Groww IPO GMP Tumbles; Latest Grey Market Trends Suggest Muted Listing
The grey market premium for Billionbrains Garage Ventures' IPO has declined, signaling muted listing hopes. Here's all you need to know about the latest GMP trends.
Billionbrains Garage Ventures Ltd., the parent company of the online trading platform Groww, which launched its initial public offering (IPO) on November 4, was fully subscribed on Day 2. The subscription process for the mainboard offering will conclude today.
The IPO, which opened on Tuesday, November 4, has witnessed significant demand. Investors have bid for 638.21 crore shares against the 36.48 crore shares on offer, resulting in an overall subscription of 17.51 times as of 3:54 p.m. on Day 3 (Friday).
Despite strong investor appetite, the Grey Market Premium (GMP) for the mainboard offering has declined since the IPO was launched. The falling GMP reflects market jitters over the valuation and could suggest narrower listing gains than initially anticipated.
As bidding for the Groww IPO enters its final day, investors are paying close attention to grey-market premium trends, which suggest a muted listing for Billionbrains Garage Ventures' shares.
The grey market premium (GMP) for the Groww IPO continues to be a top trending topic in the 'Business and Markets' category, as bidding for its shares enters its second day.
Here's all you need to know about the IPO of Billionbrains Garage Ventures (Groww) Ltd., including its latest GMP, price band, issue size, important dates, and subscription status.
Groww IPO GMP Today
The Grey Market Premium (GMP) for the Groww IPO stood at Rs 5 per share as of 3:00 p.m. on November 7. Based on the upper price band of Rs 100, this premium suggests that unlisted shares of Billionbrains Garage Ventures were trading at Rs 105, an approximate premium of 5% in the private market.
While the GMP for the mainboard offer had initially increased ahead of its launch on November 4, it has since shown a consistent decline over the last few days. The highest GMP recorded for the Groww IPO was Rs 16.7 on November 1, which then slid to Rs 16.5 on November 3. A further drop was observed when the GMP touched Rs 14 on November 4, the day the IPO opened.
For context, this the lowest GMP recorded for the Groww IPO since October 28.
Note: GMP does not represent official data and is based on speculation. GMP data from InvestorGain.
Groww IPO: All You Need To Know
The Billionbrains Garage Ventures (Groww) IPO is a book-building issue worth Rs 6,632.3 crore. It comprises a fresh issuance of 10.6 crore shares, worth Rs 1,060 crore, and an offer-for-sale (OFS) of 55.72 crore shares, amounting to Rs 5,572.3 crore.
The price band for the IPO has been fixed between Rs 95 and Rs 100 per share.
To participate in the IPO, retail investors need to bid for a single lot size of 150 shares, requiring an investment of Rs 15,000. Small Non-Institutional Investors need to bid for 14 lots, amounting to an investment of Rs 2,10,000. Big Non-Institutional Investors can participate in the IPO by bidding for a minimum of 67 lots. It will lead to an investment of Rs 10,05,000.
Kotak Mahindra Capital Ltd. is the book running lead manager and MUFG Intime India Pvt. is the registrar of the issue.
The bankers handling the offer include JPMorgan, Kotak Mahindra Capital, Citigroup, Axis Capital, and Motilal Oswal.
Groww IPO Allotment And Listing Date
The share allotment status for the Groww IPO is expected to be finalised on November 10. Shares of Billionbrains Garage Ventures (Groww) Ltd. are expected to list on the BSE and NSE on November 12.
The company will transfer shares to the Demat accounts of successful bidders on November 11, and refunds for non-allottees will be processed on the same day.
Use Of Proceeds
Billionbrains Garage Ventures, backed by Microsoft Chief Executive Officer Satya Nadella, will use funds raised in the IPO fresh issue to fund expenditure towards cloud infrastructure, brand building and performance marketing activities, investment in two material subsidiaries and funding inorganic growth through unidentified acquisitions and general corporate purposes.
About Groww (Billionbrains Garage Ventures Ltd.)
Groww, a Bengaluru-based online investment and trading platform, has become a leading player in India’s fintech sector. The company offers a wide range of investments across stocks, mutual funds and bonds through its app. It was incorporated in 2017. The company has also expanded into loans and financing solutions.
Financials
The company reported a 12% year-on-year (YoY) rise in profit at Rs 378.37 crore in Q1FY26 from Rs 338.01 crore in Q1FY25. Revenue from operations fell 9.6% YoY to Rs 904.4 crore in Q1FY26 from Rs 1,000.8 crore in Q1FY25.
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.
