Shree Ram Twistex IPO Sees Tepid Demand on First Day of Subscription, Listing Outlook Appears Muted

Shree Ram Twistex IPO Receives Muted Response

Key Figures:

• ₹110.24 crore: Total funds to be raised through the IPO
• 1.06 crore: Number of shares on offer
• ₹95-₹104 per share: Price band for the IPO
• 0.11 times: Subscription level by the end of the first day
• ₹14,976: Minimum investment required for retail investors
• ₹1,94,688: Maximum investment allowed for retail investors

The initial public offering (IPO) of Shree Ram Twistex, a manufacturer of cotton yarns, opened for subscription on February 23 and received a muted response from investors. By the end of the day, the issue was subscribed just 0.11 times, with 12.12 lakh shares bid for against the 1.06 crore shares on offer.

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IPO Details

The IPO will remain available for bidding until Wednesday, February 25. The company aims to raise ₹110.24 crore through this IPO, which is entirely a fresh issue of 1.06 crore shares. The price band for the IPO is fixed at ₹95-₹104 per share.

Investor Response

The retail portion was subscribed 0.96 times, while Non-Institutional Investors (NIIs) subscribed just 0.12 times. The qualified institutional portion has not yet opened for bidding.

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Listing and Allotment

The allotment of the issue is likely to be finalised on February 26, and the shares are scheduled to be listed on both the BSE and NSE, with a tentative listing date of Monday, March 2.

Grey Market Premium

The grey market premium of Shree Ram Twistex as of today was ₹5 per share, which indicates the stock might list on the exchanges at a 4.80% premium over the upper band of the issue price of ₹104 apiece.

Company Profile

Shree Ram Twistex is engaged in the manufacturing of cotton yarns, including compact ring-spun and carded yarns, both combed and carded. Its product range also includes value-added yarns such as Eli Twist (combed and carded), compact slub yarns, and Lycra-blended yarns. The company operates exclusively in the business-to-business (B2B) segment, supplying its products to institutional buyers such as textile manufacturers, garment exporters, bulk purchasers, and fabric processors.