 "Last day! Parmeshwar Metal closes today; Subscription rises 45x, GMP up 65%")
Parmeshwar Metal IPO: The unlisted shares of Parmeshwar Metal commanded a solid premium in the grey market on the last day of the subscription window for its initial public offering (IPO). The Rs 24.74 crore SME offering of Parmeshwar Metal, which opened for subscription on Thursday, January 2, 2025, is set to conclude today, Monday, January 6, 2025.
Parmeshwar Metal IPO, which is available at a price band of Rs 57-61 per share with a lot size of 2,000 shares, has been oversubscribed by 45 times till Friday, January 3, 2025.
Meanwhile, sources tracking unofficial market activities revealed that the unlisted shares of Parmeshwar Metal were trading at Rs 101 a piece, reflecting a grey market premium (GMP) of Rs 40 or 65.57 per cent over the upper end of the issue price of Rs 61.
As the public offering closes for subscription today, January 6, the basis for the allotment of Parmeshwar Metal shares is expected to get finalised tentatively on Tuesday, January 7, 2025. Successful allottees will receive the Parmeshwar Metal shares in their demat accounts tentatively by Wednesday, January 8, 2025.
Shares of Parmeshwar Metal are expected to list on the BSE SME tentatively on Thursday, January 9, 2025.
Link Intime India is the registrar for the issue, while Beeline Capital Advisors is the sole book-running lead manager.
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Notably, the public offering comprises an entirely fresh issue of 40,56,000 equity shares. The company, in its red herring prospectus (RHP), said that it will use the proceeds from the net issue for setting up a new manufacturing facility at Gandhinagar, Dehgam, Gujarat, for manufacturing bunched copper wire and 1.6 MM copper wire, and for funding capital expenditure for furnace renovation.
Parmeshwar Metal is a copper wire and rod manufacturer based in Gujarat, India. The company recycles copper scrap to produce its products. Its manufacturing unit in Dehgam, Gujarat, offers a range of copper wire rods. The company's products are used in various industries, including power cables, automotive, and household cables.