Narmadesh Brass Industries Vs Avana Electrosystems IPO GMP: Grey Market Trends Suggest Over 20% Listing Gain

The subscription window for the initial public offerings (IPOs) of Narmadesh Brass Industries and Avana Electrosystems opened for subscription on Monday, January 12.

The Narmadesh Brass Industries IPO is a fixed price issue of Rs 44.87 crore. It comprises a fresh issue of 7 lakh shares worth Rs 36.09 crore and an offer-for-sale (OFS) of 2 lakh shares amounting to Rs 8.78 crore, whereas the Avana Electrosystems IPO is a book build issue of Rs 35.22 crore. It comprises a fresh issue of 52 lakh shares worth Rs 30.54 crore and an OFS of 8 lakh shares amounting to Rs 4.68 crore.

The SME IPOs are currently in the focus of grey market traders, with the current grey market trends suggesting over 20% gain ahead of listing next week.

Here’s a look at the key details and what does the latest grey market premium (GMP) indicates for these IPOs.

The subscription window for the IPO is open from January 12 to January 15. 

Retail investors can participate in the IPO by bidding for two lots comprising 480 shares, leading to an investment of Rs 2,47,200.

The Narmadesh Brass Industries IPO is priced at Rs 515 per share.

The allotment of shares is proposed to be finalised on January 16. Shares of Narmadesh Brass Industries will be listed on the BSE SME platform on January 20.

Narmadesh Brass Industries is a brass manufacturing company based in Jamnagar, Gujarat.

According to InvestorGain, the latest GMP for the Narmadesh Brass Industries IPO was nil on January 12. It indicates a flat listing for the offer.

The subscription window for the IPO will be open from January 12-14. 

To participate in the IPO, retail investors need to bid for two lots comprising a total of 4,000 shares, requiring an investment of Rs 2,36,000. 

The price band for the IPO has been fixed between Rs 56 and Rs 59 per share.

Share allotment is proposed to be finalised on January 15.  Shares of Avana Electrosystems are proposed to be listed on the NSE SME platform on January 19.

Avana Electrosystems specialises in manufacturing customised control and relay panels, protection relays, and substation automation solutions for the power sector.

The latest GMP for the Avana Electrosystems IPO stood at Rs 14 per share on January 12, according to InvestorGain. The latest GMP indicates a listing price of Rs 73 apiece, at a premium of 23.73% compared to the upper limit of the issue price.

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

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.