The initial public offering (IPO) of Asset Reconstruction Company India (Arcil), backed by Avenue Capital Group and State Bank of India, opened today, with the issue receiving 38 percent subscription as of 5:00 pm on September 9, as per the NSE data.
In the grey market, Arcil shares were trading at a premium of 20.5 percent on September 9, according to InvestorGain. The grey market premium (GMP) is an unofficial indicator of market sentiment and should not be treated as a guaranteed listing gain or return.
At the upper end of the IPO price band of Rs 139 per share, a 20.5 percent GMP implies an indicative grey-market price of around Rs 167.50 per share. However, the actual listing price can differ significantly from grey-market indications.
The IPO comes with a price band of Rs 132-139 per share and will remain open for subscription until September 11. The issue is entirely an offer-for-sale (OFS), meaning Arcil itself will not receive any funds raised through the IPO.
Ahead of the public issue, the company raised Rs 219.89 crore through its anchor book. It allotted 1.58 crore equity shares to 21 institutional investors.