Chetana Education IPO booked over 19x on day 3 on robust retail demand. Check GMP, subscription status, more.

The Chetana Education initial public offering (IPO) subscription period opened on July 24 and ends on July 26 on Friday. Chetana Education IPOis priced at ₹80–85 per share, with a ₹10 face value. At least 1600 shares are up for bid, and multiples of those are also available.

Chetana Education IPO comprises 50% of the net issue for QIB, 35% for retail investors and 15% of the net issue for the NII segment.

Given that the minimum lot size for an application is 1600 shares, retail investors must deposit a minimum of Rs. 1.36 lakh. HNIs can bid as little as two lots, or 3200 shares, at the higher price band, with a total investment of Rs. 2.72 lakh.

With textbooks ranging from early pre-primary school to K–12 courses, Chetana school now serves the Central Board of Secondary Education (CBSE) and the Maharashtra State Board. More than 6 million books for children in pre-primary, primary, secondary, and senior secondary grades were sold by the company in FY-23. More than 400 contract writers are employed by the organisation, and they help with content generation.

As per red herring prospectus (RHP), the company's listed peers are S Chand and Company Ltd (with a P/E of 16.50), and Navneet Education Ltd (with a P/E of 14.22).

In FY-24, Chetana Education Limited had a stand-alone revenue from operations of ₹93.50 crore and a profit after tax of ₹12.03 crore.

Chetana Education IPO subscription status

Chetana Education IPO subscription status is 19.97 times, on day 3, so far.

The retail portion was subscribed 28.75 times, and NII portion was booked 20.50 times. The qualified institutions buyers portion has been subscribed 4.20 times.

The company has received bids for 7,17,05,600 shares against 35,90,400 shares on offer, at 11:21 IST, ccording to data on chittorgarh.com.

Chetana Education IPO subscription status was 2.88 times, on day 1, and the issue is booked 13.03 times on the second day.

Chetana Education IPO details

The Chetana Education IPO, valued ₹45.90 crore, includes a fresh issuance of 5,400,000 equity shares with a face value of ₹10. There is no "offer for sale" component.

The offer proceeds will be used for general company objectives, working capital requirements, and the full or partial repayment of some existing borrowings.

The registrar for the Chetana Education IPO is Link Intime India Private Ltd, and the book running lead manager is Hem Securities Limited. Hem Finlease is the market maker for the IPO of Chetana Education.

Chetana Education IPO GMP today

Chetana Education IPO GMP is +41. This indicates Chetana Education share price were trading at a premium of ₹41 in the grey market, according to investorgain.com.

Considering the upper end of the IPO price band and the current premium in the grey market, the estimated listing price of Chetana Education share price was indicated at ₹126 apiece, which is 48.24% higher than the IPO price of ₹85.

'Grey market premium' indicates investors' readiness to pay more than the issue price.'

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