Kabra Jewels IPO bought 310.79 times on final day; check GMP, listing date

Kabra Jewels IPO

Kabra Jewels' initial public offering attracted solid demand from investors on the final day of bidding, i.e. January 17 despite subdued equity market conditions. The issue was subscribed 310.79 times on Friday.

The Ahmedabad-based Jewellery retailer opened its public issue on January 15 to raise Rs 40 crore from the capital markets. The price band for the book-built issue is Rs 121-128 per share.

Investors applied for 70.73 crore equity shares so far against the offer size of 22.76 lakh shares via 4.13 lakh applications, the subscription data on the NSE showed.

Non-institutional investors were at the top to boost subscription numbers, subscribing 558.56 times their allotted quota, followed by retail investors who picked 385.19 times their reserved portion. Qualified institutional investors also showed a strong response to the issue, buying 154.111 times the part set aside for them.

In the grey market, an unofficial market for trading in IPO shares till the lising, Kabra Jewels IPO shares were available at around 85 percent premium to the upper price band, the market observers said.

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The company that makes gold, diamond, and silver ornaments will finalise the share allotment by January 20, while the market participants can start trading in Kabra Jewels shares on the NSE Emerge effective January 22.

It has already raised Rs 10.87 crore by allotting 8.49 lakh shares to anchor investors on January 14.

The entire issue proceeds (excluding offer expenses) will be utilised mainly for repaying debt, working capital requirements, and general corporate purpose.

Marwadi Chandarana Intermediaries Brokers has been acting as the merchant banker to the issue.

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