Ceigall India IPO day 1: GMP, review, subscription status, other details. Apply or not?

Ceigall India IPO: The initial public offering (IPO) of Ceigall India Limited has hit the Indian primary market today. The public issue will remain open until 5th August 2024, i.e., Monday next week. The infrastructure construction company has fixed the Ceigall India IPO price band at ₹380 to ₹401 per equity share. The book build issue is proposed for listing on BSE and NSE, aiming to raise ₹1,252.66 crore. Out of these ₹1,252.66 crore, the company aims to raise ₹684.25 crore by issuing fresh shares while the remaining 568.41 crore is reserved for the offer for Sale (OFS) route. Meanwhile, shares of Ceigall India Limited have become available in the grey market ahead of its subscription opening. According to stock market observers, Ceigall India shares are trading at a premium of ₹70 in today's grey market.

Ceigall India IPO subscription status

By 3:21 PM on day one of bidding, the public issue had been subscribed 0.43 times, the retail portion of the mainboard IPO had been filled 0.63 times, and the NII portion of the book build issue had been subscribed 0.50 times.

Important Ceigall India IPO details

1] Ceigall India IPO GMP: According to stock market observers, Ceigall India shares are trading at a premium of ₹70 in the grey market today.

2] Ceigall India IPO price: The company has a fixed price band of the public issue at ₹380 to ₹401 per equity share.

3] Ceigall India IPO subscription date: The issue opened today and will remain open until 5 August 2024.

4] Ceigall India IPO size: The company aims to raise ₹1,252.66 crore. Of this, it aims to raise ₹684.25 crore by issuing fresh shares, while the rest, 568.41 crore, is reserved for the OFS route.

5] Ceigall India IPO lot size: A bidder can apply in lots, and one loot of the public offer comprises 37 company shares.

6] Ceigall India IPO allotment date: The tentative date for share allocation is 6th August 2024, i.e. Tuesday next week.

7] Ceigall India IPO registrar: Link Intime India Private Limited has been appointed as the official registrar of the book build issue.

8] Ceigall India IPO listing: The book build issue is proposed for listing on BSE and NSE.

9] Ceigall India IPO listing date: In the wake of the 'T+3' listing rule, the tentative Ceigall India IPO listing date is 8th August 2024.

Ceigall India IPO: Apply or not?

10] Ceigall India IPO review: Giving a 'subscribe' tag to the book build issue, Amit Goel, Co-Founder & Chief Global Strategist at Pace 360, said, “Ceigall India Ltd is in the business of infrastructure and construction, specializing in structural projects such as elevated roads, flyovers, bridges, railway overpasses, tunnels, highways, expressways, and runways. It has become a preferred partner for NHAI projects and has recently partnered with Delhi Metro for rail infrastructure developments. Over the periods, it has shown impressive CAGR growth in its top and bottom lines. The issue appears to be aggressively priced based on FY24 earnings. Moreover, it is a pure long-term play given the influx of orders and the order book in hand.”

"Considering a fairly valued P/E of 20.7x on the upper price band based on FY24 earnings, we advise investors to subscribe to the issue from a medium to long-term perspective. At the next-week listing, we anticipate listing gains of about 25% to the upper band issue price of Rs. 401 per share," said Parth Shah, Research Analyst at StoxBox.

"This IPO may seem like an attractive opportunity for investors. The company's long-standing history, financial stability, and prominent position in the infrastructure construction sector make it appear promising for those seeking returns. However, potential investors must exercise caution and thoroughly evaluate all aspects before committing. While Ceigall's prospects are encouraging, scrutiny and monitoring of the IPO are essential as the company continues to strengthen its foothold in the industry," said Tarun Singh, MD at Highbrow Securities.

Reliance Securities and SBI Capital Securities have also given a 'subscribe' tag to the public offer.

Disclaimer: The views and recommendations above are those of individual analysts or broking companies, not Mint. We advise investors to check with certified experts before making any investment decisions.