This article provides a detailed analysis of the Day 3 subscription status for both MAB Engineering IPO and Shrilotus Developers IPO. We will delve into the category-wise subscription figures, highlight the surprising activity from Qualified Institutional Buyers (QIBs) in the final hour, and discuss how one of these IPOs surpassed the NST IPO in certain aspects. We will also cover the Grey Market Premium (GMP) for both IPOs and their potential listing gains, along with allotment chances.
MAB Engineering IPO: Day 3 Subscription Status
The MAB Engineering IPO, which opened for applications on July 13th and closed today, witnessed significant investor interest. Applicants who accepted their mandates by 5 PM today will be eligible for allotment through a lottery system.
Key IPO Details
The shares have a face value of ₹10, and the cut-off price was ₹385. Investors had to select a minimum of 38 equity shares at the cut-off price to be considered for allotment; applications made at the lower or 20% price band will not receive an allotment. The total issue size for MAB Engineering IPO is ₹650 crore. Retail investors were allocated 10% of the shares, High Net-worth Individuals (HNIs) 15%, and Qualified Institutional Buyers (QIBs) 75%. Prior to the IPO opening, anchor investors were offered 7,57,426 equity shares, valued at ₹291 crore.
Category-wise Subscription Breakdown
By the end of Day 3, the MAB Engineering IPO recorded the following subscription figures:
- QIB Category: Subscribed 38.63 times. Out of 50,49,000 equity shares offered, bids were received for 19,50,00,000 equity shares, amounting to ₹758 crore.
- HNI Category: Subscribed approximately 40 times. For 25,46,750 equity shares, bids were placed for 10,15,45,918 equity shares, totaling ₹399 crore.
- Big HNI: Subscribed 39.68 times, with 16,83,000 equity shares attracting bids for 6,67,00,000 equity shares, valued at ₹257.1 crore. Allotment chances for Big HNIs are approximately 1 in 8 applications.
- Small HNI: Subscribed 41.31 times, with 8,41,000 equity shares receiving bids for 3,47,00,000 equity shares, worth ₹133.8 crore. Allotment chances for Small HNIs are approximately 1 in 36 applications.
- Retail Category: Subscribed 34.36 times. Against 16,83,000 equity shares, bids were received for 5,78,00,000 equity shares, amounting to ₹222.6 crore. Retail investors have an allotment chance of approximately 1 in 28 applications.
- Employee Category: Subscribed 8.59 times.
Overall Subscription and Allotment Chances
The MAB Engineering IPO was subscribed 38.11 times overall, with 93,00,000 equity shares attracting bids for 35,49,00,000 equity shares, totaling ₹1366.3 crore. While the subscription numbers are decent, it was noted that had this IPO not closed simultaneously with two other IPOs, it might have seen over 100 times subscription.
Shrilotus Developers IPO: Day 3 Subscription Status
The Shrilotus Developers IPO, with application dates from July 13th to July 31st (today), also concluded its bidding process. Similar to MAB Engineering, investors who accepted their mandate by 5 PM today will be part of the allotment lottery system.
Key IPO Details
The cut-off price for Shrilotus Developers IPO shares is ₹150. A minimum application of 100 equity shares at this cut-off price was required for allotment. The total issue size for this IPO is ₹79.2 crore. Shares were allocated as follows: 35% for retail investors, 15% for HNIs, and 50% for QIBs. Anchor investors were offered 1,57,99,999 equity shares, valued at ₹237 crore, before the IPO opened.
Category-wise Subscription Breakdown & NST IPO Comparison
Shrilotus Developers IPO demonstrated a robust response, notably surpassing the NST IPO in key aspects.
- QIB Category: This IPO was subscribed over 175 times, outperforming the NST IPO which was subscribed approximately 103 times. For 1,05,00,000 equity shares offered, bids were received for 1,84,97,37,200 equity shares, totaling ₹27,746 crore.
- HNI Category: Subscribed 61.82 times (approximately 62 times). Against 79,00,000 equity shares, bids were placed for 48,84,00,000 equity shares, amounting to ₹732.6 crore.
- Big HNI: Subscribed approximately 59 times. For 52,60,000 equity shares, bids worth ₹467.1 crore were received for 31,14,00,000 equity shares. Allotment chances for Big HNIs are approximately 1 in 12 applications.
- Small HNI: Subscribed approximately 67 times. Against 26,30,000 equity shares, bids for 17,70,00,000 equity shares were received, amounting to ₹265.5 crore. Allotment chances for Small HNIs are approximately 1 in 61 applications.
- Retail Category: Subscribed 21.77 times. For 1,84,00,000 equity shares, bids were received for 40,12,00,000 equity shares, worth ₹618 crore.
- Employee Category: Subscribed approximately 21 times.
Overall Subscription and Allotment Chances
The Shrilotus Developers IPO saw an overall subscription of 74 times, with 3,70,00,000 equity shares attracting bids for 274,00,00,000 equity shares, totaling ₹413.8 crore. This IPO has also surpassed the NST IPO in total subscription figures. Given the strong response, there is a high potential for excellent listing gains if market conditions remain favorable.
Grey Market Premium (GMP) Update & Listing Expectations
Current market volatility has introduced some pressure on Grey Market Premium (GMP) for both IPOs:
- MAB Engineering IPO: The GMP for MAB Engineering IPO currently stands at ₹51. This suggests a potential listing gain of approximately 13%, translating to around ₹2000 per lot.
- Shrilotus Developers IPO: The GMP for Shrilotus Developers IPO has seen a slight decline from ₹44 to ₹38. Based on a ₹38 GMP, the estimated listing price would be around ₹188. This indicates a potential listing gain of approximately 25%, equating to about ₹3800 per lot.
Conclusion
Both MAB Engineering and Shrilotus Developers IPOs concluded their bidding with significant oversubscription across various categories, particularly from institutional investors. Shrilotus Developers IPO demonstrated a stronger overall response, even outperforming the NST IPO in certain aspects. While current market volatility is impacting the Grey Market Premium, both IPOs are still showing promising listing gain potential.
