Resourceful Automobile IPO: Shares list flat despite 400X subscription
The SME shares list flat at ₹117 despite commanding a 90% premium in the unregulated grey market, amid recent social media outrage.
The SME shares list flat at ₹117 despite commanding a 90% premium in the unregulated grey market, amid recent social media outrage.
SEBI says it gives an easy opportunity to the promoters to offload their holdings in such companies at elevated prices.
Founder of Capital Mind, Deepak Shenoy, says the outrage is, probably, the unhappiness of missing out. "And no one's going to force you to buy this IPO."
The ₹12-crore BSE-SME IPO of Delhi-based Resourceful Automobile has created buzz by garnering 418.82 times bids, with retail portion subscribing 496.22 times.
The composite public issue of ₹450 cr was a combination of the highest-ever rights issue of ₹300 cr and the second-largest FPO of ₹150 cr in the SME space.
The stock listed at ₹171 on the BSE, a premium of 90% against the IPO price of ₹90 on the BSE.
The IPO received an overwhelming response from retail and non-institutional investors as quota reserved for them were booked 169.94 times and .94 times, respectively.
The homegrown integrated advertising agency aims to raise ₹41.80 crore at the upper end of the IPO price band of ₹62 to ₹65.