Canara Robeco and Canara HSBC Life IPOs Show Promise in Grey Market
Two upcoming IPOs, Canara Robeco Asset Management Company and Canara HSBC Life Insurance Company, are showing positive grey market premiums. Canara Robeco's IPO, closing on October 13, has a grey market premium of ₹21 on an upper price band of ₹266. Canara HSBC Life's IPO, closing on October 14, shows a grey market premium of ₹10 on an upper price band of ₹106. Both are offer-for-sale transactions with expected listing dates in mid-October. Canara HSBC Life has already raised ₹750 crore from anchor investors.
*this image is generated using AI for illustrative purposes only.
Two upcoming initial public offerings (IPOs) are generating buzz in the grey market, indicating potential for positive listings. Canara Robeco Asset Management Company and Canara HSBC Life Insurance Company are set to conclude their IPOs next week, with both showing encouraging grey market premiums.
Canara Robeco Asset Management Company IPO
Canara Robeco Asset Management Company's IPO, which opened on October 9, is showing strong interest in the grey market. Here are the key details:
| Particulars | Details |
|---|---|
| Issue Size | 1326.13 |
| Grey Market Premium | 21.00 |
| Upper Price Band | 266.00 |
| Potential Listing Price | 287.00 |
| Potential Premium | 7.89% |
| Subscription Status (Day 1) | 0.21 times |
| Closing Date | October 13 |
| Expected Listing Date | October 16 |
| Shares Offered | 4.99 crore |
The positive grey market premium suggests investor optimism about the company's prospects.
Canara HSBC Life Insurance Company IPO
Canara HSBC Life Insurance Company is also preparing to enter the primary market. Here's what investors need to know:
| Particulars | Details |
|---|---|
| Issue Size | 2517.50 |
| Grey Market Premium | 10.00 |
| Upper Price Band | 106.00 |
| Potential Listing Price | 116.00 |
| Potential Premium | 9.43% |
| Opening Date | October 10 |
| Closing Date | October 14 |
| Expected Listing Date | October 17 |
| Shares Offered | 23.75 crore |
| Anchor Investment | 750.00 |
The company has already garnered significant interest from anchor investors, raising Rs 750 crore prior to the IPO opening.
Key Points for Investors
- Both IPOs are entirely offer-for-sale (OFS) transactions, meaning the proceeds will go to the selling shareholders rather than the companies.
- The grey market premiums indicate positive sentiment, but investors should note that grey market trends are unofficial and can be volatile.
- Canara Robeco's IPO subscription began modestly on its opening day, which is not uncommon for institutional-focused offerings.
- Canara HSBC Life's successful anchor book suggests strong institutional interest in the insurance sector.
Investors considering these IPOs should carefully review the prospectus, assess the companies' financials, and consider their own risk appetite before making investment decisions. As always, grey market premiums should not be the sole factor in determining whether to participate in an IPO.
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