Petro Carbon IPO Booked 83% on Day 1: Retail and NII Fully Subscribed, Check GMP and Expected Listing Price
The IPO for Petro Carbon and Chemicals began on Tuesday, June 25, and will close on Thursday, June 27. Each lot of the Petro Carbon IPO contains 800 shares. The price range for the IPO is set between ₹162 and ₹171 per share, with a face value of ₹10.
About Petro Carbon and Chemicals
Petro Carbon and Chemicals Limited, part of the ATHA Group, manufactures and markets Calcined Petroleum Coke. The ATHA Group is a diverse business conglomerate. Petro Carbon operates a B2B model, supplying Calcined Petroleum Coke to aluminum manufacturing companies, graphite electrode producers, titanium dioxide manufacturers, and other industries like metallurgical, chemical, and steel manufacturing.
Market Comparison
According to the company’s prospectus, its listed competitors include Goa Carbon Ltd (P/E of 8.76) and India Carbon Ltd (P/E of 13.85).
Between March 31, 2022, and March 31, 2023, Petro Carbon’s profit after tax (PAT) increased by 17.8%, while its revenue grew by 84.92%.
IPO Subscription Status
As of the first day, the Petro Carbon IPO is 83% subscribed. The retail portion is fully subscribed at 1.16 times, and the Non-Institutional Investor (NII) portion is subscribed 1.09 times. Qualified Institutional Buyers (QIBs) have subscribed to 5% of the available shares.
The company has received bids for 35,74,400 shares against the 43,32,000 shares on offer, as of 3:11 PM IST, according to data from chittorgarh.com.
IPO Details
The Petro Carbon and Chemicals IPO is entirely an offer-for-sale (OFS) worth ₹113.16 crore. The promoters Kishor Kumar Atha, Dilip Kumar Atha, Gaurav Atha, Vishal Atha, and Bharat Atha are selling shares in this offer. The main goals are to list the shares on stock exchanges and allow the selling shareholders to offload their shares.
Key Players
Bigshare Services Pvt Ltd is the registrar for the IPO. GYR Capital Advisors Private Limited is the lead manager, and Giriraj Stock Broking is the market maker.
Grey Market Premium
Today, the grey market premium (GMP) for Petro Carbon IPO is +₹110. This means the shares are trading at a premium of ₹110 over the IPO price in the grey market, according to investorgain.com. Considering the upper end of the IPO price band and the current premium, the expected listing price is ₹281 per share, which is 64.33% higher than the IPO price of ₹171.
The GMP reflects the willingness of investors to pay more than the issue price.
Disclaimer: The views and investment tips expressed by investment experts on Sharepriceindia.com are their own and not those of the website or its management. Sharepriceindia.com advises users to check with certified experts before taking any investment decisions.
