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Tag: GMP

  • DreamFolks Services IPO: Offer absolutely subscribed inside hours of opening; all that you must know

    Dreamfolks Services IPO GMP: The preliminary public providing (IPO) of airport service aggregator platform Dreamfolks Services opened for subscription on Wednesday, August 24, 2022, and was oversubscribed inside a number of hours on the primary day of bidding.

    The problem opened for public subscription at 10 am and was subscribed 1.05 instances as on 1:36 pm. It obtained complete bids for 99,48,328 shares throughout each the inventory exchanges towards 94,83,302 shares on provide, information from National Stock Exchange (NSE) confirmed.

    The Rs 562.1 crore Dreamfolks Services IPO will likely be accessible for subscription until Friday, August 26, 2022, and the value band of the corporate has been mounted at Rs 308-326 per share.

    Dreamfolks Services IPO is solely a suggestion on the market of as much as 1.72 crore (1,72,42,368) fairness shares by promoters – Liberatha Peter Kallat, Mukesh Yadav and Dinesh Nagpal, and the corporate won’t obtain any proceeds from the provide, in response to the data offered within the purple herring prospectus (RHP).

    Dreamfolks Services is the nation’s largest airport service aggregator platform facilitating enhanced airport expertise to passengers by way of a technology-driven platform. Its asset-light enterprise mannequin integrates
    card networks, card issuers and different company shoppers with numerous airport lounge operators and different airport associated
    service suppliers on a unified know-how platform.

    “We facilitate customers of Clients’ (Consumers) access to the following airport related services (i) lounges, (ii) food and beverage (iii) spa, (iv) meet and assist, (v), airport transfer (vi) transit hotels /nap room access, and (vii) baggage transfer, (collectively, the Services),” the corporate mentioned in its RHP.

    Dreamfolks Services has protection throughout 54 operational airport lounges constituting 100 per cent of airport lounges throughout home and worldwide terminals as of March 31, 2022. Also, as of March 31, 2022, the corporate had exclusivity to offer entry to 12 home lounges throughout 11 airports in India constituting round 22.22 per cent of the entire entry of the home lounges for India-issued bank cards and debit playing cards.

    Further, within the monetary 12 months 2021-22, the corporate catered to roughly 68 per cent of the general lounge site visitors in quantity throughout all lounges in Indian airports (each the home and worldwide lounges), the RHP mentioned citing F&S Report.

    Three-fourths of the problem dimension of Dreamfolks Services IPO has been reserved for certified institutional consumers (QIBs), 15 per cent for non-institutional traders and the remaining 10 per cent for retail traders.

    Investors who want to subscribe to Dreamfolks Services IPO can bid in a variety of 46 fairness shares and multiples thereafter. At the higher worth band, they are going to be shelling out Rs 14,996 to get a single lot of Dreamfolks Services. The shares will likely be listed on each BSE and NSE.

    The candidates additionally should word that the cut-off time for UPI mandate affirmation is Monday, August 29, 2022, upto 12:00 pm. If they fail to take action then their utility will not be thought-about.

    Equirus Capital and Motilal Oswal Investment Advisors are the book-running lead managers to the provide whereas Link Intime India is the registrar of the problem.

    Before heading into the IPO, Dreamfolks Services on Tuesday raised almost Rs 253 crore (Rs 2,52,94,55,516) from 18 anchor traders in lieu of 77,59,066 fairness shares at Rs 326 every, information from the inventory exchanges confirmed.

    The anchor traders embrace Smallcap World Fund, Aditya Birla Sun Life Mutual Fund (MF), Sundaram MF, Kuber India Fund, Saint Capital Fund, PNB Metlife India Insurance Company, Societe Generale, BNP Paribas Arbitrage, Segantii India Mauritius, Quant MF amongst others.

    The analysis groups at Reliance Securities and Swastika Investmart of their respective IPO notes have given a “Subscribe” ranking to the provide.

