16% between FY23 and FY24.
Profit After Tax (PAT): Achieved a staggering 663.29% growth over the same period.
This financial momentum underscores the company’s ability to capitalize on its transaction advisory and financing niche.
SWOT Analysis of Nisus Finance Services
STRENGTHS
WEAKNESSES
Diversified Portfolio: Engaged in advisory services, asset management, and financing.
Geographical Reach: Operations in India and international financial hubs.
Robust Financial Growth: Consistent revenue and PAT increases signal strong market positioning.
High Dependency on Real Estate: The company’s significant exposure to the real estate sector makes it vulnerable to market fluctuations.
Limited Brand Recognition: As a relatively new player, it may face challenges in competing with established financial giants.
OPPORTUNITIES
THREATS
Government Initiatives: Benefiting from policies like “Atmanirbhar Bharat” promoting self-reliance.
Global Expansion: Strategic presence in international financial centers opens up avenues for foreign investments.
Regulatory Risks: Changes in financial and real estate regulations could impact operations.
Market Competition: Intense competition from other NBFCs and financial service providers.
Final Thoughts
The ₹114.24-crore Nisus Finance Services IPO has demonstrated a promising start, reflecting investor confidence in its growth story and expansion plans. With a clear focus on leveraging technology, strengthening its capital base, and exploring international markets, the company is positioning itself for long-term success.
Disclaimer Note: The securities quoted, if any, are for illustration only and are not recommendatory. This article is for education purposes only and shall not be considered as a recommendation or investment advice by Equentis – Research & Ranking. We will not be liable for any losses that may occur. Investments in the securities market are subject to market risks. Read all the related documents carefully before investing. Registration granted by SEBI, membership of BASL & the certification from NISM in no way guarantee performance of the intermediary or provide any assurance of returns to investors.
The IPO market is abuzz with activity today as two highly anticipated offerings—one from the mainboard and another from the SME segment—reach their final day of bidding. Ganesh Infraworld IPO, representing the SME sector, has generated significant investor attention with an oversubscription of 21 times in just two days.
Suraksha Diagnostic IPO has also performed steadily on the mainboard, reflecting growing interest across market segments. As investors evaluate their options, let’s dive into the performance metrics of these two IPOs, including the latest subscription status and grey market premium (GMP) trends, to understand how they’re shaping up in the closing hours.
Ganesh Infraworld IPO
Ganesh Infraworld IPO is a book-built issue aimed at raising ₹98.58 crores. This is a fresh issue consisting of 118.77 lakh shares. The IPO opened for subscription on November 29, 2024, and will close on December 3, 2024. The allotment is expected to be finalized on December 4, 2024, with the listing scheduled on NSE SME for December 6, 2024.
The IPO requires a minimum lot size of 1,600 shares. Retail investors must invest at least ₹132,800, while HNIs must invest a minimum of ₹265,600 for 2 lots (3,200 shares).
As of the end of Day 2, the Ganesh Infraworld IPO has been subscribed 21.53 times overall. The retail investor portion saw the highest enthusiasm, with subscriptions reaching 33.02 times. Non-institutional investors (NII) followed closely, subscribing 18.72 times their allocated quota.
The qualified institutional buyers (QIB) segment, typically slower in early bidding, has also shown strong interest with a 3.51x subscription. As of 16:28 IST, the IPO had received bids for 16,11,47,200 shares against the 74,86,400 shares on offer, reflecting robust demand across all investor categories. Source:Mint
GMP (Grey Market Premium)
As of December 3, 2024, the grey market premium (GMP) for Ganesh Infraworld IPO is ₹68. Based on this, the estimated listing price is ₹151 per share, implying a substantial premium over the cap price of ₹83. Source: MoneyControl
Objectives of the IPO
The proceeds from the IPO will be utilized as follows:
To meet long-term working capital requirements.
For general corporate purposes.
Company Overview
Incorporated in 2017, Ganesh Infraworld Limited is a construction company with expertise across diverse sectors, including civil, industrial, residential, and commercial infrastructure. Its key business segments include:
Civil and Electrical Infrastructure Projects:
Construction of offices, hospitals, medical colleges, and commercial complexes.
Electrification of substations, power distribution lines, and installation of heavy machinery in power plants.
