Shares of Caliber Mining & Logistics, a prominent integrated service provider in coal extraction and logistics, commenced trading on the Bombay Stock Exchange (BSE) on Friday, July 24, at an impressive premium. The stock listed at Rs 504 per share, marking an 18.87 percent increase over its final issue price of Rs 424. The company's shares settled slightly lower but still strong at Rs 500, a 17.98 percent premium, on its debut day.
The initial public offering (IPO) for Caliber Mining & Logistics ran from July 17 to July 21, offering shares in a price band of Rs 402-424 apiece. Investors could apply for a minimum of 35 shares. The IPO aimed to raise Rs 450 crore, comprising a fresh issue of Rs 400 crore and an offer-for-sale (OFS) of up to 11,79,245 equity shares.
Strong Investor Demand for Caliber Mining & Logistics IPO
The IPO witnessed overwhelming demand from investors, subscribing a remarkable 146.64 times overall. This surge in interest translated to nearly 38.45 lakh applications, fetching bids worth approximately Rs 48,720 crore.
- Qualified Institutional Bidders (QIBs): Their portion was subscribed an astounding 240.71 times.
- Non-Institutional Investors (NIIs): This category saw a subscription of 267.36 times.
- Retail Bidders: Retail investors subscribed 41.15 times their allocated quota.
The strong listing performance was largely anticipated, with the company's shares commanding a grey market premium (GMP) of Rs 80 per share ahead of its debut, indicating an expected 18-19 percent listing gain. At the time of the issue's closure, the GMP had even reached Rs 115-120 per share.
Company Profile and Services
Incorporated in 2014 and based in Chandrapur, Maharashtra, Caliber Mining & Logistics specializes in a comprehensive range of mining and logistics services. These include coal extraction, overburden removal, efficient coal loading and unloading, road transportation, and seamless rail transportation coordination. Brokerage firms had largely recommended subscribing to the IPO, citing potential for both listing gains and long-term growth.
For retail investors who received a single lot of 35 equity shares, the listing price translated to a profit of Rs 2,800 on an investment of Rs 14,840. High Net-worth Individuals (HNIs) who secured 14 lots (490 equity shares) saw a profit of Rs 39,200 on their Rs 2,07,760 investment.
DAM Capital Advisors served as the sole book running lead manager for the Caliber Mining & Logistics IPO, with Kfin Technologies Ltd acting as the registrar for the issue.