Ceigall India IPO gets fully booked on the second bidding day; retail, NII portion sees good demand; check GMP

Ceigall India IPO subscription status: The infrastructure company Ceigall India Ltd.’s initial public offering (IPO) sailed through its second day, with all of the segments being fully booked. At 14:45 IST, Ceigall India IPO subscription status was subscribed 1.02 times, as per BSE data.

The initial share sale received bids for 2,26,57,986 shares, as against 2,23,13,663 shares on offer, according to BSE data.

The quota for retail investors received 1.40 times subscription, while the non institutional investors part got subscribed 1.36 times. The portion for Qualified Institutional Buyers (QIBs) portion is yet to be booked, and the employee portion was booked 4.99 times.

On the first day of bidding, Ceigall India IPO subscription status was 61%, as per BSE data.

A day before its initial share-sale opened for public subscription, the business said on Wednesday that it had raised ₹375 crore from anchor investors.The initial public offering (IPO), which began subscriptions today (Thursday, August 1) and ends on Monday, August 5, has a price range of ₹380 to ₹401 per share.

Ceigall India IPO has reserved not more than 50% of the shares in the public issue for qualified institutional buyers (QIB), not less than 15% for non-institutional Institutional Investors (NII), and not less than 35% of the offer is reserved for retail investors. A discount of ₹38 per equity share is being offered to eligible employees in the employee reservation portion.

As of Fiscal 2024, Ceigall India has the fastest-growing engineering, procurement, and construction (EPC) industry when looking at three-year revenue compound annual growth rate. Among its rivals, the firm has seen one of the greatest annual revenue growth rates in fiscal 2024, growing by over 43.10%.

The listed peers of the company are PNC Infratech (P/E of 14.75), G R Infraprojects (P/E of 12.60), H.G. Infra Engineering (P/E of 20.43), KNR Constructions (P/E of 13.17), ITD Cementation India (P/E of 29.39), and J Kumar Infraprojects (P/E of 19.68), according to the red herring prospectus (RHP).

Ceigall India IPO details

The IPO consists of an offer-for-sale (OFS) of 1,41,74,840 equity shares by existing shareholders, including promoters, and a fresh issue of equity shares for ₹684.3 crore by the firm.

The selling shareholders in the OFS include promoters Ramneek Sehgal, Ramneek Sehgal and Sons HUF, Avneet Luthra, Mohinder Pal Singh Sehgal, Parmjit Sehgal, and Simran Sehgal.

The company intends to use the net proceeds to finance the following goals: general corporate purposes; equipment purchases; full or partial repayment or prepayment of certain loans taken out by the company; and Ceigall Infra Projects Private Limited, the company’s subsidiary.

The registrar for the Ceigall India IPO is Link Intime India Private Ltd, while the book running lead managers are ICICI Securities Ltd, IIFL Securities Ltd, and JM Financial Ltd.

Ceigall India IPO GMP today

Ceigall India IPO GMP today or grey market premium is +73. This indicates Ceigall India share price were trading at a premium of ₹73 in the grey market, according to investorgain.com.

Considering the upper end of the IPO price band and the current premium in the grey market, the estimated listing price of Ceigall India share price was indicated at ₹474 apiece, which is 18.2% higher than the IPO price of ₹401.

According to grey market activity over the previous seven sessions, the IPO GMP is heading upward and a robust listing is anticipated. Analysts at investorgain.com estimate that the lowest GMP is ₹0 and the maximum GMP is ₹140.

‘Grey market premium’ indicates investors’ readiness to pay more than the issue price.

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