Road and Rail Infrastructure Development:
Road construction projects involving excavation, concrete layering, and finishes like seal coats.
Rail projects involving overhead equipment (OHE) design, testing, and commissioning.
Water Infrastructure Development:
Installation of water pipelines, reservoirs, and pumping systems.
Key projects include participation in the “Har Ghar Jal Mission” in Uttar Pradesh during 2022-23.
The company provides end-to-end EPC services, including planning, design, material supply, and project execution. Operating across multiple states like Rajasthan, Maharashtra, and Uttar Pradesh, Ganesh Infraworld boasts a clientele that includes prominent firms such as Magnum Ventures Limited and Jain International Power Limited.
Suraksha Diagnostic’s IPO comprises an Offer for Sale (OFS) of 19,189,330 equity shares, valued at ₹846.25 crore at the upper price band of ₹441 per share. This OFS will see the promoters and investor shareholders divest their stakes with no fresh issue of shares. The price band for the IPO is set at ₹420-₹441.
Ahead of the IPO, the company raised ₹254 crore from anchor investors, further solidifying its appeal among institutional participants. The IPO closes on December 3, 2024.
The IPO witnessed moderate investor interest during the first two days.
Day 1 (November 29, 2024): The IPO was subscribed 11% overall. The Retail Individual Investor (RII) segment saw a subscription rate of 20%, while the Non-Institutional Investors (NII) quota was subscribed 4%. The Qualified Institutional Buyers (QIB) segment remained unsubscribed.
Day 2 (December 2, 2024): Subscription levels increased to 25%. Retail investors led the charge with a 45% subscription in their reserved quota, while the NII segment followed with 13%. The QIB portion remained unsubscribed by the end of the second day.
According to BSE data, the IPO received bids for 34 lakh shares against the 1.34 crore shares available for subscription. Source: Mint
Grey Market Premium (GMP)
Suraksha Diagnostic’s IPO currently shows a grey market premium (GMP) of ₹0, indicating no premium over its issue price. This reflects subdued interest from grey market participants, which may influence listing expectations.
Objectives of the IPO
The proceeds from this IPO will not benefit the company directly. Instead, as it is an Offer for Sale (OFS), the funds raised will go entirely to the selling shareholders.
Company Overview
Established as a comprehensive diagnostic service provider, Suraksha Diagnostic operates through an expansive network:
A central reference laboratory and 8 satellite laboratories.
194 customer touchpoints, which include 48 diagnostic centers and 146 franchise-operated sample collection centers.
Its footprint spans states like West Bengal, Bihar, Assam, and Meghalaya. The company offers services in pathology, radiology, and medical consultations.
Both Ganesh Infraworld and Suraksha Diagnostic IPOs have garnered attention for different reasons. While Ganesh Infraworld’s IPO has shown robust investor interest and significant oversubscription, Suraksha Diagnostic’s IPO has seen moderate traction, reflecting mixed sentiment.
The grey market premiums for both IPOs highlight contrasting expectations, with Ganesh Infraworld indicating positive listing potential and Suraksha Diagnostic suggesting subdued demand. Before deciding, it is crucial to evaluate the fundamentals and align them with long-term investment goals.
Disclaimer Note: The securities quoted, if any, are for illustration only and are not recommendatory. This article is for education purposes only and shall not be considered as a recommendation or investment advice by Equentis – Research & Ranking. We will not be liable for any losses that may occur. Investments in the securities market are subject to market risks. Read all the related documents carefully before investing. Registration granted by SEBI, membership of BASL & the certification from NISM in no way guarantee performance of the intermediary or provide any assurance of returns to investors.
With December upon us, the Indian stock market is gearing up for a month full of potential. Despite the current market volatility, we are set to see significant activity in the primary markets, with over 10 companies ready to launch their Initial Public Offerings (IPOs).
In addition, seven other companies are preparing to list their shares on stock exchanges. This diverse influx of sectors—retail, finance, healthcare, and technology—opens valuable opportunities for investors to diversify their portfolios and capitalize on potential growth in this dynamic environment.
Why does December stand out for IPOs?
Historically, year-end typically brings increased market activity. Investors seek to capitalize on new opportunities, while companies strive to conclude the year with a financial boost. December is often recognized for its market stability, making it an appealing time for initial public offerings (IPOs). Many investors use December to diversify their portfolios and strategize for the upcoming year.
