IPO highlights: Nukleus Office Solutions makes weak debut, Balaji Phosphates IPO fully subscribed

Primary market investors shied away from subscribing to ongoing public issues, reflecting growing pessimism in the initial public offering (IPO) market on the back of weakness in broader equities. Active bidding was happening in two IPOs on Tuesday, both belonging to the small and medium enterprise (SME) category.

Both issues struggled to find investors as prospects of generating quick returns through these IPOs weakened over the past few weeks. This could be understood from another weak listing in the stock market today, which saw the share price open at a 20% discount from its issue price.

NAPS Global India IPO opens amid poor demand

The SME IPO of NAPS Global India Ltd opened for subscription today without seeing much demand, similar to the pattern seen in some of the recent public issues. At the end of bidding on Day 1, the issue was subscribed 22%. The retail category was subscribed 31%, while the Non-Institutional Investors (NIIs) segment was booked 14%.

The NAPS Global India IPO is a fixed-price issue that aims to raise a total of ₹11.88 crore. The IPO is entirely made up of a fresh issuance of 13.2 lakh shares.

The company has priced the shares at ₹90 apiece. The minimum bid quantity to apply for the issue, also known as the lot size, is 1,600 shares.

Bidding for the NAPS Global India IPO closes on March 6. The allotment of shares is expected to be finalised on March 7. NAPS Global India shares are scheduled to list on the BSE SME platform on March 11.

Balaji Phosphates IPO sails through on last day

The ₹50.11-crore SME IPO of Balaji Phosphates Ltd was fully subscribed on the last day of bidding. At the end of bidding at 5 pm, the NSE SME issue was overall booked 1.26 times. The retail portion of the IPO was subscribed 1.08 times, while the NIIs segment was booked 1.51 times. The Qualified Institutional Buyers (QIBs) booked their category 1.26 times.

After the close of the bidding today, the allotment of shares is expected to be finalised on Wednesday, March 5. Balaji Phosphates shares are scheduled to be listed on the NSE Emerge platform on Friday, March 7.

Listing of Nukleus Office Solutions Ltd

Shares of SME firm Nukleus Office Solutions Ltd made a disappointing trading debut today, with the stock listing at a 20% discount on the BSE SME platform. The share price opened at ₹187.2 apiece compared to its IPO price of ₹234 apiece. Within minutes of opening of the trade, the stock fell another 5% to hit the day’s low of ₹177.90.

The ₹31.7-crore Nukleus Office Solutions IPO was open for subscription from February 24 to February 27. The BSE SME issue was subscribed just around 1.3 times.