JSW Cement IPO subscribed 29% on first day of share sale; should you subscribe?

Highway Infrastructure IPO continues to garner strong investor interest.

JSW Cement IPO fetched 29 percent subscription on the first day of share sale on Thursday.

The initial public offer (IPO) received bids for 5.21 crore shares against 18.12 crore shares on offer, as per the NSE data.

The non-institutional investors category was booked 20 percent while the retail individual investors' quota was subscribed 36 percent. The company on Wednesday mobilised Rs 1,080 crore from anchor investors, a day before its initial share-sale opening for public subscription.

JSW Cement IPO GMP Today Price

According to websites tracking the grey market activities, the shares of JSW Cement are commanding a GMP of around 3 percent. Investorgain quoted a GMP of Rs 4.5 per share, indicating a listing gain of 3.06 percent. This is a sharp fall from the earlier premium of over 12 percent observed earlier this week.

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JSW Cement IPO: Should you subscribe?

Gaurav Garg, Lemonn Markets Desk, noted "JSW Cement’s IPO is suitable for investors with a long-term horizon and a high-risk appetite. While short-term listing gains are uncertain due to rich valuations and near-term earnings pressure, the company holds long-term promise as India transitions toward more sustainable and resource-efficient infrastructure development."

JSW Cement, part of the diversified JSW Group, has set a price band of Rs 139-147 per share, valuing the 17-year-old company at Rs 20,000 crore at the upper end of the price band.

The IPO, which includes a fresh issue of Rs 1,600 crore of shares and Rs 2,000 crore of shares to be sold by current shareholders through Offer for Sale, will be open between August 7-11.

The company will utilise proceeds worth Rs 800 crore to part-finance a new integrated cement unit at Nagaur, Rajasthan, and Rs 520 crore for payment of debt and the remaining funds for general corporate purposes. As of March 31, 2025, JSW Cement's total borrowings stood at Rs 6,166.6 crore.

JSW Cement shares will be listed on BSE and NSE on August 14, while the allotment is expected by August 12.

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