Tatva Chintan IPO: After Tatava Chintan share allotment, grey market has already started signaling the bullish expectations of the markets
Tatva Chintan IPO: After t finalisation of share allotment, all eyes are now set on Tatva Chintan IPO listing date i.e. 29th July 2021. However, before listing of Tatava Chintan shares at NSE and BSE, grey market has already started signaling the bullish expectations of the markets. According to the stock market observers, Tatva Chintan IPO GMP (grey market premium) today is ₹1150, which is ₹90 higher from its yesterday's share price in the grey market. Market observers said that the rising trend in the Tatva Chintan IPO grey market premium indicates strong listing of the shares as fundamentals of the company is also very strong.
As per the market observers, Tatva Chintan IPO GMP has been rising ever since its subscription got opened for bidders. The major reason for this is the robust subscription of the public issue. Market observers are of the opinion that strong subscription indicates the positive sentiment of the bidders in regard to the public issue and hence grey market was bound to react on this fundamental.
Observers said that Tatva Chintan IPO after share allotment is at robust ₹1150 that means market is expecting listing of Tatva Chintan IPO at around ₹2233 ( ₹1083 + ₹1150) — at around 106 per cent premium.
Speaking on what GMP means for a public issue Abhay Doshi, Founder, UnlistedArena.com said, "GMP is unofficial data in regard to a public issue, which keeps on changing on regular basis. But, it's financials that matter most and one should look at the financials instead of grey market as strong indicator of the public issue listing. A public issue's GMP has nothing to do with the financials and is completely speculative in nature."
On what financials of the company says Ridhima Goyal, Research Analyst at Marwadi Shares and Finance said, "The company is going to list at PE multiple of 41.62 with a market cap of ₹24004.76 Mn, while its peers namely Aarti Industries Ltd and Navin Fluorine International Ltd is trading at a PE multiples of 59.54 and 73.95 respectively. It is a niche global player in specialty chemicals with SDAs in centre stage, having a globally renowned clients list and reasonable valuation as compared to its listed peers."
The tentative date for Tatva Chintan IPO listing is 29th July 2021.