Muted IPO Activity Expected This Week Amid Limited Public Offerings

Indian Primary Market Remains Muted Despite Improving Sentiment

The Indian primary market has been largely muted this week, starting from April 20, despite a notable improvement in market sentiment. This comes as the benchmark indices have surged nearly 10 percent since their April low, while the broader markets have gained over 15 percent from their war lows in a short span of time.

Leapfrog Engineering Services IPO Set to Launch

Bangalore-based Leapfrog Engineering Services, a small and medium-sized enterprise (SME) company, is scheduled to launch its initial public offering (IPO) on April 22, with a price band of Rs 21-23 per share. The engineering, procurement, construction, and commissioning (EPCC) company specializes in electrical, instrumentation, industrial automation, fire safety, HVAC, and modular substation solutions. Leapfrog aims to raise Rs 88.51 crore via the public issue of 3.84 crore equity shares, which includes the issuance of 3.46 crore fresh equity shares and an offer-for-sale of 38.76 lakh shares by promoter Prabhav Narasimha Rao.

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Other IPOs Remain Open for Subscription

Meanwhile, apart from the new launch, Rajkot-based multi-brand mobile retail chain Mehul Telecom will close its Rs 27.73-crore IPO for subscription on April 21. The offer saw a healthy 3.38 times subscription on the first day, i.e. April 17. Additionally, the public issue of Citius Transnet Investment Trust, in the mainboard segment, will also remain open till April 21. The Rs 1,105-crore IPO was subscribed 69 percent so far on April 17, the first day of bidding.

Listing Front to See Two New Entries

On the listing front, there will be only two companies available for trading on the bourses this week. Property Share Investment Trust's third scheme Propshare Celestia will make its debut on the BSE on April 24, after closing its IPO with 1.33 times subscription last week on April 16. Mehul Telecom will also commence its trading on the BSE SME on the same day.

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Grey Market Observations

According to market observers, Mehul Telecom shares have attracted over 4 percent premium in the grey market, while Propshare Celestia units are not getting any premium.