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Sumax Engineering SME IPO oversubscribed on day one as GMP rises
The issue opened August 25, and the grey market premium was around ₹35 on Tuesday morning, implying a potential listing premium of about 35% over the offer price.
Sumax Engineering launched its NSE SME IPO for public subscription on August 25, and the offering was already fully subscribed, with grey market activity suggesting a potential premium at listing, LiveMint Markets reported. Ahead of the IPO, the company raised ₹14.50 crore from anchor investors by allocating 14,35,200 shares at an offer price of ₹101 per share. Grey market sources cited by LiveMint Markets put the GMP at about ₹35 on Tuesday morning, pointing to a possible listing premium of roughly 35% versus the issue price.
By 1:05 PM on Tuesday, the overall subscription was nearly 1.5 times, with retail booked nearly 3 times and the portion reserved for NIIs subscribed 0.70 times, while the QIB portion had not yet seen subscriptions at that point, according to the report. The IPO will close on Friday, August 28, with the price band set at ₹95 to ₹101 per equity share. LiveMint Markets said the issue includes a fresh issue of 42,91,200 shares and an OFS of 9,96,000 shares, with the company planning to use net proceeds for manufacturing unit construction in Rajasthan and Haryana, plus working capital and general corporate purposes.