The initial public offering of Parmeshwar Metal Ltd., a manufacturer of copper wire and rods, opened for subscription on Jan. 2 and was booked over 13 times led by demand from retail investors who bid for over 3,15,92,000 shares against the 13,48,000 shares offered.

The grey market premium for Parmeshwar Metal IPO soared after the SME issue was fully booked on Day 1.

The book-building offer is an entirely fresh issuance of 40.56 lakh shares aimed at raising Rs 24.74 crore from the primary market.

Here’s all you need to know about Parmeshwar Metal IPO. 

Parmeshwar Metal IPO: Key Details

The subscription window for Parmeshwar Metal IPO will remain open between Jan. 2 and Jan. 6. The allotment for the Parmeshwar Metal IPO is expected to be finalised on Tuesday, Jan. 7, 2025. This will be followed by credit of shares into the demat account of successful bidders on Jan. 8. Initiation of refund for the non-allottees will be done on Jan. 8.

Shares of Parmeshwar Metal Ltd. are expected to be listed on BSE SME on Jan. 9.

As per the company’s prospectus, of the 40,56,000 shares offered — 7,70,000 (18.98%) is reserved for Qualified Institutions, 5,78,000 (14.25%) for Non-Institutional Buyers, 13,48,000 (33.23%) for Retail Investors and 11,54,000 (28.45%) for Anchor investors.

Retail investors, interested in the IPO, may submit their application with a minimum lot size of 2,000 shares amounting to an investment of Rs 1,22,000.

Parmeshwar Metal has appointed Beeline Capital Advisors Pvt. Ltd as the sole book-running lead manager for its issue whereas Link Intime India Pvt. Ltd is its registrar. The market maker for Parmeshwar Metal IPO is Spread X Securities Pvt. Ltd.

Parmeshwar Metal IPO Subscription Status: Day 2 Live

The IPO has been subscribed 19.73 times as of 10:34 am on Friday

  • Qualified Institutions: NIL

  • Non-Institutional Buyers: 13.32 times

  • Retail Investors: 33.75 times

The subscription status will be updated at regular intervals.

Parmeshwar Metal IPO: GMP Today

The grey market premium for shares of Parmeshwar Metal Ltd was Rs 35 apiece as of 07:59 a.m. on Jan. 3, 2025. This projects a listing gain of 57.38%, with the shares likely to debut at Rs 96 on BSE SME if the current trends are sustained – Based on data as per the Investorgain platform.

Ahead of its opening, the GMP of Parmeshwar Metal IPO stood at Rs 20 indicating a listing gain of 32.79%. The GMP climbed after the issue was fully subscribed on Day 1.

Note: GMP or grey market price is not an official price quote for the stock and is based on speculation.

Parmeshwar Metal IPO Subscription Status: Day 1

The IPO was subscribed 13.79 times on Friday

  • Qualified Institutions: NIL

  • Non-Institutional Buyers: 9.65 times

  • Retail Investors: 23.44 times

Parmeshwar Metal: Business And Financials

Parmeshwar Metal Ltd. manufactures a wide range of copper wire and rods by recycling copper scrap. Its products serve as a raw material in making power cables,  wires, transformers, automotive products and  household cables.

The company incorporated in 2016 has a total employee strength of 89 people on its payroll.

Use Of Proceeds

Parmeshwar Metal Ltd. has proposed to use the net proceeds from its public offer to fund capex on setting up a manufacturing facility in Gujarat’s Dehgam, as well as furnace renovation for copper melting. The remaining money will be used for working capital requirements and general corporate purposes. 

Financials

Parmeshwar Metal Ltd. posted a revenue of Rs 757.3 crore in the 7 months ending on Oct. 31 2024 with a net profit of Rs 5.7 crore. The company’s revenue grew 13% year-on-year to Rs 1,102.46 crore in FY24 from Rs 972.7 crore in the previous fiscal year. However, Net profit during the period slipped 19% to Rs 7.2 crore in FY24 from Rs 8.8 crore in FY23.

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.Parmeshwar Metal IPO grey market premium was Rs 35 apiece as of 7:59 a.m. on Jan. 3, 2025, indicating a listing gain of 32.79%.  Read MoreIPOs, Markets 

​NDTV Profit