Nikita Papers IPO Day 3: Issue booked 1.31x so far. Check GMP, subscription status, more

Nikita Papers IPO has opened for subscription on Tuesday, May 27 and will conclude on Thursday, May 29. Nikita Papers IPO price band has been set in between ₹95 to ₹104 per equity share, with a face value of ₹10 each. Investors can place bids for a minimum of 1,200 equity shares and in increments of 1,2000 shares thereafter.

Nikita Papers is involved in the production of paper and related products. The company focuses on creating a variety of paper grades that cater to industrial, commercial, and printing needs.

Nikita Papers emphasizes environmentally sustainable manufacturing practices, often utilising recycled materials in its production processes. With an extensive distribution network, the company serves both local and international markets, aiming to uphold quality and consistency.

Depending on its scale and operations, Nikita Papers might also engage in sectors like packaging, tissue paper, or specialized paper products.

As per the red herring prospectus (RHP), the company's listed peers are Magnum Ventures Ltd (with a P/E of 10.64 times), Tamilnadu Newsprint and Papers Ltd (with a P/E of 76.41), Ruchira Papers Ltd (with a P/E of 6.48 times), and Pakka Ltd (with a P/E of 18.98 times).

Nikita Papers IPO Subscription Status

Nikita Papers IPO subscription status is 1.31 times, on day 3, so far. The retail portion is subscribed 1.65 times, and NII portion was booked 1.98 times. Qualified Institutions Buyers was subscribed 70%.

The company has received bids for 69,32,400 shares against 52,99,200 shares on offer, at 15:05 IST, according to data on chittorgarh.com

Nikita Papers IPO subscription status was 60%, on day 1, and the issue was booked 89% on the second bidding day. 

Nikita Papers IPO details

Nikita Papers IPO consists of a fresh issue of 64,94,400 equity shares, aggregating to ₹67.54 crore. There's no offer for sale (OFS) component.

The funds raised from the IPO will be allocated towards financing the capital expenses for establishing a power plant, fulfilling the company's working capital needs, and covering general corporate expenses, including issue costs.

Fast Track Finsec Private Limited is serving as the Book Running Lead Manager for the issue, while Skyline Financial Services Private Limited is acting as the Registrar for the issue.

Nikita Papers IPO GMP today

Nikita Papers IPO GMP today is +5. This indicates Nikita Papers share price was trading at a premium of ₹5 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 Nikita Papers share price is indicated at ₹109 apiece, which is 4.81% higher than the IPO price of ₹104.

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

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