Zomato IPO: GMP, subscription status, other details here1 min read . Updated: 16 Jul 2021, 05:26 PM IST
- Zomato's IPO got fully subscribed on the first day of bidding, led by a good response from the retail investors
Zomato's initial public offering (IPO), which got fully subscribed on the first day of the bidding on Wednesday, was subscribed over 40 times today at the close of the subscription period, according to merchant bankers. As of 5 pm today, the qualified institutional buyer category was subscribed 55 times while the retail category about 8 times.
As per market observers, Zomato's grey market premium (GMP) was in the range of ₹10-12 today, which is higher from its previous day's premium of ₹8.75 to ₹9.
Within hours of opening on Day 1, the retail segment of the share sale was fully subscribed. Earlier on Tuesday, a day ahead of the opening of the IPO, the company had seen strong demand for its shares in the anchor book allocation.
Zomato on Tuesday said that it has raised ₹4,196 crore from several prominent institutional investors as part of an anchor book allocation. It has allocated 552.17 million equity shares, to anchor investors, at a price of ₹76 per share. Government of Singapore, BlackRock, Goldman Sachs, Abu Dhabi Investment Authority are some of the investors that participated in the anchor book.
The issue comprises an offer for sale of ₹375 crore by the company’s early investor—Info Edge—and a fresh issue worth ₹9,000 crore. Link Intime India Private is the registrar of Zomato IPO and according to brokerages share allotment is likely to be finalised on July 22 and Zomato shares are likely to be listed on July 27.
Many domestic brokerage firms have given a 'Subscribe' rating to the IPO. Motilal Oswal said that investors with high risk appetite can 'Subscribe for Listing Gains' whereas Choice Broking has assigned a 'Subscribe with Caution' rating.
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