    Arafat Saiyed, Senior Research Analyst at Reliance Securities, of their report mentioned, ” It has a robust enterprise income potential over subsequent decade on the again of a) Healthy air site visitors progress, b) Increasing issuance of bank cards and c) Better consciousness of utilization of playing cards for lounges and better penetration from present low stage of ~5%. In view of sturdy enterprise moat, wholesome restoration in Air Passenger site visitors, enhance Lounge companies, multi-fold income progress potential, distinctive asset gentle and environment friendly enterprise mannequin, we suggest SUBSCRIBE to the problem.”

    Commenting on the Dreamfolks IPO, Ravi Singh, vice chairman and head of analysis at Share India Securities instructed indianexpress.com, “Dreamfolks Services company has the advantage of its first mover in this business. However, the company faced headwinds due to the pandemic-led industry issues and the same is being reflected in its growth numbers, leading to higher valuations. Though the company’s asset-light business model will benefit it in long run. We recommend subscribing to this IPO for a medium to long term perspective.”

    The share allotment is prone to happen on Thursday, September 1, 2022, and the shares are anticipated to be listed on Tuesday, September 6, 2022, in response to the timeline given within the RHP.

  • Syrma SGS Technology IPO: Issue subscribed 32.61 instances on remaining day led by QIBs and non institutional traders

    IPO, Syrma SGS Technologies IPO: The preliminary public providing (IPO) of digital manufacturing providers firm Syrma SGS Technology was subscribed 32.61 instances on the ultimate day, in accordance with the info obtainable on the BSE.

    The Rs 840 crore supply obtained bids for over 93.14 crore (93,14,84,536) shares in opposition to the difficulty measurement of over 2.85 crore (2,85,63,816) shares, the info confirmed.

    The shares that are to be allotted for the certified institutional consumers (QIBs) was subscribed 87.56 instances, whereas the portion for non institutional traders was subscribed 17.50 instances and that of retail particular person traders (RIIs) was subscribed 5.53 instances, the info confirmed.

    The Syrma SGS IPO includes a recent situation of shares price Rs 766 crore and a proposal on the market (OFS) of as much as 33.69 lakh fairness shares by promoter Veena Kumari Tandon.

    The 4-day IPO opened for subscription on Friday, August 12, 2022, and concluded at 5 pm in the present day. It has a value band of Rs 209-220 per share.

    Before heading into the IPO, the corporate had raised over Rs 252.03 crore (Rs 2,52,03,77,420) from 18 anchor traders.

    Syrma SGS Technology is a technology-focused engineering and design agency that’s engaged in turnkey electronics manufacturing providers (EMS) that specialises in precision manufacturing. Some of its high prospects embrace TVS Motor Company, AO Smith India Water Products, Robert Bosch Engineering and Business Solution, Eureka Forbes and Hindustan Unilever, the corporate knowledgeable in its purple herring prospectus.

    Going forward, traders will now look ahead to the share allotment date of the difficulty. The finalisation of the idea of allotment for Syrma SGS Technology is anticipated to happen on Tuesday, August 23, 2022, as per the data offered within the RHP.

  • Don’t let the gray market sway your determination on IPO investing

    Grey market premium, or GMP, is a really sought-after metric throughout the preliminary public providing (IPO) season. In the run-up to the itemizing of any firm, many buyers carefully monitor its GMP earlier than deciding on investing within the agency. 

    Take the case of Life Insurance Corporation of India (LIC): Its GMP had been unfavourable for the previous a number of days. It  was, due to this fact, anticipated to have a tepid itemizing. And, on Tuesday, the inventory listed at ₹872, an 8% low cost to its problem worth of ₹949 apiece. 

    So, do you have to depend on the gray marketplace for any cues? While the GMP proved to be the appropriate indicator for the LIC inventory itemizing, this is probably not the case with different companies.

    What is GMP?

    The gray market is an off-the-cuff and close-knit market identified to function largely out of locations in Gujarat, moreover Jaipur, Chittorgarh, Mumbai and Kolkata, the place individuals enter into verbal contracts to purchase and promote shares of corporations due for itemizing at a negotiated worth, amongst different issues. In the context of upcoming IPOs, many look to the gray market to gauge investor curiosity in such shares. 

