Discussion of huge subscription and premium in gray market

The IPO of Citychem India Limited opened on Friday, December 27, and is closing on December 31. Within just two days this issue received an overwhelming response from investors.

• Subscription:
  • This issue was subscribed 28 times.
  • It was fully subscribed within hours of its launch.
• Price Band: ₹70 per share.
• Listing Platform: The shares of the company will be listed on BSE SME.

Gray Market Premium (GMP): Expected premium of 43%

According to Investorgain.com, the gray market premium (GMP) of Citichem India Limited IPO is ₹30.

• Expected Listing Price:
  • ₹100 per share (43% premium).
• Important Dates:
  • Announcement of allotment: 1 January 2025.
  • Refund Process: 2 January 2025.
  • Shares in Demat Account: 2 January 2025.
  • Listing date: 3 January 2025.

Key Features of IPO

• Objective of raising funds:
  • The company is aiming to raise ₹12.6 crore from the initial market through this IPO.
• Issue Details:
  • Fresh issue: 18 lakh shares worth ₹12.6 crore.
  • OFS: No Offer for Sale (OFS).
• Minimum Lot Size:
  • 2,000 shares (investment of ₹1,40,000).
  • Minimum investment ₹2,80,000 for high net worth investors.

company focus

CityChem India Limited’s core business focuses on chemical supply. This IPO will help the company to raise capital and expand its business.

Why special for investors?

1. Gray Market Premium:
   • Premium expected to be up to 43%, leading to potential for attractive listing gains.
2. Strong Subscription:
   • Being subscribed 28 times shows how much enthusiasm there is among investors about this IPO.
3. Opportunities for retail investors:
   • Minimum investment limit of ₹1,40,000 for retail investors.