DCG Cables & Wires Ltd IPO: Issue booked 16.96 times on Day 3 led by retail investors, NIIs ; check GMP
- DCG Cables & Wires Ltd IPO open from April 8 to April 10 at ₹100 per share. Equity share allocation includes NII, RII, and market makers. Company specializes in copper wires and cables for transformers and offers a wide range of copper products.
DCG Cables & Wires Ltd IPO has opened for subscription on Monday, April 8 and will end on Wednesday, April 10. The IPOs price band has been set in the range of ₹100 apiece. The IPO lot size for DCG Cables & Wires Ltd IPO is 1,200 shares.
The equity share allocation for the DCG Cables & Wires Ltd IPO is as follows: up to 23,73,600 equity shares are allocated to non-institutional investors (NII); up to 23,73,600 equity shares are allocated to retail individual investors (RII); and up to 2,52,000 equity shares are allocated to market makers.
According to the prospectus, the business makes copper wires and cables. The company's primary goal is to manufacture various copper wire kinds that are used in transformers. Copper Tapes, Paper Covered Copper Strips and Wires (Kraft/Crepe/Nomex/Mica), Bare Copper Wires and Strips, and Fiber Glass Copper make up their product line.
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The team at DCG takes pleasure in providing a large selection of copper items. The company's offerings guarantee ideal conductivity for a range of applications, including wires, conductors, and bare copper strips. Additionally, the firm offers connection cables made especially for transformers, multiple paper-covered copper conductors, and copper conductors in both round and rectangular forms. The company provide copper strips and wires wrapped with fiber glass for additional durability.
The firm has three production facilities as of the date of this prospectus: Waghodia, Vadodara; Odhav, Ahmedabad; and Kubadthal, Ahmedabad.
As per the prospectus, the company's listed peers are Cords Cable Industries Limited (with a P/E of 31.92) and Universal Cables Limited (with a P/E of 30.43).
DCG Cables & Wires Ltd IPO subscription status
DCG Cables & Wires Ltd IPO subscription status is 16.96 times, on day 3.
The retail portion was subscribed 21.70 times, and NII portion was booked 11.53 times.
The company has received bids for 8,05,24,800 shares against 47,47,200 shares on offer, according to data on chittorgarh.com.
DCG Cables & Wires Ltd IPO subscription status is 1.65 times, on day 1, and the issue was booked 4.18 times on day 2.
DCG Cables & Wires Ltd IPO details
DCG Cables & Wires Ltd IPO, worth ₹49.99 crore, consists of a fresh issue of 49,99,200 equity shares with a face value of ₹10. There is no offer-for-sale component.
The business intends to use the net proceeds of the offering for the following purposes: meeting public issue expenses, general corporate purposes, working capital requirements, and capital expenditure for building development.
Bigshare Services Pvt Ltd is the registrar for the DCG Cables & Wires IPO, while Interactive Financial Services Ltd is the book running lead manager. Nikunj Stock Brokers is the market maker for the DCG Cables & Wires IPO.
DCG Cables & Wires Ltd IPO GMP today
DCG Cables & Wires Ltd IPO GMP or grey market premium is +14. This indicates DCG Cables & Wires Ltd share price were trading at a premium of ₹14 in the grey market, according to investorgain.com.
DCG Cables & Wires Ltd expected listing price was ₹114 per share, 14% more than the IPO price of ₹100, taking into account the top end of the IPO pricing band and the existing premium on the grey market.
IPO GMP is pointing higher and anticipates a solid listing based on the activity of the past seven sessions of the grey market. Analysts at investorgain.com estimate that the lowest GMP is ₹0 and the maximum GMP is ₹18.
'Grey market premium' indicates investors' readiness to pay more than the issue price.
DCG Cables & Wires Ltd IPO Review
The company operates in the manufacture and selling of copper cables and associated items such as fiber glass coated copper products, according to Dilip Davda, contributing editor at Chittorgarh. This firm will benefit from increased government expenditure in the energy industry in India.
According to management, it wants to maintain these trends moving ahead since its concentration on high margin items paid off with a significant increase in bottom lines. Looking at their exceptional results for FY24, it seems like the issue is priced completely. The medium to long term gains may be parked by knowledgeable investors with modest amounts of money.
Disclaimer: The views and recommendations above are those of individual analysts, experts and broking companies, not of Mint. We advise investors to check with certified experts before making any investment decisions.
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