eMudhra IPO today’s GMP suggests listing loss: Should you still invest in offer?

eMudhra IPO GMP today could increase the worries of the investors bidding on the offer.

New Delhi: eMudhra IPO opened for subscription today (May 20). The initial public offer (IPO) of the country’s largest licensed certifying authority received a tepid response from investors, with retail investors displaying the maximum excitement for the offer. eMudhra IPO latest GMP, however, suggests that the shares could list at a discount, meaning a potential loss for bidders receiving IPO shares. The IPO will remain open for subscription till May 24. So, should investors bid on the offer or wait for a discounted listing of shares? Here’s all you need to know: 

eMudhra IPO Subscription Status 

eMudhra IPO was subscribed by 48% on day one of the offer. The IPO received bids for 55,06,172 equity shares against 1,13,64,784 equity shares on offer. The quota reserved for retail investors was subscribed by 94%. However, other categories of investors showed little to no interest. 

For instance, the portion reserved for non-institutional investors was subscribed by just while the qualified institutional buyers' quota failed to attract any bids on the first day of the offer. 

eMudhra has reserved 50% of the portion for qualified institutional buyers. The company has fixed the portion for non-institutional investors and retail individual investors at 15% and 35%, respectively. 

eMudhra IPO GMP Today

eMudhra IPO’s grey market premium (GMP) stood at minus Rs 5. The company has fixed the price band for the offer shares between Rs 243-256 apiece. So, at the upper end of the price band, eMudhra shares are trading for Rs 251 in the grey market. Also Read: EPFO adds 15.32 lakh net subscribers in March 2022

eMudhra IPO Details 

eMudhra is planning to raise about Rs 412.79 crore with the ongoing IPO. At the upper end of the price band, the firm would mop up Rs 412.79 crore through the IPO. The company has already raised Rs 123.83 crore by selling 48,37,336 equity shares to anchor investors at Rs 256 per share. Also Read: Buy an iPhone 13 now or wait for iPhone 14? Rumours, leaks and more