Jinkushal Industries' Initial Public Offering (IPO) has garnered significant investor interest, achieving an oversubscription of 3.42 times on the second day of bidding. The construction machinery exporter's public issue has seen strong demand across investor categories.

IPO Details

The company is offering a total of 95.95 lakh shares, aiming to raise Rs 116.10 crore. The IPO comprises a fresh issue worth Rs 104.54 crore and an offer for sale of Rs 11.61 crore. Priced in the band of Rs 115-121 per share, the issue is set to close on Monday, with the listing scheduled for October 3.

Subscription Status

Company Profile

Jinkushal Industries has established itself as a prominent player in the construction machinery export sector. Key highlights include:

• Largest non-original equipment manufacturer in construction machinery exports
• 6.9% market share in the global construction machinery export market
• Reported total income of Rs 3,427.37 crore
• Net profit of Rs 409.24 crore

Market Sentiment

The grey market premium for Jinkushal Industries stands at Rs 21, suggesting potential listing gains of 17.36%. This indicates positive market sentiment towards the IPO.

Closing Remarks

As the IPO enters its final day of subscription, investors will be closely watching the overall subscription figures. The strong response so far, particularly from retail and non-institutional investors, reflects confidence in Jinkushal Industries' business model and growth prospects in the construction machinery export sector.

Jinkushal Industries, a construction machinery export trading company, has launched its Initial Public Offering (IPO) amidst fluctuating grey market premiums. The IPO, valued at Rs 116.15 crore, comes with a price band of Rs 115-121 per share.

Grey Market Premium Decline

The grey market premium for Jinkushal Industries' shares has seen a significant drop, falling from Rs 51 to Rs 21 at the time of the IPO launch. This decline in the unofficial premium indicates a shift in market sentiment just before the official opening of the public issue.

IPO Details

The public issue comprises two components:

• A fresh issue of 86 lakh shares, amounting to Rs 104.54 crore
• An offer-for-sale of 10 lakh shares, worth Rs 11.61 crore

For retail investors, the minimum investment required is Rs 14,520.

Key Dates

• IPO Opening Date: September 25
• IPO Closing Date: September 29
• Share Allotment Date: September 30
• Listing Date: October 3 (on both BSE and NSE)

Company Performance

Jinkushal Industries has shown robust growth in its recent financial performance:

The company operates in over 30 countries, showcasing its strong international presence in the construction machinery export trading sector.

Utilization of Funds

The proceeds from the IPO will be primarily used for:

1. Meeting working capital requirements
2. General corporate purposes

As Jinkushal Industries steps into the public market, investors will be closely watching its performance, especially given the recent fluctuations in its grey market premium. The success of this IPO could provide insights into the current appetite for new listings in the construction and export sectors.