Suntech Infra Solutions IPO Subscribed Over 19 Times So Far On Day 2 — Check Latest GMP

Suntech Infra Solutions IPO has been booked more than 19 times so far on the second day of bidding on Thursday, June 26.

The business-to-business (B2B) construction company launched its initial public offering (IPO) on June 25 to raise Rs 44.39 crore from the primary market.

The NSE SME issue continued to see a strong demand across investor categories on Day 2, after a subscription of 4.87 times on the first day.

The IPO was overall subscribed 19.26 times till 5:30 p.m. on the second day, as per Chittorgarh data.

Qualified Institutional Buyers subscribed 6.15 times of their allocated quota. Non-Institutional Investors (NIIs) subscribed to their category 12.83 times, while the retail portion was booked 29.50 times.

According to InvestorGain, the grey market premium (GMP) for the IPO stood at Rs 25 as of 4:35 p.m. on June 26. The latest GMP indicates a listing price of Rs 111 apiece at a premium of 29.07% compared to the upper end of the issue price band. 

Note: GMP does not represent official data and is based on speculation.

The Suntech Infra Solutions IPO is a book-building issue worth Rs 44.39 crore. It comprises a fresh issue of 39.74 lakh shares, worth Rs 34.18 crore, and an offer-for-sale (OFS) of 11.87 lakh shares, amounting to Rs 10.21 crore.

The price band for the IPO is set between Rs 81 and Rs 86 per share. 

Retail investors need to bid for a single lot size of 1,600, amounting to an investment of Rs 1,29,600. High-Net-Worth Individuals (HNIs) must bid for a minimum of two lots, requiring an investment of Rs 2,75,200.

GYR Capital Advisors Pvt. is the book-running lead manager of the Suntech Infra Solutions IPO. Mas Services Ltd. is the registrar and Giriraj Stock Broking Pvt. is the market maker for the issue. 

Investors can bid for shares in the IPO till June 27. The IPO share allotment status is scheduled to be finalised on June 30. Successful bidders will receive shares in their demat accounts on July 1 and refunds for the non-allottees will be done on the same day. 

Shares of Suntech Infra Solutions are proposed to be listed on the NSE SME platform on July 2.

The company is in the business of renting construction equipment such as cranes and transit mixers. Its notable clients include Indian Oil, Delhi Metro Rail Corporation and Larsen & Toubro.

Use Of Proceeds

The company has proposed to use proceeds from the IPO to fund working capital requirements, buy construction equipment and for general corporate purposes.

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.