Wakefit, Corona Remedies’ GMPs jump up to 18% ahead of IPOs
The Indian stock market is abuzz with excitement as two highly anticipated Initial Public Offerings (IPOs) are set to hit the market next week. Unlisted shares of Wakefit and Corona Remedies were trading at a premium of up to 18% in the grey market on Wednesday, ahead of their respective IPOs. This surge in demand is a clear indication of the market’s enthusiasm for these upcoming issues.
Home and furnishings startup Wakefit has set a price band of ₹185-195 per share for its ₹1,289 crore IPO. The company’s decision to go public has generated significant interest among investors, who are eager to get a piece of the action in the rapidly growing home furnishings market. Wakefit’s IPO is expected to be a highly subscribed issue, given the company’s strong financial performance and growth prospects.
On the other hand, pharma firm Corona Remedies’ IPO is worth ₹655.37 crore. The company’s decision to raise funds through an IPO is seen as a strategic move to expand its operations and strengthen its presence in the pharmaceutical industry. Corona Remedies’ IPO is also expected to generate significant interest among investors, who are looking to diversify their portfolios and tap into the growth potential of the pharma sector.
The grey market premium (GMP) is a key indicator of the market’s sentiment towards an IPO. A high GMP indicates strong demand for the issue, while a low GMP suggests lackluster interest. In the case of Wakefit and Corona Remedies, the GMP has jumped up to 18%, which is a clear indication of the market’s enthusiasm for these issues.
The surge in GMP is not surprising, given the strong financial performance of both companies. Wakefit has reported significant revenue growth in recent years, driven by its expanding product portfolio and increasing demand for home furnishings. Corona Remedies, on the other hand, has a strong presence in the pharma industry and has reported steady revenue growth over the years.
The IPO market has been on a roll in recent times, with several issues receiving strong response from investors. The success of these IPOs has boosted investor confidence and has led to a surge in demand for upcoming issues. Wakefit and Corona Remedies’ IPOs are expected to be no exception, with both issues expected to be highly subscribed.
The IPO of Wakefit is expected to open on December 7, 2023, and will close on December 9, 2023. The IPO of Corona Remedies is expected to open on December 8, 2023, and will close on December 10, 2023. Investors who are interested in subscribing to these IPOs should keep a close eye on the market trends and the GMP, as these will provide valuable insights into the demand for the issues.
In conclusion, the surge in GMP of Wakefit and Corona Remedies’ IPOs is a clear indication of the market’s enthusiasm for these upcoming issues. With strong financial performance and growth prospects, both companies are expected to attract significant interest from investors. As the IPO market continues to boom, investors are advised to keep a close eye on the market trends and the GMP, as these will provide valuable insights into the demand for the issues.
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