Shree OSFM E-Mobility stock makes muted debut, lists at IPO price on NSE SME

Ahead of the listing, the GMP of Shree OSFM E-Mobility was totally wiped out after dull interest from investors

Shree OSFM E-Mobility made a muted debut, listing at the IPO price of Rs 65 on December 21. Within minutes, the stock jumped 5 percent to Rs 68.25.

Ahead of the listing, the grey market premium (GMP) of Shree OSFM E-Mobility was totally wiped out after dull interest from investors compared to other SME IPOs. However, it was trading at a premium of Rs 2 per share, a day before the issue opened.

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The grey market is an unofficial ecosystem where shares start trading before the allotment in the IPO and continue till the listing day. Most investors track the GMP to get an idea of the listing price.

The public offer was subscribed 8 times, with the retail portion getting booked over 9 times between December 14 and December 18. Through the issue, the company raised Rs 24.6 crore and plans to use the proceeds to fund additional working capital requirements, purchase passenger vehicles and general corporate purposes.

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Ramnath Chandar Patil and Nitin Bhagirath Shanbhag are the promoters of the company. The book-running lead manager was First Overseas Capital while Bigshare Services was the registrar and Bhh Securities was the market maker for the issue.

Shree OSFM E-Mobility provides transportation services to employees of large multinational companies in major Indian cities. The company operates a fleet of more than 1475 vehicles, including hatchbacks, sedans, SUVs, luxury cars and buses. Of these, 217 vehicles are owned by the company, while the rest are leased from various providers.