Indifra IPO Day 3: Issue subscribed 6.73 times till now; check GMP

Indifra IPO Subscription Day 3: The initial public offering (IPO) of Indifra continued receiving a strong response from investors on the third day of bidding. The issue was booked 6.73 times at 3:45 pm on Day 3, December 26, 2023. It has received bids for 1.38 crore shares against 20.52 lakh shares on offer. The IPO was subscribed 74 percent on Day 1 and 1.85 times on Day 2.

The category for retail investor category was subscribed 11.18 times while the non-institutional investors (NII) portion was bid just 2.27 times till now.

Indifra IPO details

The ₹14 crore IPO will close for subscription on Tuesday, December 26, 2023. It is entirely a fresh issue of 21.6 lakh shares by promoters of the company. The price for the IPO has been set at ₹65 per share.

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Abhishek Sandeepkumar Agrawal and Sandeepkumar Vishwanath Agrawal HUF are the promoters of the company. They currently hold a 96 percent stake in the which, which will decrease to 67.55 percent post the issue.

Around 50 percent of the net offer is reserved for retail investors. The minimum lot size for an application is 2000 shares. The minimum amount of investment required by retail investors is ₹1,30,000. Meanwhile, the minimum lot size investment for HNI is 2 lots (4,000 shares) amounting to ₹2,60,000.

Beeline Capital Advisors Pvt Ltd is the book-running lead manager of the Indifra IPO, while Kfin Technologies Limited is the registrar for the issue.

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The allotment for Indifra IPO is expected to be finalized on Wednesday, December 27, 2023, and tentatively it will be listed on NSE SME on Friday, December 29, 2023.

Indifra IPO GMP Today

The company's shares in the grey market continued trading at 0, indicating no premium versus the IPO price at listing. It has been the same since it started trading in the grey market on December 18.

However, one must note that grey market premium is only an indicator of how the company's shares are performing in the unlisted market and can change quickly.

Indifra IPO Review

“The company is from the Airan group and is engaged in providing pipeline-related infra services to gas companies and supplying electrical appliances. It posted minuscule financial performance so far and based on its FY24 annualized earnings, the issue appears exorbitantly priced. It operates in a highly competitive and fragmented segment. There is no harm in skipping this pricey bet, being a High Risk/No Return bet,” said Dilip Davda, the contributing editor at Chittorgarh.

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.