IPO highlights: PDP Shipping closes 24% lower on market debut, Divine Hira Jewellers IPO fully subscribed

Primary market investors were bidding actively in two initial public offerings (IPOs) on Tuesday, March 18, both belonging to the small and medium enterprise (SME) group. While one of the issues got fully subscribed, bidding in the other remained sluggish.

Moreover, another SME firm made its stock market debut today, albeit on a negative note.

Divine Hira Jewellers IPO Day 2

The ₹31.84-crore SME IPO of Divine Hira Jewellers Ltd was fully subscribed on the second day of bidding on the back of strong retail demand. At the end of bidding at 5 pm on Tuesday, the IPO was overall booked 1.88 times. The retail investors’ portion was subscribed 3.17 times, while the Non-Institutional Investors’ (NIIs) segment was booked 58%.

The Divine Hira Jewellers IPO is a fixed-price issue. It is made up entirely of a fresh issuance of 35.38 lakh shares. The IPO price has been fixed at ₹90 apiece. The minimum lot size is 1,600 units.

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

Paradeep Parivahan IPO Day 2

The ₹44.86-crore SME IPO of Paradeep Parivahan Ltd struggled to find bidders on the second day as well. At the end of bidding on Day 2, the IPO was overall booked only 57%. The retail portion was subscribed 46%, while the NIIs category was booked 1.24 times. The Qualified Institutional Buyers (QIBs) booked 26% of their allocated quota.

The BSE SME IPO is a 100% book-built issue, comprising 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.

PDP Shipping and Projects close nearly 24% lower

Shares of SME firm PDP Shipping and Projects Ltd made a disappointing debut today, with the stock listing at a nearly 20% discount from the IPO price.

Shares of PDP Shipping and Projects opened at ₹108.25 apiece on the BSE SME platform, down 19.8% compared to the issue price of ₹135 per unit. Soon after listing, the stock dropped another 5% to hit the lower circuit and close at ₹102.85 apiece.

Investors who applied for the PDP Shipping and Projects IPO at the price band of ₹135 per share face a loss of ₹32,200 per lot at the end of Day 1 of the market debut.

PDP Shipping and Projects Ltd raised ₹12.65 crore through its IPO. The issue was open for subscription from March 10 to March 12. The issue was overall booked 1.06 times, at the end of the three-day bidding.

Upcoming mega IPOs

LG Electronics India has finally received approval from the Securities and Exchange Board of India (Sebi) for its IPO. The issue is solely an OFS of up to 10.18 crore equity shares by parent company LG Electronics Inc. The issue size has been pegged at ₹15,000 crore, but the company has not confirmed it yet.

Reports say that National Securities Depository Ltd (NSDL) is also expediting its ₹3,000-crore IPO and is planning to launch the issue as early as next month. The NSDL IPO, again an OFS, will see six shareholders dilute their stakes, including NSE, IDBI Bank and HDFC Bank.

Besides that, several other popular startups are expected to list on stock exchanges in the year 2025. These include Zepto, PhysicsWallah, BoAt, Ather Energy and Avanse Financial Services.