Interarch Building Products’ Initial Public Offering (IPO) got off to a strong start, with high demand from retail and non-institutional investors on the first day. The IPO, which opened today and will close on Wednesday, August 21, was fully subscribed within hours.
By 3:30 p.m., bids were placed for 10,267,264 shares, compared to the 4,653,341 shares on offer. This brought the overall subscription to 2.21 times, according to data from Chittorgarh. Retail investors subscribed 2.16 times their allotted portion, while non-institutional investors booked their portion 5.17 times.
Key Details of the IPO
Interarch Building Products aims to raise ₹600 crore through the IPO, which consists of fresh equity shares and an offer for sale. The price range for the shares is between ₹850 and ₹900, with a face value of ₹10 per share. Retail investors can buy in lots of 14 shares, requiring a minimum investment of ₹14,400.
The final allocation of shares is expected to be completed by Thursday, August 22, 2024. The company’s shares are expected to be listed on both the NSE and BSE by Monday, August 26, 2024. Ambit Private Limited and Axis Capital Limited are managing the IPO, and Link Intime India Private Ltd is handling the share allotments.
Grey Market Premium (GMP)
The grey market premium (GMP) for Interarch Building Products’ shares is ₹310 as of today. This suggests that the shares could list at ₹1,210, which is 34.44% higher than the upper price of ₹900 per share. While the GMP gives an indication of market interest, it’s not always a reliable measure for making investment decisions.
About Interarch Building Products
Interarch Building Products is one of India’s top providers of pre-engineered steel building solutions. The company handles everything from design and engineering to manufacturing and on-site project management for installing steel buildings.
Ranked third in operating revenue in 2023 among integrated pre-engineered building (PEB) companies in India, Interarch has an installed capacity of 141,000 metric tonnes per year and holds a market share of 6.1%. The company serves a wide range of industries, including industrial, infrastructure, and commercial construction.
Its projects include multi-level warehouses for e-commerce companies and production lines for businesses in the fast-moving consumer goods (FMCG) sector. Interarch’s competitors include Everest Industries and Pennar Industries.
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