Overview of the Upcoming IPOs in December
This December, several companies across various sectors are entering the public market. These IPOs, which include a mix of established firms and ambitious startups, promise to add diversity to the investment landscape.
Let’s delve deeper into the upcoming IPOs in December 2024 and understand them better.
Supermarket giant Vishal Mega Mart is preparing to make a significant splash in the primary market with its Rs 8,000 crore IPO. Scheduled for mid-December, this offering is entirely an Offer for Sale (OFS), with promoter Samayat Services LLP looking to offload its stake. The proceeds from the IPO will not benefit the company directly but will allow the promoter to capitalize on Vishal Mega Mart’s growth and market position.
This IPO is expected to attract considerable interest, given the company’s established presence in the retail sector. With a widespread network of stores nationwide and a strong focus on value-for-money products, Vishal Mega Mart appeals to the price-sensitive Indian consumer.
Offer Size: Rs 8,000 crore
Purpose: Stake offloading by the promoter
2. International Gemological Institute (IGI) IPO
The International Gemological Institute, a global diamond certification and grading leader, is another highly anticipated IPO. Owned by US private equity giant Blackstone, IGI plans to raise Rs 4,000 crore through its public offering. The IPO comprises a fresh issue of Rs 1,250 crore and an OFS component of Rs 2,750 crore.
The funds raised will acquire IGI Belgium and IGI Netherlands, reinforcing IGI’s global footprint in the gemological space. Additionally, part of the proceeds will go toward general corporate purposes. IGI’s IPO is expected to appeal to investors seeking exposure to the growing luxury goods and certification services market.
Offer Size: Rs 4,000 crore
Purpose: Acquisitions and corporate funding
3. Avanse Financial Services IPO
Avanse Financial Services, a Non-Banking Financial Company (NBFC) specializing in education loans, plans to raise Rs 3,500 crore. The IPO will consist of a fresh issue of Rs 1,000 crore and an OFS of Rs 2,500 crore. The fresh issue proceeds will bolster the company’s capital base, enabling it to meet the increasing demand for education financing.
Avanse has carved out a niche by offering tailored financial solutions for students, covering everything from tuition fees to living expenses. The company’s growth trajectory, underpinned by India’s expanding education sector, makes this IPO attractive for investors seeking long-term growth.
Offer Size: Rs 3,500 crore
Purpose: Capital base augmentation
Other Notable IPOs in December 2024
4. Property Share Investment Trust REIT
Property Share Investment Trust is set to raise Rs 352.91 crore through a fresh issue. The REIT offers investors a unique opportunity to gain exposure to high-quality commercial real estate without the need to buy the property outright.
This IPO, with a price band of Rs 10,00,000 to Rs 10,50,000 per share, targets high-net-worth individuals and institutional investors. The funds will acquire and manage income-generating properties, giving investors regular dividends and capital appreciation.
Open Date: Dec. 2
Close Date: Dec. 4
Listing Date: Dec. 9
5. Nisus Finance Services Co. IPO
Nisus Finance Services Co. will launch its Rs 114.24 crore IPO, offering shares at a price band of Rs 170-180 per share. The company provides innovative financial solutions, including real estate funding and structured credit.
By participating in this IPO, investors can tap into the growing demand for alternative financing in India, particularly in the real estate sector, which is undergoing significant growth.
Open Date: Dec. 4
Close Date: Dec. 6
Listing Date: Dec. 11
6. Emerald Tyre Manufacturers IPO
Emerald Tyre Manufacturers is set to raise Rs 49.26 crore through its IPO. The company targets small and mid-sized investors with a price band of Rs 90-95 per share. Emerald Tyre specializes in producing durable and cost-effective tires for domestic and international markets.
Given the increasing demand for automotive components, particularly in emerging markets, this IPO presents a promising opportunity for investors looking to benefit from the growth of the automobile industry.
Open Date: Dec. 5
Close Date: Dec. 9
Listing Date: Dec. 12
December 2024 IPO Listings
Several companies that launched their IPOs in November are slated to list in December, offering investors a chance to trade these newly issued stocks:
Ganesh Infraworld (Dec. 6)
Suraksha Diagnostic (Dec. 6)
Agarwal Toughened Glass India (Dec. 9)
Apex Ecotech (Dec. 10)
Abha Power and Steel (Dec. 12)
Rajputana Biodiesel (Dec. 15)
Rajesh Power Services (Dec. 16)
These listings are expected to bring liquidity and further excitement to the market, offering opportunities for both short-term gains and long-term investments.
