Gandhar Oil IPO: Anchor investors pick ₹150 crore worth shares ahead of its IPO

Gandhar Oil has raised  ₹150 crore from 16 anchor investors on November 21, a day before its initial public offering (IPO) set to open for bidding, at the allocation price of ₹169 per equity share.

Around 47.58% of the total allocation of equity shares to anchor investors have been allocated to 3 domestic mutual funds, applied through 7 schemes on Tuesday, which is worth ₹71 crore.

Gandhar Oil IPO date of subscription is scheduled for Wednesday, November 22, and will close on Friday, November 24. The IPO share price has been set in the range of ₹160 to ₹169 per equity share of face value of ₹2.

The floor price is 80 times the face value of the equity shares and the cap price is 84.50 times the face value of the equity shares. The price to earnings ratio based on restated consolidated financial information on diluted EPS for financial year 2023 at the cap price is as high as 7.11 times and at the floor price 6.73 times. Gandhar Oil IPO lot size is 88 equity shares and in multiples of 88 equity shares thereafter.

Tentatively, Gandhar Oil IPO basis of allotment of shares will be finalised on Thursday, November 30 and the company will initiate refunds on Friday, December 1, while the shares will be credited to the demat account of allottees on Monday, December 4. Gandhar Oil IPO shares are likely to be listed on BSE and NSE on Tuesday, December 5.

Gandhar Oil IPO has reserved not more than 50% of the shares in the public issue for Qualified Institutional Buyers (QIB), not less than 15% for Non Institutional Investors (NII), and not less than 35% of the offer is reserved for Retail Investors.

According to the Red Herring Prospectus (RHP), Promoter Ramesh Babulal Parekh, Kailash Parekh, and Gulab Parekh would each sell 2,250,000 equity shares. Other selling shareholders are Green Desert Real Estate Brokers, who will offload 3,000,000 equity shares, and Denver Bldg Mat & Décor TR LLC would offer 1,000,000 equity shares.

The registrar for the Gandhar Oil Refinery India IPO is Link Intime India Private Ltd, while the book running lead managers are Edelweiss Financial Services Ltd and ICICI Securities Limited.

Gandhar Oil Refinery IPO GMP today

Gandhar Oil Refinery IPO GMP today or grey market premium is +74. This indicates Gandhar Oil Refinery share price were trading at a premium of ₹74 in the grey market on Tuesday, according to investorgain.com.

Considering the upper end of the IPO price band and the current premium in the grey market, the estimated listing price of Gandhar Oil Refinery share price is ₹219 apiece, which is 29.59% higher than the IPO price of ₹169.