RK Swamy’s stock had a lackluster debut on the exchanges, opening at ₹250 per share on NSE, a decline of 13.19% from its issue price of ₹288.
Similarly, on BSE, the opening price was ₹252 per share, reflecting a 12.50% decrease from the issue price. Despite experts anticipating the stock to list in the range of ₹288 to ₹296 per share, the market debut fell below expectations.
During the subscription period, RK Swamy’s IPO garnered significant attention, achieving a subscription status of 25.94 times on the last day, as per BSE data.
Retail investors and non-institutional investors showed strong interest, with the retail portion oversubscribed by 34.03 times, non-institutional investors booked 34.36 times, and Qualified Institutional Buyers (QIB) portion oversubscribed by 20.58 times. The employee portion saw a subscription of 2.52 times.
The IPO was open for subscription from March 4 to March 6, with a price band set at ₹270 to ₹288 per equity share and a lot size of 50 shares, with multiples thereafter. RK Swamy, an integrated marketing services provider with a strong emphasis on digital efforts, planned to raise ₹173 crore through a fresh issue, and an offer-for-sale (OFS) of up to 8,700,000 equity shares by promoters and other investors.
The net proceeds from the fresh issue were allocated for various purposes, including working capital needs, establishing a digital video content production studio, investing in IT infrastructure, developing customer experience centers, and addressing general corporate purposes.
SBI Capital Markets Limited, IIFL Securities Ltd, and Motilal Oswal Investment Advisors Limited served as the book running lead managers, while Kfin Technologies Limited acted as the IPO registrar.
As for the Grey Market Premium (GMP), it stood at ₹0 on the day, indicating that shares were trading at their issue price of ₹288 with no premium or discount in the grey market, according to investorgain.com. The current GMP trend, based on the last 68 sessions, suggests a neutral stance, with signals pointing towards the lower side.
The range observed is between ₹-5 (lowest) and ₹90 (highest). The ‘Grey Market Premium’ reflects investors’ willingness to pay more than the issue price and provides insights into market sentiment.
