The German Green Steel & Power was subscribed 28.98 times overall by the close of bidding on September 29, the third and final day of the issue. Ahead of its listing on the National Stock Exchange (NSE) and Bombay Stock Exchange (BSE), the latest grey market premium (GMP) stood at Rs 11. This indicates an estimated listing price at a 7.91% premium over the upper price band of Rs 139.
Note: GMP is entirely unofficial, based on speculative unlisted market demand, and does not guarantee the actual listing price.
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Here is everything you need to know about the German Green Steel IPO before trading begins.
German Green Steel IPO GMP, Expected Listing Price
The latest Grey Market Premium (GMP) for German Green Steel IPO was reported at Rs 11 as of 7:30 a.m. on October 5. With the upper price band of Rs 139 the estimated listing price of the IPO is Rs 150 (cap price + today's GMP). This implies a strong potential listing premium of 7.91% over the issue price.
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German Green Steel IPO Overall Subscription Status
The initial public offering (IPO) of German Green Steel was oversubscribed 28.98 times on the third and final day of bidding on September 29.
The category-wise subscription breakdown is as follows:
- Qualified Institutional Buyers (QIB): 20.93 times
- Non-Institutional Investors (NII): 54.03 times
- Retail Investors: 22.83 times
The share allotment for the German Green Steel IPO was finalised on Wednesday, September 30. Shares of German Green Steel IPO will list on NSE and BSE on Monday, October 5.
German Green Steel IPO Details
German Green Steel IPO is a book build issue of Rs 303.90 crore. The issue is a combination of fresh issue of 2.09 crore shares aggregating to Rs 290 crore and offer for sale 10 lakh shares aggregating to Rs 13.90 crore.
The final issue price for the IPO was set at Rs 139 per share.
Retail investors were required to bid for a minimum lot size of 107 shares, translating to a minimum investment of Rs 14, 873 at the upper end of the price band.
German Green Steel IPO: Use Of Proceeds
The company proposes to utilise the net proceeds from the issue towards the following objects:
1. Funding the capital expenditure requirements of its manufacturing facility at Samakhiyali, Kutch, Gujarat and hybrid wind and solar power plant (Rs 226.33 crore)
2. Prepayment or re-payment, in full or in part, of certain outstanding borrowings availed by the company (Rs 7.70 crore)
3. The remaining amount will be used for general corporate purposes (Rs 29.5 crore) and issue expenses (Rs 27.74 crore).
About German Green Steel & Power Ltd.
Incorporated in 2008, German Green Steel and Power Ltd. is an iron and steel manufacturer primarily operating in the western region of India, with a strong presence in Gujarat and a focus on TMX Bars. The company is predominantly conducted on a business-to-business basis with three (3) major types of customers, namely (i) distributors, (ii) dealers and (iii) institutional customers.
The corporate and registered office is located in Ahmedabad, Gujarat, and the Samakhiyali Facility is situated close to ports in Gujarat.
Disclaimer: Investments in IPOs are subject to market risks. Investors should read the red herring prospectus carefully and consult a financial adviser before making investment decisions.
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