    Those particularly eager on making a fast buck, look to this market to gauge whether or not a inventory may have a bumper or tepid itemizing. 

    For instance, a inventory that’s quoting at a reduction within the gray market is predicted to have a lacklustre itemizing, whereas one buying and selling at a premium can find yourself with a bumper itemizing.

    For instance, if a inventory is quoted at ₹121 apiece within the gray market and its problem worth (on the higher finish of the value band) is ₹115, then its GMP is ₹6 ( ₹121- ₹115). But if  it’s quoted at ₹110 apiece, this suggests, it’s buying and selling at a reduction (or has a unfavourable premium) of ₹5 within the gray market. Information on inventory GMPs is often made accessible ranging from the day of announcement of the IPO worth band or generally even earlier, and lasts as much as its itemizing. 

    In the run-up to an IPO, there is no such thing as a precise alternate of shares on this market. Trades get settled in money on itemizing day after taking into consideration the negotiated worth and the itemizing worth. No buying and selling in unlisted shares of an organization (one which has public shareholding) that’s due for a public itemizing is allowed as soon as the IPO prospectus is filed. 

    In the case of unlisted corporations with no public shareholding, there are not any shares to commerce with in any case. 

    Should you depend on it?

    The ‘grey’ market, as its identify suggests, is an unregulated market and so, the numbers are laborious to confirm. 

    People we spoke to didn’t want to be quoted however steered that buyers base their determination on investing in an IPO on firm fundamentals moderately than counting on the GMP. According to them, the explanations for this are many. 

    One, it’s laborious to say if the costs quoted within the gray market may be thought-about actually consultant since one can not know for sure the quantum of trades for various shares occurring right here. 

    Two, in some instances, the costs might also be vulnerable to undue affect from sure gamers and, due to this fact, can’t be relied upon.  One of them steered that buyers should utterly low cost the GMP in case of smaller public points. 

    Investors can even draw classes from many previous IPOs corresponding to these of Mahindra Logistics, Gland Pharma and SBI Cards and Payment Services, to call a number of, the place there was a divergence between what the gray market indicated (premium/low cost) and the way the inventory itemizing went (premium/low cost to the problem worth).

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  • LIC IPO Live Updates: Action resumes on Day 3; complete subject subscribed 1.06 instances

    The LIC subject was subscribed 1.06 instances, NSE information at 10:15 am confirmed. The policyholders section was subscribed 3.21 instances whereas the staff portion was subscribed 2.29 instances, the info confirmed. Apart from these, the certified institutional consumers (QIBs) was subscribed 0.40 instances, the non institutional traders was subscribed 0.48 instances and the retail section was subscribed 0.97 instances, the info confirmed.

    The LIC IPO might be accessible for public subscription until Monday, May 9, 2022. The value band of LIC IPO is mounted at Rs 902-949 per share and the corporate is providing a reduction of Rs 60 per share for its policyholders and Rs 45 apiece for retail traders and LIC staff.

  • LIC IPO Highlights: Total subject subscribed 1.03 occasions by finish of Day 2 led by policyholders and workers quota

    LIC IPO: Since the IPO is totally an OFS, all the web proceeds will probably be paid to the President of India (central authorities) and the life insurer won’t obtain any proceeds of the supply, in accordance with the data within the pink herring prospectus (RHP) of LIC. The shares will probably be listed on each BSE and NSE.

    LIC is the nation’s oldest and largest life insurance coverage agency. It was shaped by merging and nationalising 245 non-public life insurance coverage corporations on September 1, 1956, with an preliminary capital of Rs 5 crore. LIC now manages round Rs 40 lakh crore property and is the fifth-largest life insurer globally and the most important asset supervisor within the nation.

    At the top of the primary day of subscription, the difficulty was subscribed round 67 per cent (0.67 occasions). The section for policyholders and workers received oversubscribed 1.99 occasions and 1.17 occasions respectively. Apart from these two segments, Qualified institutional patrons (QIBs) quota was subscribed 0.33 occasions, non institutional buyers section was subscribed 0.27 occasions and the retail portion was subscribed 0.60 occasions.