SBFC Finance IPO Allotment and GMP: What You Have to Know Before Listing Day
SBFC Finance IPO allotment, which is expected to be announced today, August 10, 2023. I will also tell you about the latest grey market premium (GMP) of the IPO and how to check your application status online.
SBFC Finance is a non-banking finance company (NBFC) that provides loans to small and medium enterprises (SMEs), affordable housing, and education sectors. The company launched its initial public offering (IPO) on August 3, 2023, and closed it on August 7, 2023. The IPO was priced at Rs 54 to Rs 57 per share and aimed to raise Rs 1,025 crore from the market.
The IPO received a strong response from the investors, as it was subscribed 70.16 times overall. The qualified institutional buyers (QIBs) segment was subscribed 192.90 times, the non-institutional investors (NIIs) segment was subscribed 49.09 times, and the retail segment was subscribed 10.99 times. The employee segment was subscribed 5.87 times.
The allotment of shares for the IPO is likely to take place today, August 10, 2023. The investors who have applied for the IPO can check their allotment status online by following these steps:
- Visit the website of the registrar of the IPO, KFin Technologies Private Limited here.
- Select ‘SBFC Finance’ from the drop-down menu.
- Enter your PAN number, application number, or DP ID/Client ID.
- Click on the ‘Search’ button.
- You will be able to see the number of shares allotted to you, if any.
Alternatively, you can also check your allotment status on the websites of BSE and NSE by following these steps:
- Visit the website of BSE here or NSE here.
- Select ‘Equity’ and then ‘SBFC Finance’ from the drop-down menu.
- Enter your application number and PAN number.
- Click on the ‘Search’ button.
- You will be able to see the number of shares allotted to you, if any.
The refund of money for the unallotted shares will be initiated on August 11, 2023, and the credit of shares to the demat accounts of the allotted investors will be done on August 14, 2023. The listing of the shares on the stock exchanges is expected to take place on August 16, 2023.
The grey market premium (GMP) of the IPO is the price difference between the issue price and the unofficial market price before listing. The GMP indicates the demand and supply of the shares in the market and also predicts how the IPO will perform on its listing day.
The GMP of SBFC Finance IPO is currently around Rs 40 per share, which means that the investors are expecting a listing price of around Rs 97 per share, which is a premium of around 70% over the issue price. However, this is not a guarantee that the IPO will be listed at this price, as it depends on various factors such as market conditions, investor sentiment, and company performance.
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The GMP can be calculated as follows:
GMP = Grey Market Price - Issue Price
For example, if the grey market price of SBFC Finance IPO is Rs 97 per share and the issue price is Rs 57 per share, then.
GMP = Rs 97 - Rs 57 = Rs 40 per share
The GMP can be positive or negative depending on whether the grey market price is higher or lower than the issue price. A positive GMP indicates that there is more demand than supply for the shares in the market and that the investors are expecting a higher listing price. A negative GMP indicates that there is more supply than demand for the shares in the market and that the investors are expecting a lower listing price.
I hope you understand more about SBFC Finance IPO allotment and GMP. If you have any questions or feedback, please feel free to leave a comment below. Thank you for reading and happy investing!