JSW Cement is gearing up for its much anticipated market debut with a trimmed down but still Rs 3,600 crore IPO. Even before the bidding opens on August 7, investor chatter has already picked up to the double-digit premium in the grey market.

Let’s take a look at what is changed, what is at stake, and what you need to watch out for.

JSW Cement IPO: Grey market moves – What is happening with the GMP?

Ahead of the official opening of this mainboard IPO, JSW Cement is seeing some action in the grey market.

As of the latest available update, the shares of JSW Cement is commanding a grey market premium (GMP) of around Rs 18 per share, which is about a 12% mark-up over the upper price band of Rs 147.

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However, on the flip side, it is important to note that GMPs can change quickly and do not always align with post-listing performance.

JSW Cement IPO: Offer size – trimmed from earlier plans

Earlier, the IPO was expected to raise Rs 4,000 crore. But the company has reduced it to Rs 3,600 crore in its final documents.

Now of this, Rs 1,600 crore is a fresh issue, and Rs 2,000 crore will be raised through an Offer for Sale (OFS) by existing shareholders. The price band has been fixed between Rs 139 and Rs 147 per equity share.

JSW Cement IPO: Where is the money going?

From the Rs 1,600 crore fresh issue, JSW Cement plans to invest Rs 800 crore in building a new integrated cement plant in Nagaur, Rajasthan. Another Rs 520 crore is allocated for debt repayment, and the rest will be used for general corporate purposes.

JSW Cement IPO: Key dates to remember

The IPO will open for public bidding on August 7 and close on August 11. Anchor investor bidding will begin a day earlier, on August 6. The share allotment is likely to be finalised by August 12, and listing is expected on August 14 on both the BSE and NSE.

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JSW Cement IPO: Who is backing the company?

JSW Cement is part of the JSW Group and counts investors like Apollo Global and Synergy Metals Investments Holding among its key backers.

Furthermore, the issue is being managed by investment banks such as Kotak Mahindra Capital, Axis Capital, JM Financial, Jefferies, Goldman Sachs, and SBI Capital Markets.