Esprit Stones IPO booked 66.84x on the third day of bidding, NII, retail portion oversubscribed; check GMP

The subscription period for Esprit Stones' initial public offering (IPO) began on Friday, July 26, and ended on Tuesday, July 30. Prices for the Esprit Stones IPO range from ₹82–87 per share, having a face value of ₹10. There are multiples of those shares available, and at least 1600 shares are up for bid.

Qualified institutional buyers (QIBs) will get 10,75,200 equity shares in total; non-institutional investors will receive 8,06,400 equity shares; retail investors will receive 18,81,600 equity shares; the employee reservation part will receive 1,28,000 equity shares; and market makers will receive 2,91,200 equity shares.

Founded in 2016, Esprit Stones Limited creates engineered surfaces made of marble and quartz. As of March 2024, the Manufacturing Facility I has three pressing lines and two polishing lines, with an annual production capacity of around 72 lakh square feet. In addition, we started producing the quartz grit and quartz powder that are required to create engineered quartz at our Manufacturing Facility II. The firm makes unsaturated polyester resin at its third manufacturing location.

The company's listed peers include Pokarna Ltd (P/E of 25.33), Pacific Industries Ltd (P/E of 16.43), Global Surfaces Ltd (P/E of 51.34), and Elegant Marbles & Grani Industries Ltd (P/E of 23.69), according to the red herring prospectus (RHP).

Esprit Stones Limited's profit after tax (PAT) grew by 190.04% between March 31, 2024, and March 31, 2023, while its sales increased by 56.07% over the same period.

Esprit Stones IPO subscription status

Esprit Stones IPO subscription status is 66.84 times, on day 3, so far.

The retail portion was subscribed 83.93 times, and NII portion was booked 100.98 times. Qualified Institutions Buyers are booked 19.20 times.

The company has received bids for 26,01,05,600 shares against 38,91,200 shares on offer, at 13:36 IST, according to data on chittorgarh.com

Esprit Stones IPO subscription status was 2.07 times, on day 1, and the issue was booked 17.49 times, on the second day.

Esprit Stones IPO details

The Esprit Stones IPO, valued ₹50.42 crore, includes a fresh issuance of 5,795,200 equity shares with a face value of ₹10. There is no "offer for sale" component.

The main uses of the net proceeds from the offering are working capital requirements, investments in the company's subsidiary Haique Stones Private Limited (HSPL), and repayment and/or prepayment of borrowings.

The issue's registrar is Link Intime India Private Ltd, and its lead managers are Choice Capital Advisors Private Ltd and Srujan Alpha Capital Advisors LLP.

Esprit Stones IPO GMP today

Esprit Stones IPO GMP is +40. This indicates Esprit Stones share price were trading at a premium of ₹40 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 Esprit Stones share price was indicated at ₹127 apiece, which is 45.98% higher than the IPO price of ₹87.

Analysts at investorgain.com predict a solid listing for IPO GMP today based on the previous nine sessions of grey market activity. ₹0 is the lowest GMP and ₹54 is the highest.

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

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