Kusumgar IPO Bumper Subscription! Issue Booked 3.7x On Day 1, IPO GMP Today Remains Robust ; Should You Bid?

Kusumgar IPO Subscription: Kusumgar Limited's initial public offering (IPO) saw robust demand on the first day of its subscription. India's leading engineered synthetic fabric manufacturer launched its Rs 650 crore IPO on Wednesday, and it was fully subscribed within hours of its opening. Kusumgar IPO was subscribed around 3.66 times by 5 pm on Wednesday, July 8. The offer will remain open till July 10.

Kusumgar IPO Grey Market Premium (GMP) declined on Wednesday as the IPO opened for subscription. Despite the decline, Kusumgar IPO's GMP today suggests a listing at about a 37% premium.

Kusumgar IPO Subscription Day 1: Check Subscription Status

The issue was subscribed around 3.66 times on day 1, as per Chittorgarh.com data at 5 pm on Wednesday, July 8. The public issue was subscribed around 3.73 times in the retail category, 0.5 times in the QIB category, and 7.75 times in the NII category. The IPO saw strong participation in the NII category.

Kusumgar IPO GMP Today

Its IPO GMP today declined to Rs 156 against Rs 168 recorded on Tuesday, as per investorgain.com data. Kusumgar IPO GMP today of Rs 156 indicate an estimated listing at Rs 545 per share (which is the sum of upper price band and latest GMP). The expected percentage gain or loss per share for the IPO is 37.23%. Readers must note that an IPO GMP indicates is demand in the unregulated market and is not an accurate indicator of its listing day performance.

Kusumgar IPO Subscription Remains Strong: Should You Bid?

Kusumgar Limited is engaged in engineered fabrics manufacturing and it caters to a marque clientele. The company is specialised in technical capabilities and customer relationships.

The company is likely to benefit from the slew of free trade agreements (FTAs) with other trading nations which is expected to boost export business. SBI Securities, in its report, recommended to "Subscribe for long-term".

"At upper price band of Rs 419, the issue is valued at a FY26 P/E of 44.8x. Though, this multiple is higher than its peers, it isin line when adjusted for higher growth across revenue and industry leading EBITDA and PAT margins. We recommend investors to SUBSCRIBE to the issue for long-term investment horizon," read the SBI Securities report.

Kusumgar IPO Price Band Other Details

The IPO is a book build issue of Rs 650 crore and it is an entirely an offer for sale of 1.55 crore shares of Rs 650 crore. The IPO bidding will remain open till July 10 and the allotment is likely to be finalised on July 13. The IPO price band is fixed betweenRs 398 per share and Rs 419 per share. The lot size for an application is 35 shares and the minimum amount of investment required by an individual investor (retail) is Rs 14,665.