The grey market premium (GMP) may act as an indication about the share price of initial public offering (IPO) when it gets listed. However, it may differ from GMP as well. This week two IPOs will be listed and that is Dodla Dairy and Krishna Institute of Medical Sciences (June 28, Monday). In the case of India Pesticides, its IPO allotment will be finalised on June 30.
Dodla Dairy IPO was open for subscription from June 16 and closed on June 18. The company had fixed the issue price band at Rs 421-428 per share. The grey market premium of this dairy company is around Rs 95 per share, according to IPOwatch. So, when Dodla Dairy will make its debut in the stock market it will be priced around Rs 516- Rs 523.
Krishna Institute of Medical Sciences is a Hyderabad-based company that operates multi-specialty hospitals in Telangana and Andhra Pradesh. The price band of this IPO is Rs 815-Rs 825 per equity share. In the grey market, it is priced at Rs 110, which means when it gets listed in the market, the shares may be around Rs 925-Rs 935 per share.
Agrochemical company Indian Pesticides' three-day initial public offer (IPO) Rs 800-crore IPO opened on June 23 and concluded on June 25. The initial public offer comprises a fresh issue of Rs 100 crore and an offer for sale of Rs 700 crore. The price band is Rs 290-296 per share. So, the GMP of this IPO is around Rs 60. Thus, the market may expect the company to make a debut at Rs 350-356 per piece.
