IKIO Lighting IPO: IKIO Lighting’s IPO has closed for subscription, but its gray market premium continues to stir. The Noida-based company has brought its first IPO, which has been subscribed 66.30 times. The IPO, which closed on June 8, saw a flood of 163.58 times the reserve shares for qualified institutional buyers. Whereas the shares of High Net Worth Individuals were flooded 63.35 times. The retail scrip was subscribed 13.86 times.
Gray market premiums have changed
IKIO Lighting is an LED Lighting Solutions company. There has been a change in premium after the closure of its issue in the gray market. The premium has come down since the issue closed last week. At present, the premium of the shares of this company is Rs 90 to 92 per share. That is, 32 percent profit can be earned on listing in this stock. IKIO Lighting shares will be allotted at an upper band of Rs 285.
The gray market premium was at a peak of Rs 125 when the issue was closing. Means 44 percent premium was running. Thereafter, as the day of listing approaches, the premium decreases. The premium is believed to have come down due to the recent correction in the secondary market. The premium of this stock has come down from Rs 125 to Rs 90 to Rs 92, that is, there has been a decrease of about 28 per cent.
However, such premium cannot be called low. From this it can be said that due to the heavy subscription of the stock, its listing can be done at a good price. It is one of the best premium issues among the companies doing IPO in the current year. Aiko has raised Rs 606 crore from the market through a public issue with an upper price band of Rs 270 to 285 and issued new shares worth Rs 350 crore.
This company is involved in the field of decorative lighting and has a good reputation. It also works for commercial refrigeration lighting and recreational vehicle lighting. The company has end-to-end solutions and backward integrated manufacturing facility. The shares of this company have 54x 9M FY23 EPS at upper price band. However, if its project is delayed then growth may be affected.