The shares of AIK Pipes and Polymers made a slow but decent debut on the stock market, listing at 12 percent premium over the price band of the initial public offering of the company (IPO). The shares of the firm listed at ₹100 on Tuesday, January 2.
AIK Pipes and Polymers shares opened at ₹100 today at the BSE SME platform of the stock market. The issue price of the IPO was ₹89, and the stock showed 12 percent gain on the Indian market.
While AIK Pipes and Polymers had a slow start on the stock market listing at just 12 percent premium, the grey market showed that the shares will open at an even lower premium on Tuesday.
The GMP of firm's IPO was fixed at around 5 percent today, showing an expected share price of ₹94.5. However, the company outperformed its GMP on the stock market, giving the subscribers a higher return rate.
Since its listing price was higher than expected, early market trends show that the share prices and premium will continue to rise, ending higher than the 12 percent when the markets close.
The GMP of AIK was 7 percent lower than the actual premium on the company's listing day. Usually, investors use the grey market premium to get an idea of the returns of any specific IPO. The GMP, however, cannot be measured as the true indicator of the performance of any IPO.
AIK Pipes and Polymers IPO details
{{/usCountry}}The GMP of AIK was 7 percent lower than the actual premium on the company's listing day. Usually, investors use the grey market premium to get an idea of the returns of any specific IPO. The GMP, however, cannot be measured as the true indicator of the performance of any IPO.
AIK Pipes and Polymers IPO details
{{/usCountry}}AIK Pipes and Polymers launched its initial public offering on December 26, closing the issue on December 28 and the listing day on January 2. On closing day, the issue was booked 42 times in total, with retail investors subscribing the IPO 30 times.
The IPO was launched at a price band of ₹89, to raise ₹15.03 crore. The IPO was entirely fresh issue, aimed at raising funds to meet capital expenditure and working capital requirements.
The book-running lead manager and market-maker for the issue was Shreni Shares, while the registrar of the issue was Skyline Financials. Imran Khan and Tahira Sheikh are the promoters of the company.