Yajur Fibres IPO Day 2: GMP Today, Subscription Status, Price Band And More

The initial public offering (IPO) of Yajur Fibres opened for bidding on Wednesday, Jan. 7. The subscription window for the BSE SME issue will close on Friday, Jan. 9. On the first day of bidding, the issue was subscribed 0.88 times, with investors applying for 60,61,600 shares against 69,20,000 shares on offer, according to the BSE data.

The Qualified Institutional Buyers’ (QIBs) segment was subscribed 1.03 times, while the Non-Institutional Investors (NIIs) booked their segment 0.60 times. The retail portion of the Yajur Fibres IPO was fully subscribed on the first day of bidding.

The latest grey market premium (GMP) for the Yajur Fibres SME IPO stood at Rs 5 on Jan. 8. Based on the upper end of the price band of Rs 174, the IPO’s estimated listing price stands at around Rs 179 per share, as per the GMP. This indicates an expected listing gain of 2.87% per share over the upper limit of the issue price.

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

The IPO was subscribed 1.08 times on Thursday

QIB: 1.03 times

NII: 0.85 times

RII: 1.20 times

Yajur Fibres IPO is a book-built issue of Rs 120.41 crore and comprises entirely a fresh issue of 69 lakh shares.

The price band for the Yajur Fibres IPO has been set between Rs 168 and Rs 174 apiece, with a lot size of 800 shares. Retail investors are required to apply for a minimum of two lots, or 1,600 shares, requiring an investment of Rs 2,78,400 per application. For HNIs, the minimum application size is three lots, or 2,400 shares, amounting to Rs 4,17,600.

After the IPO’s bidding period ends on Friday, Jan. 9, the IPO allotment status is scheduled to be finalised on Monday, Jan. 12. Refunds will be initiated on Tuesday, Jan. 13. On the same day, the shares are expected to be credited to successful bidders’ demat accounts. Shares of the company are slated to be listed on the BSE SME on Wednesday, Jan. 14.

Horizon Management Pvt. Ltd. is the book-running lead manager for the issue, while MAS Services Ltd. is the registrar. Giriraj Stock Broking Pvt. Ltd. is the market maker for the IPO.

Yajur Fibres Ltd. was established in 1980 and is part of the multi billion conglomerate, 20,000+ workforce strong – The Kankaria Group. YFL is one of the largest bast fibre processing & cottonising unit in India.

The company is engaged in the processing and manufacturing of bast fibres such as flax, jute and hemp. The company specialises in cottonising long, brittle bast fibres into short, cotton-like fibres that can be easily blended with cotton and man-made fibres. Its manufacturing facility is located in West Bengal’s jute hub at Jagannathpur, Phuleshwar, Uluberia in Howrah district, spread across 19 acres.

Use Of Proceeds

The company plans to use the net proceeds from the issue to expand its existing manufacturing facility by setting up a new shed, installing dyeing and bleaching machinery and adding additional production capacity at its unit in Howrah district. A portion of the funds will also be invested in its subsidiary, Yashodha Linen Yarn Limited, to set up a new greenfield unit at Vikram Udyogpuri in the DMIC Industrial Park in Ujjain, Madhya Pradesh, for producing wet-spun linen yarn and blended yarn. In addition, the company intends to use the proceeds to meet its working capital needs and for general corporate purposes. 

Financials

For the financial year ended March 31, 2025, Yajur Fibres reported total income of Rs 141.99 crore, compared to Rs 84.85 crore in the previous financial year ended March 31, 2024. The company’s profit after tax stood at Rs 11.68 crore in FY25, up from Rs 4.27 crore in FY24.

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.