The IPO market opened for issue subscription of two companies on Monday. On the first day, the IPOs of both Arkade Developers and Northern Arc Capital received a strong response from investors. These mainboard IPOs will remain open for investors till Thursday, September 19. Let us understand which IPO has more strength, on the basis of GMP and subscription.
Northern Arc Capital IPO
Subscriptions
first day i.e monday Investors placed huge bids in the IPO of Northern Arc Capital Limited which opened for subscription on September 16. It has been subscribed 3.08 times on the first day so far.Retail category was subscribed 4.05 times, QIB category 0.02 times and NII category 4.66 times.
In this public offer, 30% is reserved for anchor investors, 20% for QIB (qualified institutional buyers), 15% for NII (non-institutional investors) and the remaining 35% is reserved for retail investors. The size of the company’s IPO is Rs 777 crore. In which 1.9 shares worth Rs 500 crore are to be issued through fresh issue. And 1.05 shares worth Rs 277 crore are to be sold through OFS i.e. Offer for Sale.
Price Band
The company has issuedThe price band has been fixed at Rs 249 to Rs 263 per share, where investors can bid for 57 shares in one lot. The minimum investment amount for retail investors is Rs 14,991.
GMP
Northern Arc Capital’s IPO is getting a good response in the grey market. The company’s IPO is trading at Rs 150 on the first day in the unlisted market. According to this, the company’s shares are expected to be listed at a price of more than Rs 410. If this happens, then investors will get a lot of profit.There will be more than 57 percent profit.
Arkade Developers IPO
Subscription Status
The IPO of Arcade Developers Limited also received a strong response from investors on the first day. This IPO raised 6% on the first day The company’s issue was subscribed 8.75 times in the retail category, 0.25 times in the QIB category and 8.426 times in the NII category.
In this public offer, 30% is reserved for anchor investors, 20% for QIB (qualified institutional buyers), 15% for NII (non-institutional investors) and the remaining 35% is reserved for retail investors. The size of the IPO of Arcade Developers Limited is Rs 410 crore. In which only 3.2 crore shares are to be issued through fresh issue.
Price Band
The company has fixed the price band for this IPO at Rs 121 to Rs 128 per share, where investors can bid for 110 shares in one lot. The minimum investment amount for retail investors is Rs 14,080.
GMP
The company’s IPO seems to be getting a better response in the grey market. On the first day of opening of subscription in the unlisted market, this IPO is trading at Rs 70. According to this, the company’s shares are likely to be listed at around 200. If this happens, investors will get a profit of more than 54%.
(Disclaimer: Advice or information regarding investing in shares (IPO) is given by the brokerage house. These are not the personal views of Financial Express. There are risks in the market, so take expert advice before investing.)
