Kataria Industries IPO: Strong Investor Response and High Expectations
The initial public offering (IPO) of Kataria Industries Limited is closing today, July 19, and has garnered a positive response from investors. As of 10:40 am on the final day of bidding, the ₹52.56 crore IPO had received an impressive 51.51 times subscription, with bids for 20,95,28,400 shares against the 40,67,400 shares available.
Subscription Details
| Category | Subscription Times |
|---|---|
| Retail Quota | 81.80 |
| Non-Institutional Investors | 49.64 |
| Qualified Institutional Buyers (QIB) | 49% |
The price band for the IPO has been set between ₹91 and ₹96 per share. The issue opened for public subscription on July 16. Investors are required to apply for a minimum of 1,200 equity shares, with investments in multiples thereof. Therefore, the minimum investment amount for retail investors is ₹1,15,200 (1,200 shares x ₹96).
IPO Allotment and Listing
The allotment of shares for the Kataria Industries IPO is expected to be finalized on July 22, and the shares are scheduled to be listed on the NSE SME on July 24.
Grey Market Premium (GMP)
According to market observers, the unlisted shares of Kataria Industries Ltd are trading at a ₹68 premium in the grey market over its issue price. This indicates a potential 70.83% listing gain, based on current market sentiments. It’s important to note that the grey market premium (GMP) can fluctuate based on market conditions and investor sentiment.
More Details About the Kataria Industries IPO
The Kataria Industries IPO consists entirely of a fresh issue of 56.85 lakh shares. Established in 2004, Kataria Industries Ltd manufactures and supplies low relaxation pre-stressed concrete (LRPC) strands and steel wires, post-tensioning (PT) anchorage systems (including anchor cones, anchor heads, and wedges), HDPE single-wall corrugated (SWC) sheathing ducts, couplers, and aluminum conductors.
For the financial year 2023-24, Kataria Industries Ltd reported a revenue increase of 2.26% and a net profit increase of 28.83%.
Interactive Financial Services Ltd is the book running lead manager for the IPO, while Bigshare Services Pvt Ltd serves as the registrar.
Conclusion
Kataria Industries IPO has attracted significant interest from investors, resulting in a high subscription rate and a favorable grey market premium. Investors are eagerly awaiting the allotment and subsequent listing of the shares, with strong expectations for potential gains.