Jain Resource Recycling IPO: A Comprehensive Overview
Jain Resource Recycling Ltd.’s initial public offering has been making headlines in the Indian stock market, with the issue being subscribed 15.90 times on the last day. The company aims to raise Rs 1,250 crore through the IPO, which includes a fresh issue of Rs 500 crore and an offer-for-sale component worth Rs 750 crore.
IPO Details
The IPO opened on September 24 and closed on September 26. The share allotment is expected to be finalized by September 29, and the shares are likely to be listed on the stock exchanges on October 1. The price band for the IPO has been set at Rs 220-232 per share, with a minimum lot size of 64 shares for retail investors.
Institutional Investor Response
The institutional investors have shown a strong interest in the IPO, with the issue being subscribed 25.29 times by qualified institutional buyers (QIBs). The non-institutional investors (NIIs) have also participated actively, with the issue being subscribed 5.30 times. The retail investors have subscribed to the issue 3.62 times.
Use of Proceeds
The company plans to use the proceeds from the IPO to clear its debt and for general corporate purposes. Jain Resource Recycling primarily engages in the recycling of non-ferrous metals, including lead alloy ingots and copper ingots.
Grey Market Premium
The grey market premium for the IPO is currently at Rs 3.5, according to InvestorGain. The estimated listing price is Rs 235.5, implying a 1.51% premium. However, it’s essential to note that the grey market premium does not represent official data and is based on speculation.
Investor Interest
The overwhelming response to the IPO suggests that investors are bullish about the company’s growth prospects. The recycling industry is expected to grow significantly in the coming years, driven by the increasing demand for non-ferrous metals. Jain Resource Recycling is well-positioned to capitalize on this trend, with its established presence in the market and strong product portfolio.
Conclusion
In conclusion, the Jain Resource Recycling IPO has received an overwhelming response from investors, with the issue being subscribed 15.90 times on the last day. The company’s strong growth prospects, coupled with the growing demand for non-ferrous metals, make it an attractive investment opportunity for investors. However, it’s essential for investors to do their own research and consider their own risk tolerance before investing in the IPO.
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