Shares of Abans Holdings Ltd traded at a grey market premium or GMP of 13 rupees per share on Thursday, according to topsharebrokers.com.
The IPO price per share is 270 rupees while its estimated listing price is 283 rupees, up 4.81%. This makes a grey market premium of 13 rupees per share.
Investors' willingness to pay more than the issue price is referred to as 'Grey Market Premium'.
According to the brokerage, Thursday's IPO GMP trend indicates upside and expects a strong listing. The lowest GMP is recorded at 0 while the highest is at 16 rupees. Since December 6, the shares of the company have been traded in the grey market.
Retail investors should therefore make a strong application for this IPO, the brokerage suggests.
The IPO offer consists of a fresh issue of up to 38 lakh equity shares and offer-for-sale by promoter Abhishek Bansal of up to 90 lakh equity shares.
Along with other basic business needs, the proceeds from the issue will be utilised to increase the NBFC subsidiary's (Abans Finance) capital basis.
The price range for the public offering of shares by the company is set at 256–270 rupees. The IPO's subscription period will begin on December 12, and end on December 15. On December 9, the anchor book will be available for one day.
On December 20, the share allotment will be finalised, and on December 23, the initial public offering will be listed on the bourses.