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.
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.
Also Read: BLS E-Services, Jyoti CNC Automation, Popular Vehicles get SEBI approval to float IPOs
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.
Disclaimer: The views and investment tips expressed by investment experts on Moneycontrol.com are their own and not those of the website or its management. Moneycontrol.com advises users to check with certified experts before taking any investment decisions.
Discover the latest Business News, Sensex, and Nifty updates. Obtain Personal Finance insights, tax queries, and expert opinions on Moneycontrol or download the Moneycontrol App to stay updated!
