Vishnu Prakash IPO: The initial public offering (IPO) of Vishnu Prakash R Punglia Ltd, which was open for public subscription between August 24 and August 28, got an overwhelming response with 87.81 times subscription on the last day of bidding on Monday, helped by strong engagement from institutional buyers. The Rs 308.88-crore public issue received bids for 1,92,56,17,350 shares against 2,19,30,000 shares on offer, according to NSE data.
The company is into engineering, procurement, and construction (EPC) works.
Shares of Vishnu Prakash R Punglia are scheduled to be listed on BSE and NSE on September 5. The share allotment will take place on August 31.
Vishnu Prakash IPO GMP
According to market observers, Vishnu Prakash Industries is currently trading Rs 54 higher in the grey market, at Rs 153 per share. The Rs 54 grey market premium or GMP is about 54.55 per cent higher than its upper issue price of Rs 99 per share. This means the grey market is expecting a 54.55 per cent listing gain from the public issue.
‘Grey market premium’ indicates investors’ readiness to pay more than the issue price.
About Vishnu Prakash IPO, Its Subscriptions
The category for Qualified Institutional Buyers (QIBs) received 171.69 times subscriptions, while the quota for non-institutional investors got subscribed 111.02 times.
The portion for Retail Individual Investors (RIIs) was subscribed 32 times. The IPO had a fresh issue aggregating up to 3.12 crore equity shares with no Offer For Sale (OFS) component. The price range was Rs 94-99 per share.
Vishnu Prakash R Punglia had raised Rs 92 crore from anchor investors. Proceeds from the fresh issuance will be utilised for purchasing capital equipment, funding the working capital requirements of the company, and the balance for general corporate purposes.
The Jodhpur-based company has experience in the design and construction of major infrastructure projects for the central and state governments, with ongoing projects in nine states.
Choice Capital Advisors and Pantomath Capital Advisors were the managers to the offer.
The equity shares are proposed to be listed on the BSE and the NSE.