Kenrik Industries IPO Day 1: Check Subscription Status, Price Band, GMP And Other Details

The Initial Public Offering (IPO) of Gujarat-based Kenrik Industries Ltd. has been subscribed only 0.21 times, or 0.21%, so far on the first day. The company aims to raise nearly Rs 9 crore through this IPO.

The company is planning to expand operations and strengthen its reach in the B2B jewellery sector with the funds raised through the IPO. Based in Gujarat’s Ahmedabad, the company was founded in 2017. It specialises in making and supplying BIS Hallmark-certified traditional handmade Indian gold jewellery.

The company has selected Turnaround Corporate Advisors as the lead manager for the IPO, with Skyline Financial Services as the official registrar.

The BSE SME issue is open for bidding from April 29 to May 6. The investors looking forward to applying for shares of Kenrik Industries Ltd. during the IPO subscription need to check key details before submitting bids.

Issue Price: Rs 25 per share

Total Issue Size: Rs 8.75 crore

Fresh Issue of Shares: 34.98 lakh (No Offer-For-Sale portion)

Lot Size: Minimum 6,000 shares (for retail investors)

The SME IPO has witnessed a lukewarm response from investors on its inaugural subscription day. The overall subscription stood at 0.21 times, or 21%, around 2:45 p.m. on the first day of bidding on Tuesday.

• Non-Institutional Investors: 0.02 times, or 2%.  

• Retail Investors: 0.4 times, or 40%

*The subscription status will be updated at regular intervals

Once the subscription window closes on May 6, all eyes will be on the share allotment process for the IPO.

Kenrik Industries Ltd. IPO allotment status is expected to be finalised on May 7. Shares of the company are tentatively scheduled to be listed on the BSE SME platform on May 9.

According to Investorgain, the grey market premium (GMP) for Kenrik Industries IPO stood at Rs 0 at 2:02 p.m. on April 29. The latest GMP indicates a possible flat listing. If the current GMP trends are sustained, the shares may debut on the BSE SME at Rs 25 apiece.

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

Use Of Proceeds

Kenrik Industries plans to utilise the IPO proceeds mainly to meet its working capital requirements. It will allocate Rs 6.56 crore of the proceeds for this purpose. Additionally, Rs 1.8 crore will be used for general corporate purposes.

Kenrik Industries Ltd. reported a revenue of Rs 42.19 crore for the period ended Oct. 31, 2024, in the financial year 2024-25. The company’s net profit for the period stood at Rs 78 lakh.

For the financial year ended March 31, 2024, the company’s revenue increased to Rs 70.97 crore against Rs 52.04 crore in the preceding fiscal. In FY24, net profit more than doubled to Rs 1.08 crore from Rs 47 lakh 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.