Kanishk Aluminum IPO listing: Shares of Kanishk Aluminum were off to a tepid start on Wednesday, February 4, as they listed at a massive discount of 20% to their initial public offering (IPO) price of ₹73.
Kanishk Aluminum share price listed at ₹58.40 today, down 20% to its IPO price. Soon after listing, the SME stock faced intense selling pressure and hit the 5% lower price band. Kanishk Aluminum IPO investors are now sitting on losses of 24%. As of 11 am, Kanishk Aluminum shares were locked in the 5% lower price band of ₹55.48.
The listing was sharply below expectations as Kanishk Aluminum IPO GMP was nil ahead of the stock market debut, suggesting a flat start.
Kanishk Aluminum IPO details
The ₹29 crore Kanishk Aluminum IPO was booked 1.04 times as of the final day of the bidding process, with its retail portion subscribed 1.86 times and the non-institutional investor (NII) quota was subscribed just 0.23 times.
The SME IPO was open for bidding from January 28 to January 30. Its allotment was finalized on Monday, February 2.
It was a fixed price issue of ₹73 apiece consisting entirely of a fresh share sale of 0.40 crore shares and no offer-for-sale component. The company plans to use the IPO proceeds for repayment of pre-payment of certain borrowings in part or full, branding and promotion of the company brand and general corporate purposes.
Sun Capital Advisory Services Pvt.Ltd. is the book running lead manager and Kfin Technologies Ltd. is the registrar of the issue. The Market Maker of the company is Sunflower Broking Pvt.Ltd.
The company is a Jodhpur-based manufacturer specializing in a wide range of aluminum extrusion products. It serves multiple sectors, including electronics, automotive, solar, furniture, transport, electrical, and architecture, through its diverse and customized aluminum profile solutions.
Disclaimer: This story is for educational purposes only. The views and recommendations expressed are those of individual analysts or broking firms, not Mint. We advise investors to consult with certified experts before making any investment decisions.
