Carraro India IPO listing on December 30. Here’s what GMP, subscription status signal ahead of listing

Carraro India IPO listing date has been scheduled for Monday, December 30. Carraro India IPO allotment was finalised yesterday (Thursday, December 26). For those who have been allocated shares, the crediting of shares to demat accounts will occur today, Friday, December 27. The process of refunding those who have not yet received their shares will likewise be finished today.

Carraro India Ltd’s initial public offering was subscribed 1.12 times by the close of bidding on Tuesday. The portion reserved for qualified institutional buyers (QIBs) saw a subscription rate of 2.21 times, while the retail individual investors (RIIs) segment garnered 71 percent of subscriptions. Non-institutional investors accounted for 60 percent of the subscriptions.

Founded in 1997, Carraro India Ltd specializes in producing components that vary from tiny gears to full tractor assembly.

The firm creates, produces, and distributes transmission systems (such as axles, transmissions, and drives) mainly for agricultural and construction machinery intended for off-highway vehicles. Additionally, it provides an extensive selection of gears catering to multiple industries, including automotive, trucks, and vehicles for agriculture and construction.

According to the red herring prospectus (RHP), the company’s listed peers include Escorts Kubota, which has a P/E ratio of 43.21, Schaeffler India at 74.22, Sona BLW Precision Forgings with a P/E of 76.93, Ramakrishna Forgings at 42.82, Happy Forgings with 47.08, and Action Construction Equipment with a P/E of 50.56.

Carraro India IPO has reserved not more than 50% of the shares in the public issue for qualified institutional buyers (QIB), not less than 15% for non-institutional Institutional Investors (NII), and not less than 35% of the offer is reserved for retail investors.

Carraro India IPO price band was set in the range of ₹668 to ₹704 apiece of the face value of Re 1. Bids could be placed for multiples of 21 shares, or at least 21 shares.

Carraro India IPO GMP today

Let’s check what does Carraro India IPO GMP today signal ahead of listing.

Carraro India IPO GMP today or grey market premium was ₹0, which meant shares were trading at their issue price of ₹704 with no premium or discount in the grey market according to investorgain.com

Taking into account the grey market activities from the last 11 sessions and today’s IPO GMP trend, there hasn’t been any significant change in GMP. Experts from investorgain.com anticipate that this trend will continue up until the listing day.

‘Grey market premium’ indicates investors’ readiness to pay more than the issue price.

Carraro India IPO details

Carraro International S.E., the parent company of Carraro India, will receive all the funds raised from the ₹1,250 crore issue, since the entire IPO is structured as an Offer For Sale (OFS).

Carraro India will not benefit from any of the proceeds generated by this issue.

The book running lead managers for the Carraro India IPO are Axis Bank Limited, BNP Paribas, and Nuvama Wealth Management Limited, while Link Intime India Private Ltd serves as the registrar for the offering.

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