13 Aug , 2022 By : Kanchan Joshi
Syrma SGS Technology IPO: The public issue worth Rs840 crore opened for subscription on 12th August 2022 and it will remain open for bidding till 18th August 2022. After day one of bidding, Syrma SGS Technology IPO subscription status informs that the issue has been subscribed 0.37 times whereas its retail portion has been subscribed 0.69 times. Meanwhile, after day one of bidding, Syrma SGS Technology IPO grey market premium (GMP) has slipped from Rs20 to Rs16. According to stock market observers, Syrma SGS Technology IPO GMP on Friday was Rs20 but after the closure of markets, it came down to Rs16.
Syrma SGS Technology IPO GMP
Aws mentioned above, Syrma SGS Technology IPO GMP today is Rs16, which is Rs4 lower from its Friday grey market premium of Rs20. This means, grey market sentiment in regard to the public issue has gone down after day one of bidding. According to market observers, Syrma SGS Technology IPO has come after a gap of over two months. So, huge response was expected from the bidders. But, it managed to attract 0.37 times subscription of its total offer. This might have gone against the issue in grey market. However, they said that next three days are stock market holidays and this could also be the reason for bidders to keep themselves away from the IPO and they want to see how the market pangs out next week as speculations are high about Nifty hitting 16,000 mark.
What this GMP mean?
According to market observers, Syrma SGS Technology IPO GMP today is Rs16, which means grey market is expecting that Syrma SGS Technology IPO listing would take place around Rs236 ( Rs220 Rs16), which is around 7 per cent higher from its price band of Rs209 to Rs220 per equity share.
However, stock market experts said that grey market premium is not an ideal indicator about the performance of an IPO. They advised investors to have a proper know how about the balance sheet of the company because it gives a concrete fundamental status of the company.
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