Unlisted shares of Cello World Ltd are trading at Rs 781 or at Rs 133 GMP in the grey market, which is 20.52 per cent higher than its issue price
Read More: Blue Jet Makes Stock Market Debut, Shares Jump 10%; Should You Hold, Sell Or Buy More?
Cello World IPO: The initial public offering (IPO) of household products and stationery manufacturer Cello World is going to close today, Wednesday. Till 11:42 am on the final day of bidding, the Rs 1,900-crore IPO has been subscribed 2.66 times, receiving bids for 5,85,94,892 shares as against 2,20,61,947 shares on offer.
The category for non-institutional investors was subscribed 8.55 times while the retail individual investors (RIIs) portion received 1.57 times subscription. The quota for qualified institutional buyers (QIBs) got subscribed 0.34 times.
Cello World IPO’s allotment will take place on November 6, and the listing is likely to take place on November 9.
Cello World IPO GMP Today
According to market observers, unlisted shares of Cello World Ltd remain Rs 133 higher in the grey market as compared to its issue price. The Rs 133 grey market premium or GMP is about 20.52 per cent higher than its upper issue price of Rs 648 per share. This means the grey market is expecting a 20.52 per cent listing gain from the public issue.
Read More: Stocks to watch: Larsen & Toubro, Tech Mahindra, Adani-Total Gas, IOC, Blue Jet Healthcare
‘Grey market premium’ indicates investors’ readiness to pay more than the issue price.
About Cello World IPO
The issue is a complete offer for sale (OFS) by promoters and other selling shareholders, with no fresh issue of equity share component.
Cello World has collected Rs 567 crore from anchor investors. The company has raised the size of its IPO size to Rs 1,900 crore from Rs 1,750 planned earlier. The IPO price has been fixed at Rs 617-Rs 648 per share.
The offer includes a reservation of shares worth up to Rs 10 crore for subscription by eligible employees.
The OFS comprises the sale of equity shares by Pankaj Ghisulal Rathod, Gaurav Pradeep Rathod, Pradeep Ghisulal Rathod, Sangeeta Pradeep Rathod, Babita Pankaj Rathod and Ruchi Gaurav Rathod.
The Mumbai-based Cello World has a product portfolio across three key categories — consumer houseware, writing instruments and stationery, and moulded furniture and related products.
Read More: Mamaearth IPO Day 2: Subscription, GMP And Other Details; Should you Buy Or Avoid?
Kotak Mahindra Capital Company, ICICI Securities, IIFL Securities, JM Financial and Motilal Oswal Investment Advisors are the managers to the offer. The shares are proposed to be listed on BSE and NSE.
