IPO highlights: Divine Hira Jewellers IPO and Paradeep Parivahan IPO open to tepid demand

Primary markets witnessed the opening of two new initial public offerings (IPOs) on Monday – both belonging to the small and medium enterprise (SME) group. However, subscription numbers on the first day of bidding indicated a lukewarm response from the investors for both the issues. The investors awaited the share allotment status to be finalised for another SME IPO that closed last week for bidding.

The NSE SME issue of Divine Hira Jewellers Ltd was booked only 67% on the first day of bidding, while the Paradeep Parivahan IPO was booked only 10%.

Divine Hira Jewellers IPO Day 1

The SME IPO of Divine Hira Jewellers Ltd opened for bidding today on a sombre note. The NSE SME issue was booked only 69% on the first day.

The retail portion of the IPO was fully subscribed, while the Non-Institutional Investors’ (NII) segment was booked 18%.

The Divine Hira Jewellers IPO is a fixed-price issue that aims to raise ₹31.84 crore from the primary market. It is made up entirely of a fresh issuance of 35.38 lakh shares. Shares are being offered at ₹90 apiece in a lot size of 1,600 units.

Bidding for the issue will close on March 19. The allotment for the IPO is expected to be finalised on March 20. Divine Hira Jewellers shares are scheduled to be listed on the NSE Emerge platform on March 24.

Paradeep Parivahan IPO opens

The Paradeep Parivahan IPO also opened today to subdued demand. At the end of bidding on Day 1, at 5 pm, the IPO was subscribed only 10%. The retail quota was booked 18%, while the NIIs booked only 4% of their allocated portion. No bids were received from the Qualified Institutional Buyers (QIBs) against the allocation of 7.96 lakh shares.

The Paradeep Parivahan IPO is a 100% book-built issue that aims to raise a total of ₹44.86 crore. It is entirely a fresh issuance of 45.78 lakh shares, with no offer-for-sale (OFS) component.

The price band for the IPO has been set at ₹93 to ₹98 per share and the minimum bid size for an application is 1,200 shares.

Bidding for the issue will close on March 19. The allotment of shares is expected to be finalised on March 20. Paradeep Parivahan shares are scheduled to be listed on the BSE SME platform on March 24.

Super Iron Foundry IPO allotment

The status of share allotment in the Super Iron Foundry IPO is expected to be announced by the end of the day today. Investors who had bid for the issue can check the share allotment status on the websites of BSE or the IPO’s registrar MUFG Intime India Pvt. Ltd (earlier known as Link Intime India Pvt Ltd).

The ₹68.05-crore BSE SME IPO, which was open for bidding from March 11 to March 13, closed with an overall subscription of 1.61 times. Super Iron Foundry shares are scheduled to be listed on the BSE SME platform on March 19.