The listing of Anupam Rasayan India shares may take a hit due to the current market volatility, which is led by rising US bond yield and increasing number of coronavirus cases in India, experts say.
The shares of Anupam Rasayan are expected to list on the bourses on March 24.
The specialty chemicals company raised Rs 760 crore through its public issue, which was completely a fresh issue. The net proceeds from the IPO will be utilised for repaying debt.
The issue was subscribed 44.06 times during March 12-16, 2021 period with major support from qualified institutional buyers and non-institutional investors, who put in bids 65.74 times and 97.42 times, respectively, more than the reserved portion.
Analysts expect the listing premium to be in the range of 10-20 percent while the premium on the shares in the grey market has now fallen from around 24 percent seen at the start of this week to around 12-13 percent on March 23.
"We expect Anupam Rasayan to list at 10-12 percent premium to issue price due to volatile market condition," Astha Jain, Senior Research Analyst at Hem Securities told Moneycontrol.
At the time of publishing this copy, the premium was at Rs 70-90, or 12.6-16.2 percent higher over issue price of Rs 555 per share, as per the IPO Watch, IPO Guru and IPO Central data.
The grey market is an informal platform where trading in the IPO shares start right from the announcement of price band and continues till one day before the listing.
Prashanth Tapse, AVP Research at Mehta Equities, feels the biggest negative factors weighing on the market are higher bond yields and rising COVID-19 cases. They have dented the sentiment in both secondary and primary market and have led to a drop in grey market premium for almost all ongoing IPOs.
"We can see decent listing gains of 15-20 percent on allotment price of Rs 555 per share," he said.
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Anupan Rasayan is one of the leading companies engaged in custom synthesis & manufacturing of specialty chemicals in India. It mainly caters through two distinct business verticals life science related speciality chemicals, and other speciality chemicals.
The company has strong and long-term relationships with various multinational corporations, including, Syngenta Asia Pacific Pte Ltd, Sumitomo Chemical and UPL which has helped the company expand their product offerings and geographic reach across Europe, Japan, United States and India.
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