So far this year 3 IPOs have been launched in the primary market, among which the IPO of Indigo Paints, the company which makes decorative paints, has got the most love from investors. Indigo Paints’ IPO opened on January 20 and closed on January 22. The price band for its IPO was Rs 1488-1490. The company’s issue was subscribed 15.93 times in retail portions. At the same time, the share of HNI (High Networth Investors) was subscribed 263 times and that of qualified institutional buyers was subscribed 189.57 times. But due to the correction in the last 4-5 days in the stock market, the expectations of listing of Indigo Paints at a premium of 30 to 40% can be a big blow.
Due to the decline in the stock market, the premium of Indigo Paints stocks in the gray market has fallen by Rs 100. Today, the listing of Indian Railway Finance Corporation (IRFC) is also down 4% from its issue price. This has shaken investor confidence with Indigo Paints. Let me tell you that in the first gray market, the shares of Indigo Paints were trading at a premium of 50 to 56% from the higher band of Rs 1490 of their issue price. On January 15, its trading price in the gray market was between 2,340-2,330. Explain that the gray market is an unauthorized trading platform where a share is traded between the date of allotment in the IPO and the date of listing in the market.
Gray market premium falls by Rs 100
Paint stocks have fallen by more than 18% in the last 4 days due to the stock market crash. Apart from this, the listing of Indigo Paints will also be on the next day of the general budget, due to which the stock market may be in a state of turmoil. In such a situation, the stocks of Indigo Paints are feared to be shocked. Abhay Doshi, who is eyeing the gray market, says that earlier the shares of Indigo Paints were trading at Rs 900 above their issue price, but now it has fallen by Rs 100 and they are trading at a premium of Rs 800. He says that Indigo Paints is still strong, but if the market falls further, it will definitely affect the listing of Indigo Paints.
A heavy drop in paint stocks
On January 21, Asian Paints stock price was Rs 2,816, which has fallen by 15% so far and is trading at Rs 2456 today. At the same time, Berger Paint has lost 14% during this period. Its share price was Rs 822.95 on January 21, which is now trading at Rs 722. At the same time, stocks of Kansai Nerolac declined by 20%. Its share price was Rs 680 on January 21, which is now trading at Rs 568.55.
What are the expectations of experts from Indigo Paints?
Despite the fall in prices of paint stocks, some brokerage firms still expect Indigo Paints listings to be at a 30 to 40% premium. YES Securities said the listing of the company’s IPO is expected to be around 3750 rupees from the issue price, at a 37% premium. While in the gray market, its rate now is Rs 2290 per share. At the same time, Aastha Jain of Hem Securities said that the listing of Indigo Paints can be in the range of 2000 to 2100 rupees. He said that the budget will not affect the listing of the company. Indigo Paints has allotted shares to investors. Its listing will be on the stock exchange on February 2.
Check share allotment status as
- First of all visit the website of the Registrar ASBA of this IPO.
- After this, select the IPO of Indigo Paints.
- If entering the application number, select ASBA or NON-ASBA in the application type and enter the application number.
- If entering DPID or Client ID, select NSDL or CDSL in the depository and enter DPID or Client ID.
- At the same time, if selecting PAN, enter the PAN number and enter it. The share allotment status will appear.
Check on BSE website like this
First, go to www.bseindia.com. Then select Equity in issue type. Then select Indigo Paints in the name of the issue. After this, fill the application number and after entering the PAN, click on the Search button. The share will appear on the Share Allotment Status screen.