The Initial Public Offering (IPO) of Indo Farm Equipment is all set to open for subscription next week. This IPO will be available from Tuesday, 31st December, until Thursday, 2nd January 2025. It is expected to raise ₹260.15 crore, which will include both fresh shares and shares sold by existing shareholders.
IPO Details:
The Indo Farm Equipment IPO will be divided into two sections:
- New Share Offering: 0.86 crore shares valued at ₹184.80 crore.
- Offer for Sale (OFS): 0.35 crore shares valued at ₹75.25 crore.
The IPO price range is fixed between ₹204 and ₹215 per share. Investors can apply for the IPO in lots of 69 shares, with a minimum investment requirement of ₹14,835 for retail investors.
The IPO will be available for subscription from 31st December to 2nd January 2025. Share allotment will be determined on 3rd January 2025, and successful applicants will have their shares credited to their Demat accounts on 6th January 2025. Refunds will be completed on the same day. The shares are expected to list on both the NSE (National Stock Exchange) and BSE (Bombay Stock Exchange) on 7th January 2025.
The Grey Market Premium (GMP) is often one of the most discussed elements of an IPO. This is the premium at which shares are traded unofficially in the grey market before they officially list on the stock exchanges. For the Indo Farm Equipment IPO, the GMP has seen a strong rise in recent days.
As of today, the GMP stands at ₹85 per share. This means that shares are trading ₹85 higher than the issue price of ₹215. The GMP has seen a significant increase over the past few days. On 24th December 2024, the GMP was just ₹21, and it has steadily climbed to ₹85. This surge in GMP is a positive indicator of strong investor interest.
Based on the current GMP of ₹85, the Indo Farm Equipment shares are expected to list at a premium on the stock exchanges. This could mean an estimated listing price of ₹300 per share, which represents a potential gain of nearly 40% over the upper end of the IPO price band.
It’s important to understand that the GMP is an informal market measure and might not always reflect the actual listing price accurately. The final listing could be higher or lower, depending on market conditions at the time of listing.
The Indo Farm Equipment IPO is generating a lot of attention, and the rising GMP indicates strong investor interest. The company’s solid performance, along with the expected listing at a premium, suggests that the IPO could offer good returns to investors. However, it’s always important to conduct your own research and due diligence before investing in any IPO.
If you are considering applying for the Indo Farm Equipment IPO, make sure to keep track of the key dates and stay updated on the GMP trend. The IPO is expected to offer good growth potential, but like all investments, it comes with risks.