Retail investors take JG Chemicals IPO past full subscription on Day 1. Check GMP and other details
JG Chemicals, which opened for subscription earlier today, was fully booked so far on the first day of bidding. The retail portion of the issue was fully subscribed, while NII category followed closely with 93% subscription.
There were no bids yet in the QIB category of the IPO, which closes on March 7.
JG Chemicals IPO review
Analysts advised investors to subscribe to the issue as the company is a market leader with a strong customer base. At the upper price band, the issue is valued at an EV/EBITDA of 12.3x based on FY23 earnings.
«The favorable demand outlook in automotive, rubber and ceramics, along with expected revival of the chemical industry in early FY25, positions JG Chemicals for sustained growth and market leadership,» said Arihant Capital, while recommending a subscribe.
JG Chemicals IPO opens for subscription. Should you bid?
JG Chemicals IPO price band
JG Chemicals has fixed a price band of Rs 210-221 per share for its maiden public offer. At the upper end, the company plans to raise Rs 251 crore.
JG Chemicals GMP
In the unlisted market, the company's shares are trading with a GMP of Rs 60.
Other details
JG Chemicals Ltd is India's largest zinc oxide manufacturer, employing the French (indirect) process for production. It holds a 30% market share in India and is among the top ten global manufacturers.
Offering over 80 grades, its products serve diverse industries including rubber, ceramics, paints, pharmaceuticals, and more. With decades of experience, it has built strong relationships with
