Shyam Dhani Industries IPO created a stir, investors’ money doubled on the first day of listing
Shyam Dhani Industries IPO: Shyam Dhani Industries has created a stir in the stock market with its listing today. The shares of this spices manufacturing company were listed on the NSE Emerge platform with a great start with a premium of 90 percent.
Investors who got shares in the IPO got a lottery as their money almost doubled upon listing. The company’s shares were listed at Rs 133 against the issue price of Rs 70, which is Rs 63 more than the issue price.
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After this spectacular listing, the market capitalization of the company reached Rs 282 crore. The special thing is that before the listing the gray market premium (GMP) was around 97 to 100 percent and the listing also happened almost according to the same estimate.
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Tremendous response from investors
This SME IPO received tremendous response from investors. This IPO was subscribed a total of 918 times during the open bidding from 22 to 24 December.
- Non-Institutional Investors (NII): This category received 1,613 times subscription.
- Retail Investors: Retail investors subscribed their shares 1,138 times.
- QIB: This segment got 256.2 times subscription.
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Main points of IPO
- Issue Size: Rs 38.48 crore
- Price Band: Rs 65 to 70 per share
- Lot Size: 2,000 shares (minimum investment around Rs 1.4 lakh to Rs 2.6 lakh)
- Issue Type: 100 percent fresh issue
What will the company do with the funds raised?
According to the company, the entire amount raised from the IPO will be invested in the expansion of the business. This includes meeting working capital requirements, installing new machinery in existing units, setting up solar rooftop plants and spending on marketing and brand building. Apart from this, the fund will also be used to repay existing debt and general corporate needs.
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