Midwest IPO Fully Subscribed On Day One: Check Status, Latest GMP

Midwest Ltd.'s initial public offering was fully subscribed on the day of its launch on Wednesday. Bids were led by non-institutional investors.

The IPO consists of a mix of fresh issues of shares worth Rs 250 crore and an offer-for-sale worth Rs 201 crore. The bidding will conclude on Oct 17.

Promoters Kollareddy Rama Raghava Reddy and Guntaka Ravindra Reddy will offload shares worth Rs 181 crore and Rs 20 crore, respectively.

The minimum investment required for a retail investor is Rs 14,910.

Midwest has earmarked Rs 130 crore from the proceeds of the fresh issue to fund its subsidiary's capital expenditure, as well as about Rs 26 crore for capital expenditure on the purchase of electric dump trucks.

The sum of Rs 56 crore will be used to repay outstanding borrowings, while Rs 3.2 crore will go towards capital expenditure for solar energy integration.

Upon successful completion of raising funds via IPO, the shares will be listed on the BSE Ltd. and the National Stock Exchange.

Midwest is involved in the exploration, mining, processing, marketing, distribution, and export of natural stones. It is India's largest producer and exporter of Black Galaxy Granite and held a share of approximately 23% of the Indian export market for Black Galaxy Granite in fiscal 2024, it said in its draft papers.

Its customers, comprising processors and distributors, are located across 17 countries, with China, Italy, and Thailand being their primary export markets.

IPO Details

• Open date: Oct. 15

• Close date: Oct. 17

• Price Band: Rs 1,014-1,065 per share

• Allotment date: Oct. 20

• Listing date: Oct. 24

• Fresh issue: Rs 250 crore

• OFS: Rs 201 crore

• Minimum bid: Lot size of 14 shares

Subscription Status

The Midwest IPO has been subscribed 124% as of 3:00 p.m. on Wednesday.

• Qualified Institutional Buyers (QIBs): 48%

• Non Institutional Investors(NIIS): 2.4 times

• Retail Individual Investors (RIIs): 1.18 times

Latest Midwest IPO GMP 

The latest grey market premium for the Midwest IPO is Rs 145. The shares are expected to list at Rs 1,210 apiece, indicating a gain of 14% over the IPO price, according to Investorgain.

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.

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