Why December IPOs Are Exciting for Investors
December’s lineup of IPOs offers diverse opportunities across sectors such as retail, finance, real estate, and manufacturing. Each company has a unique value proposition, allowing investors to tailor their portfolios to their risk appetite and investment goals.
Moreover, year-end IPOs often benefit from heightened investor participation, as many look to close their annual financial planning on a high note. Companies like Vishal Mega Mart and IGI, with their strong brand presence and growth strategies, stand out as potential winners.
Tips for Investing in December IPOs
Research Thoroughly: Delve into the company’s financials, industry position, and growth prospects.
Understand the Risks: IPO investments come with risks; carefully evaluate market conditions and company valuations.
Diversify Your Portfolio: Don’t put all your eggs in one basket. Spread your investments across different sectors.
Monitor Allotments and Listing Gains: Know the allotment process and potential listing day gains.
How to Apply for an IPO in India
Ready to invest? Follow these steps:
Open a Demat Account
Select the IPO
Apply via ASBA or UPI
Wait for Allotment
Conclusion
December 2024 is shaping up to be a thrilling month for IPO enthusiasts. With a robust lineup spanning various industries, there’s something for every investor. Whether you seek growth stories like Vishal Mega Mart or steady income through REITs, the upcoming IPOs offer many opportunities.
Disclaimer Note: The securities quoted, if any, are for illustration only and are not recommendatory. This article is for education purposes only and shall not be considered as a recommendation or investment advice by Equentis – Research & Ranking. We will not be liable for any losses that may occur. Investments in the securities market are subject to market risks. Read all the related documents carefully before investing. Registration granted by SEBI, membership of BASL & the certification from NISM in no way guarantee performance of the intermediary or provide any assurance of returns to investors.
FAQ
What is the significance of an Offer for Sale (OFS) in an IPO?
An OFS allows existing shareholders, often promoters, to sell their stakes. It provides liquidity to shareholders without diluting the company’s equity.
Are December IPOs a safe bet for investors?
While IPOs can offer high returns, they also come with risks. Investors should carefully assess the company’s fundamentals and market conditions before investing.
How can retail investors apply for an IPO?
Retail investors can apply through their bank’s ASBA service or via UPI-enabled applications provided by brokers.
What factors should I consider before investing in an IPO?
Key factors include the company’s financial health, business model, market potential, and the broader economic environment.
Can IPO investments help diversify my portfolio?
Investing in IPOs can introduce new sectors and industries to your portfolio, enhancing diversification and potentially reducing risk.
Have you been keeping track of the market’s recent swings? You’re not alone if you’re feeling uncertain amid fluctuating numbers and shifting trends. Despite a turbulent trading session on November 27, the markets showed resilience, with both the Nifty 50 and Sensex closing positively. Here’s a closer look at how the day unfolded, the global cues influencing investor sentiment, and updates on the much-anticipated Enviro Infra IPO allotment.
Domestic Market Performance
The domestic benchmark indices exhibited notable volatility throughout the day. The Sensex rose by 230.02 points (0.29%) to close at 80,234.08, while the Nifty 50 gained 80.40 points (0.33%), settling at 24,274.90. This upward trend reflects the market’s underlying strength despite mixed global signals.
One factor that contributed to the day’s performance was the rebound in Adani Group stocks. However, this was partially offset by underperforming heavyweights, leading to a dynamic trading environment marked by frequent fluctuations. Investors remain optimistic, buoyed by strong earnings expectations for the second half of FY25, which continue to drive a healthy consolidation phase in Indian equities. Source: Business Standard
Global markets provided a mixed bag of cues, with Wall Street experiencing a decline due to concerns surrounding inflation and Federal Reserve policies.
In the U.S., consumer spending increased solidly in October, signaling sustained economic growth. However, progress in reducing inflation appeared stalled, prompting traders to anticipate a 25-basis-point rate cut at the Federal Reserve’s December meeting. While this expectation is positive, traders predict the Fed will leave rates unchanged in January and March 2025.
