The grey market premium on the shares of Transrail Lighting Ltd., set to launch its initial public offering on Dec. 19, suggested a strong listing for the engineering and construction company. Transrail Lighting IPO GMP stood at Rs 120 at 8:00 a.m. on Dec. 18, suggesting a potential listing gain of 27.78% over the issue price.
According to InvestorGain, shares of Transrail Lighting are likely to make a market debut at Rs 552 if the current GMP trends are sustained.
Note: GMP or grey market price is not an official price quote for the stock and is based on speculation.
Investors may place their bids for shares in Transrail Lighting IPO between Dec. 19 and Dec. 23. The allotment of shares in the Rs 838.91-crore mainboard issue is expected to be finalised on Dec. 24, followed by the credit of shares into the demat account of successful bidders on Dec. 26. Initiation of refunds for the non-allottees is also scheduled to be done on the same day.
Shares of Transrail Lighting Ltd. are scheduled to be listed on the National Stock Exchange (NSE) and BSE on Dec. 27.
Transrail Lighting IPO: Price Band And Offer Size
A book-built issue, Transrail Lighting IPO consists of a combination of fresh issuance of 93 lakh shares aggregating to Rs 400 crore and an offer for sale of 1.02 crore shares worth Rs 438.91 crore.
Transrail Lighting Ltd. has an IPO price band in the range of Rs 410 to Rs 432 at the face value of Rs 2 per share. Retail investors may bid in the IPO with a minimum lot size of 34 shares resulting in an investment of Rs 14,688 for every application.
The company has appointed INGA Ventures Pvt., Axis Capital Ltd., HDFC Bank Ltd., and IDBI Capital Market Services Ltd. as the book-running lead managers for this mainboard issue. Link Intime India Pvt. is the registrar for the IPO.
Use Of Proceeds
Transrail Lighting Ltd. plans to use the net proceeds from the IPO to fund its working capital and capital expenditure requirements. The remaining money will be used for general corporate purposes to cover offer-related expenses.
About Transrail Lighting Ltd.
Transrail Lighting Ltd., incorporated in 2008, is an engineering procurement and construction (EPC) company offering turnkey solutions in power transmission, distribution, and rural electrification. The company also provides outdoor lighting solutions.
Disclaimer: Investments in initial public offerings are subject to market risks. Please consult with financial advisors and read the red herring prospectus thoroughly before placing bids.
. Read more on IPOs by NDTV Profit.A book-built issue, Transrail Lighting IPO consists of a combination of fresh issuance of 93 lakh shares aggregating to Rs 400 crore and an offer for sale of 1.02 crore shares worth Rs 438.91 crore. Read MoreIPOs
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