Bumper Debut| Maxposure lists at 340% premium over IPO price on NSE SME

Maxposure IPO: Ahead of the listing, the shares were trading at a 240 percent premium in the grey market

Shares of Maxposure made a stellar debut on the NSE SME platform with 339.4 percent listing gains over the IPO price on January 23. The stock opened at Rs 145 against an issue price of Rs 33.

Ahead of the listing, Maxposure shares were trading at a 240 percent premium in the grey market, which is an unofficial ecosystem where shares start trading before the allotment in the IPO and until the listing day. Most investors track the grey market premium (GMP) to get an idea of the listing price.

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The bumper listing came on the back of strong subscription figures. The offer was subscribed 904.86 times. Non-institutional investors took the lead, buying 1,981.4 times their allotted quota of shares, while the portion set aside for retail investors was booked 1,049.2 times and the one for qualified institutional buyers 156.3 times.

Maxposure’s public offer opened for subscription on January 15 and closed on 17th. The price band for the issue was fixed at Rs 31-33 per share. Through the IPO, the company raised Rs 20.26 crore. The offer was entirely a fresh issue of 61.4 lakh shares.

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The company will use fresh proceeds to fund expenses proposed to be incurred towards obtaining various certifications from the Federal Aviation Administration and the European Union Aviation Safety Agency. Further, it will be used for prepayment or repayment of all or a portion of certain outstanding borrowings availed by the company and the rest for general corporate purposes.

GYR Capital Advisors was the book-running lead manager while Bigshare Services was the registrar for the issue. The market maker for Maxposure IPO was Giriraj Stock Broking. The promoters of the company are Prakash Johari and Sweta Johari.

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Maxposure caters to sectors such as tourism, automobile, hospitality, aviation, lifestyle, fashion, real estate and banking. It offers content in over 21 foreign and Indian languages, including Tamil, Marathi, Gujarati, German, Russian, Arabic, Portuguese, Japanese, Chinese and French.