Should You Invest in Gopal Snacks IPO? Here’s What You Need to Know

Gopal Namkeen Limited, also known as Gopal Snacks Limited, is currently offering its initial public offering (IPO), which opened for subscription on March 6, 2024, and will be available until March 11, 2024. This means potential investors have only one day left to apply for the IPO. The company has set the price band for the IPO at ₹381 to ₹401 per equity share.

As per the subscription status available on the BSE website, the IPO has been subscribed 1.40 times in the first two days of bidding. Market experts suggest a positive debut for Gopal Snacks shares on Dalal Street, with shares trading at a premium of ₹41 in the grey market.

Here are some key details about the Gopal Snacks IPO:

1. GMP (Grey Market Premium): Market observers report that shares of Gopal Snacks are trading at a premium of ₹41 in the grey market.
2. IPO Price: The company has set the price band for the public offer at ₹381 to ₹401 per equity share.
3. Subscription Period: The IPO opened for bidding on March 6, 2024, and will close on March 11, 2024.
4. IPO Size: Gopal Snacks aims to raise ₹650 crore through the IPO, which is entirely through an offer for sale (OFS).
5. Lot Size: Investors can apply for the IPO in lots, with one lot comprising 37 company shares.
6. Allotment Date: The finalization of share allocation is expected on March 12, 2024.
7. Registrar: Link Intime India Private Limited is the official registrar for the public issue.
8. Listing: The IPO is proposed for listing on both BSE and NSE.
9. Listing Date: The mainboard issue is anticipated to be listed on March 14, 2024.

Considering the valuation and the company’s performance, experts have given a ‘subscribe’ recommendation for the IPO. Mehta Equities suggests that investors should subscribe for the long term, citing the company’s established brand, manufacturing capabilities, and growth potential in the organized snacks market.

Anand Rathi also recommends subscribing, highlighting Gopal Snacks as a prominent FMCG player with plans to expand in key markets. However, some brokerage firms, like Emkay Global and InCred Equities, have not rated the IPO.

Before deciding to invest, potential investors should carefully review the details and recommendations from experts to make an informed decision.