Rikhav Securities IPO: Check GMP, Day 1 Subscription Status, Offer Size, Price Band And More

Rikhav Securities Ltd. went live with its initial public offering on Jan. 15, in hopes of raising nearly Rs 90 crore from the primary markets. The book-built offer worth Rs 88.82 crore consists of both fresh issuance and offer-for-sale components. As the Rikhav Securities IPO opens for subscription today, here is what interested investors must know about it.

The Rs 88.82-crore Rikhav Securities IPO combines a fresh issue of 83.28 lakh shares aggregating to Rs 71.62 crore and an offer for sale of 20 lakh shares worth Rs 17.20 crore.

The shares will be up for bidding between Jan. 15 and Jan. 17.

The company has allocated 50% of its share offerings to qualified institutional investors (QIBs), 35% to retail individual investors and the rest 15% to non-institutional investors.

Rikhav Securities will finalise the share allotment of the IPO on Jan. 20. Successful bidders will receive their share allotments on Jan. 21, while non-allottees will have their refunds processed on the same day.

The shares, priced between Rs 82 and Rs 86 apiece, are likely to get listed on the BSE SME on Jan. 22.

Retail investors have to apply for at least 1,600 shares in one lot of the Rikhav Securities IPO. This takes the minimum investment amount to Rs 1,37,600 for a single lot application.

The company has appointed Link Intime India Pvt. as the registrar for the issue, while Smart Horizon Capital Advisors Pvt. will act as the book-running lead manager. Shreni Shares Ltd. is the market maker for Rikhav Securities IPO.

The IPO has been subscribed 7.93 times as of 4:34 p.m. on Wednesday, as per market tracking site Chittorgarh

• Non-Institutional Buyers: 7.15 times

• Retail Investors: 12.76 times

Subscription status will be updated at regular intervals.

Rikhav Securities IPO GMP (grey market premium) was Rs 70 apiece as of 2:24 p.m. on Jan. 15, as per InvestorGain. This suggests that shares of Rikhav Securities are likely to list at Rs 156 apiece, with a premium of 81.4%.

Note: GMP or grey market price is not an official price quote for the stock and is based on speculation.

SEBI-registered financial services company Rikhav Securities Ltd. offers brokerage, investing, and banking services. Its services also include equity broking, cash delivery, intra-day trading, futures, and options.

The company holds memberships with the BSE, NSE and MCX, helping clients participate in IPOs. It offers depository services for demat accounts.

Rikhav Securities will use the funds from the fresh issue of its IPO to support incremental working capital needs, as well as the capex required for buying IT software, computers and laptops. A portion of the proceeds will also be used for general corporate purposes.

Rikhav Securities Ltd. clocked a revenue of Rs 96.15 crore and a net profit of Rs 50.37 crore during the period ended Sept. 30, 2024. Its FY24 revenue surged 104.2% to Rs 111.34 crore from Rs 54.52 crore in FY23. The net profit also surged 123.25% year-on-year to Rs 42.64 crore from Rs 19.1 crore in FY23.

Disclaimer: Investments in initial public offerings are subject to market risks. Please consult with financial advisors and read the red herring prospectus thoroughly before placing bids.