Dow Jones Industrial Average fell 136.31 points (0.31%) to 44,723.23.
S&P 500 declined 22.85 points (0.38%) to 5,998.78.
Nasdaq Composite lost 113.80 points (0.59%) to 19,061.78.
Technology stocks were the primary targets, with Dell slumping 12% and HP dropping nearly 6% after weaker-than-expected forecasts. Mega-cap stocks like Nvidia and Microsoft also faced downward pressure.
In the Asia-Pacific region, markets opened mixed. South Korea’s Kospi managed a modest recovery, up by 0.15%, after the Bank of Korea unexpectedly cut its interest rate. Meanwhile, Japan’s Nikkei dipped 0.30%, and Australia’s ASX 200 posted gains of 0.43%. Source: Business Standard
Key Developments in Commodities
Commodity markets witnessed notable shifts driven by geopolitical developments and currency fluctuations.
Oil prices edged lower on Wednesday as traders assessed the potential impact of a ceasefire agreement between Israel and Hezbollah and looked ahead to the OPEC+ meeting scheduled for Sunday. Speculation is mounting that the group may delay a planned output increase. Brent crude futures inched up 0.03% to $72.83 per barrel, while U.S. WTI crude slipped 0.07% to close at $68.72 per barrel.
Gold prices rebounded from a one-week low, supported by a weaker U.S. dollar. Spot gold was up 0.2%, trading at $2,635.99 per ounce, while U.S. gold futures gained 0.7% to reach $2,638.60 per ounce.
Spotlight on Enviro Infra Engineers IPO Allotment
The primary market continues to buzz with activity, capturing the interest of investors across various categories. Among the key highlights is the Enviro Infra Engineers IPO, which garnered overwhelming demand during its three-day bidding period. The issue saw an overall subscription of 89.90 times, driven by robust participation from all investor segments:
The allotment status for the Enviro Infra Engineers IPO will be announced today, and market participants are keenly awaiting the results. Given the strong subscription figures, the IPO has already built a reputation as one of the most sought-after offerings in the current cycle. Source: Livemint
Other IPOs in Action
Meanwhile, several other IPOs are making headlines. The Agarwal Toughened Glass India IPO (SME) opened for subscription today, offering retail and institutional investors an opportunity to explore this niche segment. On the other hand, the allotment status for Rajesh Power Services IPO (SME) is also expected to be finalized today. The SME IPO was oversubscribed 59 times.
Additionally, two other small and medium enterprise IPOs—Abha Power and Steel and Apex Ecotech—are currently in the second day of their subscription period. These IPOs have garnered notable interest, particularly from smaller investors looking to diversify into emerging sectors.
Today marks the final day of subscription for the Rajputana Biodiesel IPO (SME). This offering has drawn attention for its focus on sustainable energy solutions, an area increasingly favored by environmentally conscious investors.
Overall, the primary market’s vibrant activity signals sustained confidence among investors, driven by sectoral diversity, growth potential, and robust market sentiment. Investors are advised to stay informed about allotment announcements and monitor listing performances to evaluate the full impact of these IPOs on their portfolios.
What Lies Ahead?
As we approach year-end, investors will closely monitor global economic data, central bank decisions, and geopolitical developments. The domestic market continues to demonstrate resilience, underscored by healthy consolidation and robust earnings expectations. With IPO activity buzzing and key global events on the horizon, the markets promise an eventful finish to 2024.
Disclaimer Note: The securities quoted, if any, are for illustration only and are not recommendatory. This article is for education purposes only and shall not be considered as a recommendation or investment advice by Equentis – Research & Ranking. We will not be liable for any losses that may occur. Investments in the securities market are subject to market risks. Read all the related documents carefully before investing. Registration granted by SEBI, membership of BASL & the certification from NISM in no way guarantee performance of the intermediary or provide any assurance of returns to investors.
Were you one of the investors eagerly awaiting the allotment status of NTPC Green Energy’s IPO? The allotment has been finalized, and the IPO has garnered significant attention due to its focus on renewable energy and its strong financial performance.
In this article, we’ll explain how to check your allotment status, share insights on the latest grey market premium (GMP), and update you on the company’s listing date.
