Central Mine Planning & Design Institute (CMPDIL) IPO Update

Key Figures:

• 2.2 crore shares bid against 7.97 crore shares on offer as of 11:15 am on the third day of bidding
• Rs 470 crore mobilized from anchor investors
• Rs 1,842 crore initial share sale
• Rs 163-172 per share price band
• Rs 12,280 crore valuation at the higher end of the price band

IPO Subscription:

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• Qualified Institutional Buyers (QIBs): 62% subscription
• Retail Individual Investors (RIIs): 20% subscription
• Non-institutional investors: 11% subscription
• Overall: 28% subscription as of 11:15 am on the third day of bidding

Market Analysis:

The weak subscription trend is attributed to current market sentiment, coal sector overhang, concentration risk, and the nature of the issue being an Offer for Sale (OFS) without fresh capital infusion. Despite strong fundamentals, robust margins, high Return on Equity (RoE), zero debt, and Public Sector Undertaking (PSU) backing, the company's stock is not expected to see strong listing gains.

IPO Details:

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• Incorporated in 1975 as a wholly-owned subsidiary of Coal India
• Rs 1,842 crore initial share sale will conclude on March 24
• Allotment expected by March 25
• Share listing proposed to take place on March 30