Investors may be disappointed with the second IPO of the year! In the grey market, the premium has been decreased, and the listing date has been determined.
Adani Wilmar IPO:
The year 2022 does not appear to be particularly promising for the Initial Public Offering (IPO) market. While the first IPO of the year, AGS Transact Technologies, disappointed investors on the day of the offering, Adani Wilmar’s IPO may also disappoint investors. This is because the Adani Wilmar IPO’s grey market premium (GMP) isn’t enticing investors. In the grey market, Adani Wilmar’s stock continues to decrease.
Quote in Gray Market
Market experts said Adani Wilmar’s stock is currently trading in the grey market at a premium of Rs 28. Its GMP was Rs 30 a day ago, down Rs 2 in a single day. On February 8, this IPO is likely to become public. According to stock market specialists, there is a chance that GMP will continue to fall till the day of listing. Retail investors could lose a lot of money if this happens.
Let us tell you that GMP is a major determinant of every IPO’s mood. If the grey market premium improves, it is expected that the IPO’s listing would be great. Given that the Adani Wilmar IPO GMP is currently Rs 28, the grey market expects the Adani Wilmar shares to list at roughly 258 (230 + 28), which is just about 13% above the price band. Is. Explain that the Adani Wilmar IPO pricing range has been set at 218 to 230 per equity share.
However, other market analysts are also of the view that GMP is not a great signal concerning possible listing, given it has nothing to do with the company’s balance sheet. Let us tell you that the investors have reacted positively to this IPO. The issue has been subscribed to a total of 18 times. This IPO is valued at Rs 3,600 crore.
The business of
Adani Wilmar is a 50:50 joint venture between the Adani Group, chaired by Gautam Adani, and the Wilmar Group, based in Singapore. The Fortune brand of cooking oils is sold by the corporation. It also sells rice, wheat flour, and sugar, in addition to cooking oil. Non-food items like as soaps, handwashes, and sanitizers are also available.
