Midwest IPO subscribed 6.24 times so far on day 2; check price band, lot size and key details

Midwest IPO: The initial public offer of quartz processor Midwest Ltd has been subscribed 6.24 times so far on Thursday, October 16, the second day of bidding.

The ₹451 crore IPO received bids for 1,94,42,136 shares against 31,17,460 shares on offer, as per NSE data until 1:20 pm.

The quota for non-institutional investors (NIIs) attracted 16.37 times subscription, and the retail individual investors (RIIs) portion subscribed 5.13 times. The category for qualified institutional buyers, or QIBs, received 57% subscription.

The IPO, with a price band of ₹1,014 to ₹1,065 per share, will end on October 17. A lot consists of 14 shares.

The initial share sale is a combination of a fresh issuance of shares worth ₹250 crore and an offer-for-sale of ₹201 crore.

Of the fresh issue proceeds, ₹130.3 crore will go towards Phase II expansion of its quartz facility under subsidiary Midwest Neostone, ₹25.7 crore for electric dump trucks and ₹3.2 crore for solar energy integration at select mines.

Additionally, ₹56.2 crore will be allocated for repayinging borrowings, with the remainder earmarked for general corporate purposes.

With over four decades in the natural stone industry, the company has expanded beyond granite into quartz processing through its Phase I plant, catering to the engineered stone and solar glass segments. It is further diversifying into heavy mineral sands exploration as well as the processing of rare earth elements.

Telangana-based Midwest operates 16 granite mines across Telangana and Andhra Pradesh, producing premium Black Galaxy found exclusively in a single village in Andhra Pradesh and Absolute Black granite, both widely used in global real estate projects.

DAM Capital Advisors, Intensive Fiscal Services and Motilal Oswal Investment Advisors are the book-running lead managers to the offer.

Midwest IPO GMP

The unlisted shares of Midwest are trading at ₹1,245, reflecting a grey market premium (GMP) of 16.90% over the upper price band of ₹1,065.