NTPC Green Energy IPO Details
The IPO of NTPC Green Energy, a Delhi-based renewable energy company, opened for bidding between November 19 and November 22, 2024. With a price band of ₹102-₹108 per share and a lot size of 138 shares, the company raised a total of ₹10,000 crore. This IPO was an entirely fresh issue comprising 92,59,25,926 equity shares.
Subscription Status
The IPO received decent interest from investors, with an overall subscription of 2.55 times by the final day:
Retail Investors: Subscribed 3.59 times the allotted quota.
The strong response from retail and institutional investors reflects confidence in NTPC Green Energy’s renewable energy initiatives.
NTPC Green Energy IPO GMP Today
The Grey Market Premium (GMP) for NTPC Green Energy IPO currently stands at ₹111 per share, approximately 2.78% higher than the upper price band ₹108. While the GMP fluctuates based on market sentiment, it suggests a modest premium over the issue price, pointing to a steady listing outlook.
Company Overview
Incorporated in April 2022, NTPC Green Energy Limited is a wholly-owned subsidiary of NTPC Limited, India’s largest power producer. The company focuses on renewable energy projects through both organic development and acquisitions.
As of August 31, 2024, NTPC Green Energy operates:
3,071 MW from solar projects
100 MW from wind projects across six states
By June 30, 2024, the company’s portfolio expanded to 14,696 MW, including:
2,925 MW of operational projects
11,771 MW of contracted and awarded projects
With strong backing from NTPC Limited and an experienced team, NTPC Green Energy is well-poised to lead India’s renewable energy transition.
The company has shown remarkable growth. Revenue increased by 1,094.19% between FY23 and FY24, indicating its capability to scale operations and generate significant profits in a competitive renewable energy sector.
Listing Date
NTPC Green Energy’s shares are scheduled to list on the Bombay Stock Exchange (BSE) and the National Stock Exchange (NSE) on Wednesday, November 27, 2024. Investors eagerly await this listing to assess its market performance.
Select NTPC Green Energy Limited in the dropdown menu.
Choose a mode to check the status:
Application Number
Demat Account Number
PAN ID
Specify your application type: ASBA or Non-ASBA.
Enter the required details and complete the captcha verification.
Click Submit to access your allotment status.
What to Expect After Allotment
If you have been allotted shares, you will receive a confirmation from your broker or the registrar. Once the shares are listed on the stock exchange, you can start trading them. Remember to watch the stock market news and announcements from NTPC Green Energy for any updates or important information.
Conclusion
The NTPC Green Energy IPO has drawn significant attention for its focus on renewable energy and robust financial performance. With allotment finalizations completed and listing just days away on November 27, 2024, investors can look forward to observing its market debut.
The modest Grey Market Premium (GMP) hints at stable market sentiment, reflecting cautious optimism and confidence in the company’s long-term potential.
For investors, staying updated on listing day developments and carefully monitoring the stock’s performance post-listing will be crucial. As NTPC Green Energy continues to expand its renewable energy footprint, its IPO marks a significant milestone in India’s green energy journey.
Disclaimer Note: The securities quoted, if any, are for illustration only and are not recommendatory. This article is for education purposes only and shall not be considered as a recommendation or investment advice by Equentis – Research & Ranking. We will not be liable for any losses that may occur. Investments in the securities market are subject to market risks. Read all the related documents carefully before investing. Registration granted by SEBI, membership of BASL & the certification from NISM in no way guarantee performance of the intermediary or provide any assurance of returns to investors.
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Why choose a SEBI Registered Investment Advisor?
An investment advisory firm is a company that helps investors make decisions about buying and selling securities (like stocks) in exchange for a fee. They can advise clients directly or provide advisory reports and other publications about specific securities, such as high growth stock recommendations. Some firms use both methods, like Research & Ranking, India’s leading stock advisory company, specializing in smart investments and long-term stocks since 2015.
What is the Role of an Investment/Stock Market Advisory Firm in India?
An investment advisory firm is a company that helps investors make decisions about buying and selling securities (like stocks) in exchange for a fee. They can advise clients directly or provide advisory reports and other publications about specific securities, such as high growth stock recommendations. Some firms use both methods, like Research & Ranking, India’s leading stock advisory company, specializing in smart investments and long-term stocks since 2015.
Is investment advisory the same as wealth management?
