JNK India’s initial public offering (IPO) garnered a favorable response across all investor categories during its three-day bidding period, with allotment finalized on April 26. The company is poised to debut on both the BSE and NSE on April 30.
Notably, the IPO received robust interest, particularly from Qualified Institutional Buyers (QIBs) and Non-Institutional Investors (NIIs), while the retail segment also saw full subscription, maintaining overall stability. BSE data revealed bids for 31,17,66,156 shares, significantly surpassing the available 1,10,83,278 shares, resulting in an oversubscription rate of 28.13 times.
In detail, the retail segment witnessed a subscription rate of 4.11 times, while non-institutional investors subscribed at 23.26 times. The QIB quota was notably oversubscribed at an impressive 75.72 times.
The grey market premium (GMP) for JNK India’s IPO currently stands at +117, indicating a premium of ₹117 per share in the unofficial market, as reported by investorgain.com. Considering this premium alongside the upper end of the IPO pricing range, analysts anticipate JNK India shares to debut at ₹532 per share, reflecting a 28.19% increase over the IPO price of ₹415.
Today’s GMP suggests a higher premium and predicts a robust listing based on recent grey market trends. Analysts at investorgain.com estimate the GMP to range from ₹0 to ₹117, indicating investors’ willingness to pay above the issue price.
Brokerage firm Reliance Securities highlights JNK India’s evolution as a key player in heating equipment, positioned to capitalize on industry tailwinds, particularly in the oil-gas and fertilizer sectors. The firm recommends subscribing to the issue, emphasizing the company’s global parentage, skilled promoters, and favorable industry prospects.
Similarly, Nirmal Bang notes JNK India’s superior growth and return ratios compared to peers, along with its relatively lower valuation. With a positive outlook on the company’s industry structure, limited competition, and strong order pipeline, Nirmal Bang recommends subscribing to the IPO, citing JNK India’s potential to capitalize on global and Indian capex trends in oil and gas, petrochemicals, and fertilizer industries.
