The primary market is expected to see a brief pause following a busy December, as no new issues are set to open in the coming week. However, seven new Small and Medium-sized Enterprises (SME) companies are gearing up to make their stock market debut.
Currently, two SME issues—Kay Cee Energy & Infra Ltd and Kaushalya Logistics Ltd, which commenced bidding last week—will continue to remain open for subscription.
In the preceding week, six companies successfully listed on the Indian equity market, namely Muthoot Microfin, Suraj Real Estate Developers, Motisons Jewellers, Credo Brands, Happy Forgings, RBZ Jewellers, and Azad Engineering.
Collectively, these companies raised ₹3,910 crore, with subscription rates ranging from 12 to 173 times. The year 2023 has been marked by a surge in Initial Public Offerings (IPOs), with a total of 173 SMEs and 52 mainboard listings, accompanied by noteworthy debuts and substantial subscriptions.
Looking ahead to 2024, industry experts anticipate a continuation of the IPO trend, potentially surpassing the activity witnessed in 2023. Factors contributing to this optimism include expectations of GDP growth, the unfolding India manufacturing narrative, and the belief that the current ruling dispensation will maintain its position based on recent state election performance, according to Venkatraghavan S., Managing Director of Investment Banking at Equirus.
For the upcoming week, two SME IPOs are on the horizon:
1. **Kay Cee Energy & Infra Ltd**
– The IPO subscription opened on December 28, 2023, and will conclude on January 2, 2024.
– The book-built issue amounts to ₹15.93 crores, consisting entirely of a fresh issue of 29.5 lakh shares.
– The price band is set at ₹51 to ₹54 per share with a face value of ₹10 per share.
– Allotment is expected to be finalized on January 3, 2024, and the tentative listing date is fixed for January 5, 2024.
2. **Kaushalya Logistics Ltd**
– The IPO subscription opened on December 29, 2023, and will close on January 3, 2024.
– The book-built issue amounts to ₹36.60 crores, comprising a fresh issue of 33.8 lakh shares (₹25.35 crores) and an offer for sale of 15 lakh shares (₹11.25 crores).
– The price band is set at ₹71 to ₹75 per share with a face value of ₹10 per share.
– Allotment is expected to be finalized on January 4, 2024, and the tentative listing date is set for January 8, 2024.
In addition to these, several companies are slated for new listings, including Kay Cee Energy & Infra Ltd, Shri Balaji Valve Components, Manoj Ceramic Ltd, HRH Next Services Ltd, Akanksha Power and Infra Ltd, Sameera Agro and Infra Ltd, and AIK Pipes and Polymers, each with its respective allotment and tentative listing dates.
