Auto component manufacturer Dhoot Transmission has concluded the bidding process for its IPO, receiving an overall subscription of 74.21x. The issue, which was fully subscribed on its second day of bidding, achieved bids for more than 185 crore shares against its ask of 2.49 crore shares.
Dhoot Transmission’s IPO, worth Rs 3,067 crore, had fixed the share price band at Rs 829 to Rs 871 per share. As per the latest update, in the unlisted markets, its shares are trading at a premium of 29% and are expected to list at strong gains.
Dhoot Transmission IPO: QIB segment sees strong participation
The Qualified Institutional Buyers (QIBs) portion of the IPO saw robust investor participation, being oversubscribed by 212.92 times, receiving bids for 148 crore shares against its offer of 68.99 lakh shares.
The non-institutional investor segment also saw healthy participation, as it was oversubscribed 51.93 times, receiving applications for 28 crore shares against its ask of 53.92 lakh.
The retail portion was oversubscribed at 8.12 times, getting 10.22 crore bids against its offer of 1.25 crore shares, and the employees’ quota was oversubscribed at 8.14 times, garnering 6.52 lakh bids against its offer of 80 thousand shares.
Dhoot Transmission IPO: Subscription snapshot
The IPO witnessed solid investor participation, achieving an overall oversubscription of 74.21 times.
| Investor Category | Subscription (Day 3) |
| Qualified Institutional Buyers (QIBs) | 212.92x |
| Non-Institutional Investors (NIIs) | 51.93x |
| Retail Individual Investors (RIIs) | 8.12x |
| Employees | 8.14x |
| Overall | 74.21x |
Dhoot Transmission IPO: GMP up 29%
Since the IPO opened for subscription, its shares have been trading at a grey market premium of 29%. This translates into a premium of Rs 254 per share, based on the upper cap of the share price band, and equates to an estimated listing price of Rs 1,125.
However, readers must know that GMP does not guarantee gains and fluctuates based on market mood and sentiment.
Dhoot Transmission IPO: Subscription timeline
The IPO opened for public bidding on August 10 and closed on August 12. On a tentative basis, share allotment is expected to conclude by August 13, while beneficiaries shall be credited their shares alongside the requisite refunds by August 14.
The company is likely to list on stock exchanges on August 17.