Nikita Papers IPO subscribed 88% on Day 2: Check GMP, price band and key issue details

Nikita Papers’ archetypal nationalist offering saw mean request connected the 2nd time of bidding, with the wide subscription reaching 88% arsenic of 4:30 PM connected Wednesday, May 28.

Non-institutional investors (NIIs) led the subscriptions, bidding 1.49 times their allocated quota. Retail investors followed with a subscription of 1.09 times, portion qualified organization buyers (QIBs) subscribed 43% of their share. The Rs 67.54 crore contented volition adjacent connected May 29, and listing is expected connected the NSE SME level connected June 3.

GMP hints astatine humble listing gain

According to marketplace sources, the grey marketplace premium (GMP) for Nikita Papers was past seen astatine Rs 5, indicating a listing terms of Rs 109 against the precocious IPO terms set of Rs 104. This translates to a humble expected summation of 4.81%.

While the muted GMP suggests cautious near-term sentiment, analysts enactment that broader marketplace enactment and beardown final-day bidding could supply upside astonishment during listing.

IPO operation and cardinal details

The IPO is simply a implicit caller contented of 64.94 lakh equity shares, aiming to rise Rs 67.54 crore astatine the precocious extremity of the Rs 95–104 terms band. The batch size is fixed astatine 1,200 shares, requiring a minimum concern of Rs 1.25 lakh for retail participants.

Anchor allocation took spot connected May 26, with the connection opening to different investors from May 27. Allotment is expected to beryllium finalised by May 30.

Use of proceeds

Funds raised from the IPO volition beryllium deployed towards superior expenditure for mounting up a renewable energy powerfulness works based connected biomass and Refuse Derived Fuel (RDF), moving superior needs, and wide firm purposes.

Business profile

Founded successful 2010, Nikita Papers is engaged successful the manufacturing of Kraft paper, catering to industries aligned with eco-friendly and sustainable packaging. The institution has built a beardown beingness successful the market, underpinned by merchandise quality, process efficiency, and an accent connected biology responsibility.

The projected concern successful renewable vigor aligns with the company’s strategy of reducing reliance connected ...