Central Mine Planning IPO listing on Monday: Here's what GMP signals ahead of stock market debut

Central Mine Planning & Design Institute IPO GMP: Central Mine Planning & Design Institute’s ₹470 crore initial public offering (IPO), the Coal India subsidiary that is set to make its stock market debut on Monday, March 30, on the BSE and NSE, received moderate investor interest. The issue managed to get across the line on the final day of bidding on Tuesday, March 24, largely driven by strong participation from qualified institutional buyers (QIBs), while the other investor categories remained undersubscribed.

The IPO had opened for public subscription on March 20 and concluded on March 24. The company had fixed the price band for the issue at ₹163 to ₹172 per share.

Central Mine Planning IPO GMP ahead of listing

Ahead of listing on March 30, the grey market premium (GMP) for Central Mine Planning IPO showed muted price. It is currently at ₹9 on March 26. The current GMP signals that the IPO listing price is likely to be ₹181, up 5.23% from the issue price.

Central Mine Planning IPO Subscription

The IPO was subscribed 1.05 times by the end of Day 3. The QIB segment saw 3.48 times subscription, while the retail individual investors quota was subscribed 33% of their allotted portion. The non-institutional investor (NII) category was subscribed 35%. Lastly, the employee and shareholder portions were booked 21% and 36%, respectively.

Central Mine Planning IPO received bids for 8,37,13,200 shares against the total offer of 7,97,89,500 shares.

Central Mine Planning IPO details

The ₹1,842-crore IPO was priced in the range of ₹163 to ₹172 per share, valuing the company at around ₹12,280 crore at the upper end of the price band.

Central Mine Planning’s IPO was entirely an offer-for-sale (OFS) of 10.71 crore shares by Coal India, with no fresh issue component involved. Investors were allowed to bid for the issue in lots of 80 shares, which meant the minimum investment required at the upper end of the price band stood at ₹13,760.

Ahead of the issue, the Coal India subsidiary had raised ₹470 crore from anchor investors last Wednesday.

Central Mine Planning offers consultancy and support services spanning coal and mineral exploration, mine planning and design. Its service portfolio also includes infrastructure engineering, environmental management, geomatics, specialised technology services, and management systems, with a primary focus on the coal and mining sector.

IDBI Capital Markets & Securities and SBI Capital Markets were the book-running lead managers for the issue, while KFin Technologies served as the IPO registrar.

Disclaimer: This story is for educational purposes only. Please consult with an investment advisor before making any investment decisions.