Indian investors are gearing up for a busy week as three companies—Meesho, Aequs, and Vidya Wires—prepare to launch their initial public offerings (IPOs) for subscription starting Wednesday, December 3. This move comes amid a wave of companies tapping into the public markets to raise capital, riding on positive market sentiment.
Grey Market Signals Strong Investor Interest
Prior to their official market debuts, all eyes are on the grey market premium (GMP) trends, which serve as a key indicator of investor appetite. As of Saturday, October 29, the signals are positive, with all three IPOs suggesting the potential for healthy listing gains.
The grey market premium for Meesho IPO stands at +₹36. This indicates that the e-commerce platform's shares are trading at a premium of ₹36 in the unofficial market. Based on the upper end of its IPO price band of ₹111, the estimated listing price is projected to be around ₹147 per share, representing a potential gain of 32% for investors.
Aequs IPO is showing an even higher GMP of +₹40. For this precision manufacturing company, the premium points to an estimated listing price of ₹164, which is also 32% above the upper end of its price band of ₹124 per share.
Vidya Wires IPO has a GMP of +₹8. The Gujarat-based manufacturer's premium suggests a more modest estimated listing price of ₹60, which would still be a 15% gain over its upper price band of ₹52 per share.
IPO Details: Dates and Price Bands
Meesho IPO
The Y Combinator-backed e-commerce giant has set its price band between ₹105 and ₹111 per equity share. The ₹4,250 crore IPO is a mix of a fresh issue and an offer for sale (OFS). The company aims to raise ₹4,250 crore through the fresh share sale, while public shareholders will offer 10.55 crore equity shares via the OFS.
The subscription window opens on Wednesday, December 3, and closes on Friday, December 5. The anchor investor allocation is scheduled for Tuesday, December 2. Investors can expect the company to make its market debut on December 10.
Aequs IPO
The aerospace and consumer goods components manufacturer has fixed its price band at ₹118-124 per share. The IPO comprises a fresh issue worth ₹670 crore and an Offer For Sale (OFS) of 2.03 crore shares valued at ₹252 crore by promoters and existing investors.
The total issue size is ₹922 crore. Like Meesho, the Aequs IPO will be open for subscriptions from December 3 to December 5. The anchor book will open on December 2, and the company is expected to list on December 12.
Vidya Wires IPO
The Gujarat-based manufacturer specializing in winding and conductivity products has fixed a price band of ₹48 to ₹52 per equity share. The company plans to raise ₹300 crore through the IPO route, which includes a fresh equity issue of ₹274 crore and an offer-for-sale (OFS) of ₹26 crore.
In the OFS portion, promoter shareholders Shyamsundar Rathi and Shailesh Rathi will offload 50.01 lakh shares. The subscription period runs from December 3 to December 5, with the anchor investor bidding opening on December 2. The tentative listing date is set for December 10.
Investment Outlook and Market Implications
The simultaneous arrival of these three IPOs highlights the growing confidence in India's public markets. The strong grey market premiums, particularly for Meesho and Aequs, reflect robust investor interest ahead of their official debuts.
While the GMP provides an indication of short-term sentiment, investors are advised to conduct thorough due diligence, examining company fundamentals, valuation metrics, and long-term growth prospects before making investment decisions.
Disclaimer: The views and recommendations made above are those of individual analysts or broking companies, and not of Mint. We advise investors to check with certified experts before making any investment decisions.
