Prostarm Info Systems IPO: What GMP Signals Ahead Of Market Debut Tomorrow
Shares of Prostarm Info Systems are set to be listed on the BSE and NSE on Tuesday, June 3, following the successful subscription of the initial public offering.
Shares of Prostarm Info Systems are set to be listed on the BSE and NSE on Tuesday, June 3, following the successful subscription of the initial public offering.
An integrated power solution company, Prostarm Info Systems, launched its initial public offering (IPO) on May 27. The issue was open for subscription till May 29.
Prostarm Info Systems' IPO saw an overall subscription of 97.2 times on its third day, with non-institutional investors (NIIs) leading the demand. The NIIs segment was booked 222.14 times. The portion set aside for retail investors was subscribed 39.49 times. The Qualified Institutional Buyers (QIBs) booked their quota 104.49 times.
The IPO price band was fixed at Rs 95 to Rs 105 per equity share. Prostram Info Systems aims to raise Rs 168 crore through its book-building issue. The IPO comprised a fresh issue of 1.6 crore shares, with no offer-for-sale component.
Prostarm Info Systems IPO GMP Today
The latest GMP for the Prostarm Info Systems IPO was Rs 14 at 5:00 p.m. on June 2, ahead of the listing of shares. The current GMP indicates an estimated listing price of Rs 119 per share, with an expected gain of 13.33% per piece, compared to the upper price band of the IPO at Rs 105 apiece.
As per the GMP trends, there has been in a drop in the GMP of Prostarm Info Systems IPO. The GMP for the public issue was Rs 25 when the IPO opened for subscription, but saw a constant decline in the coming days. The GMP slid down to Rs 20 when the IPO closed last week.
Note: GMP does not represent official data and is based on speculation.
Use Of Proceeds
Prostarm Info Systems plans to set aside Rs 72.5 crore from the proceeds to fund the company's capital requirements. A total of Rs 17.95 will be used to pay back debt. The remaining proceeds will be used for funding inorganic growth through acquisitions and other strategies, as well as 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.
