Chemcon trades at over 111% grey market premium ahead of listing today

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Chemcon trades at over 111% grey market premium ahead of listing today
Chemcon Speciality Chemicals
  • The shares of Chemcon Speciality Chemicals will hit the bourses today.
  • The grey market premium today was trading at ₹380-₹390 apiece, pointing towards the listing gains of nearly 111% over the issue price band.
  • It received bids for 976 million equity shares against the IPO size of over 6.5 million equity shares.
The shares of specialised chemical products manufacturer, Chemcon Speciality Chemicals, are slated to be listed on the bourses today. And, the grey market premium is pointing towards the listing gains of nearly 111% over the issue price band of ₹338 to ₹340 per equity share.

The grey market premium today was trading at ₹380-₹390 apiece. Although, the grey market premium isn’t an official measure of the market premium. But it gives a fair idea of the demand for the shares in the market. Grey market premium is the measure of the extra amount that the market is ready to pay for a newly listed company’s shares.

The grey market premium (GMP) of Chemcon took a massive hit last week due to weak market fundamentals amid the global selloff. However, it has seen a sharp revival, compared to its other IPO peers.

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Robust demand for Chemcon IPO

The ₹318 crore initial public offering (IPO) of Chemcon saw a stellar demand for its shares in the market, and the 149 times oversubscription on the final day of bidding during IPO is proof of that.

It received bids for 976 million equity shares against the IPO size of over 6.5 million equity shares, as per the subscription data from the stock-exchanges.

Chemcon IPOQualified Institutional BuyerNon-institutional InvestorRetail Individual InvestorEmployee Total
Shares Offered1,868,3441,407,2493,283,58006,559,173
No. of times issue subscribed 113.54 times449.14 times41.15 times0149.30 times

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Ahead of the IPO, the company also raised ₹95.4 crore from several anchor investors, including IDBI Emerging Business Fund, ICICI Prudential Child Care Plan, IIFL Special Opportunities, HSBC Global Investment, Mirae Asset Health Care, Kuber India, Ashmore India, India Acorn and Tata Multi-Asset Fund among others.

SEE ALSO: CAMS to list tomorrow — trades at over 25% grey market premium despite volatile market conditions

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