Wakefit, Corona Remedies’ GMPs jump up to 18% ahead of IPOs
The Indian initial public offering (IPO) market is expected to witness a flurry of activity in the coming days, with several high-profile listings lined up. Among them are Wakefit, a home and furnishings startup, and Corona Remedies, a pharmaceutical firm. As the IPOs of these two companies are set to open next week, their unlisted shares have been trading at a premium in the grey market, with gains of up to 18%.
According to market sources, the grey market premium (GMP) of Wakefit’s unlisted shares has risen to ₹35-40 per share, which is an 18% premium to the lower end of the price band. The company has fixed a price band of ₹185-195 per share for its ₹1,289 crore IPO. This significant premium indicates a strong demand for the company’s shares, which is a positive sign ahead of the IPO.
Similarly, the GMP of Corona Remedies’ unlisted shares has also jumped to ₹15-20 per share, which is a 10-12% premium to the lower end of the price band. The company’s IPO is worth ₹655.37 crore. The rising GMP of these two companies suggests that investors are bullish about their prospects and are expecting a strong listing gain.
The grey market is an unofficial platform where unlisted shares are traded before they are listed on the stock exchanges. The GMP is the premium at which these shares are traded, and it gives an indication of the demand for the shares. A high GMP indicates strong demand and a potential for a strong listing gain.
Wakefit’s IPO is expected to be a highly anticipated one, given the company’s strong growth trajectory and dominant position in the home and furnishings market. The company has reported a significant increase in revenue and profitability in recent years, driven by the growing demand for online furniture and home decor products.
Corona Remedies, on the other hand, is a pharmaceutical company that has been growing rapidly in recent years. The company has a diverse product portfolio and a strong presence in the domestic market. Its IPO is expected to be a key catalyst for the company’s future growth plans.
The strong demand for the shares of these two companies is a reflection of the overall bullish sentiment in the IPO market. The Indian IPO market has been on a roll in recent years, with several companies listing at a premium and providing strong returns to investors.
The success of these IPOs will depend on several factors, including the company’s financial performance, industry trends, and overall market conditions. However, given the strong demand for their shares, it is likely that both Wakefit and Corona Remedies will have a successful listing.
In conclusion, the grey market premium of Wakefit and Corona Remedies’ unlisted shares has jumped up to 18% ahead of their IPOs next week. This significant premium indicates strong demand for the shares and a potential for a strong listing gain. Investors who are looking to invest in these IPOs should keep a close eye on the market trends and company fundamentals before making a decision.
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