Saraswati Saree Depot IPO Allotment: What Investors Need to Know
Saraswati Saree Depot, a well-known manufacturer and wholesaler of women’s apparel, recently concluded its Initial Public Offering (IPO) with resounding success. The IPO, which closed for subscription on August 14, 2024, witnessed overwhelming demand from investors, with the issue being subscribed a remarkable 107.39 times by the final day.
Allotment Status and Process
The allotment for the Saraswati Saree Depot IPO is scheduled to be finalised on August 16, 2024. Investors who participated in the IPO can check their allotment status online once it is finalised. Bigshare Services Pvt Ltd, the registrar for this issue, will provide allotment details on its official website. Alternatively, investors can also check the allotment status on the BSE website using the following links:
– Check Saraswati Saree Depot IPO Allotment Status on Bigshare Services: https://ipo.bigshareonline.com/IPO_Status.html
– Check Saraswati Saree Depot IPO Allotment Status on BSE: https://www.bseindia.com/investors/appli_check.aspx
Investor Interest and Grey Market Premium (GMP)
The interest in Saraswati Saree Depot’s IPO was particularly high among Non-Institutional Investors (NIIs), who subscribed 358.47 times, followed by Qualified Institutional Buyers (QIBs) at 64.12 times, and retail investors at 61.9 times. This overwhelming demand has translated into a positive sentiment in the grey market, where the unlisted shares of Saraswati Saree Depot were commanding a grey market premium (GMP) of around Rs 48 on August 16, 2024. This GMP represents approximately 30 per cent over the upper band of the IPO price and is seen as an indicator of investor interest and market sentiment ahead of the official listing.
Listing Price Prediction
Given the current grey market premium, shares of Saraswati Saree Depot are expected to list at approximately Rs 208 on the exchanges. This listing price prediction takes into account the IPO GMP and the upper band of the issue price. If the GMP trend holds, investors could potentially see a profit of around Rs 48 or 30 per cent per share upon listing.
IPO Details and Utilization of Proceeds
Saraswati Saree Depot’s IPO consisted of a fresh issue of 6,499,800 shares worth approximately Rs 104 crore, along with an offer for sale (OFS) of 3,501,000 shares with a face value of Rs 10 apiece, totaling around Rs 56.02 crore. The IPO was available at a price band of Rs 152 – 160 per share, with a lot size of 90 shares. Retail investors could bid for a minimum of 90 shares, requiring an investment of Rs 14,400.
According to the Red Herring Prospectus (RHP), Saraswati Saree Depot intends to utilize the net proceeds from the IPO to fund its working capital requirements and for general corporate purposes.
In Conclusion
The success of Saraswati Saree Depot’s IPO reflects investor confidence in the company’s business prospects and growth potential. As the allotment process is finalized and the listing date approaches, investors eagerly anticipate the listing price and the opportunity to realize potential gains from their investment in Saraswati Saree Depot.