JSW Cement IPO sees tepid demand; subscription lags at 37%; GMP up 9%

JSW Cement IPO Day 2 update: Check latest subscription status, grey market premium (GMP), reviews, allotment date, listing date and other key details here

JSW Cement IPO Subscription status: Despite getting broadly favourable reviews from market analysts, the initial public offering (IPO) of GSW Group’s cement maker company, JSW Cement, has received a lacklustre response from investors so far.

 

According to NSE data, the JSW Cement IPO, which opened for subscription on August 7, has garnered bids for 6,75,26,244 shares against 18,12,94,964 equity shares on offer till 11:08 AM on August 8. This translates to a subscription rate of 37 per cent.

 

The response from the investor categories has been sluggish. Among them, retail investors have booked 50 per cent of their reserved category, non-institutional investors (NIIs) have booked 28 per cent, and qualified institutional buyers (QIBs) have booked 23 per cent of their quota.

JSW Cement IPO review

Market analysts remain broadly optimistic about JSW Cement and have shared favorable reviews of its public offering. Analysts at Canara Bank Securities and AUM Capital have recommended subscribing to the public issue, while those at Anand Rathi Research have assigned a ‘Subscribe for long-term’ rating on the JSW Cement IPO. READ MORE

JSW Cement IPO details

The JSW Cement IPO consists of a fresh issue of 108.8 million shares worth nearly ₹1,600 crore, along with an offer for sale (OFS) in which State Bank of India (SBI), AP Asia Opportunistic Holdings, and Synergy Metals Investments Holding will divest up to 136.1 million equity shares worth ₹2,000 crore.

 

The public issue is being offered at ₹130–147 per share, with a lot size of 102 shares.

A retail investor would require a minimum of ₹14,994 to bid for one lot of the JSW Cement IPO, and a maximum of 13 lots or 1,326 shares with an investment amount of ₹1,94,922. 

 

The JSW Cement IPO will remain available for subscription till Monday, August 11. Once the subscription window closes, the basis of allotment for JSW Cement IPO shares is likely to be finalised on Tuesday, August 12. The successful allottees will receive the company’s shares in their demat accounts tentatively by Wednesday, August 13.

 

JSW Cement shares are slated to list on the BSE and NSE tentatively on Thursday, August 14.

JSW Cement IPO grey market premium (GMP) today

The unlisted shares of JSW Cement were commanding a decent premium in the grey market on the second day of their subscription. Sources tracking unofficial market activities revealed that JSW Cement shares were trading at around ₹160 per share, reflecting a grey market premium (GMP) of ₹13 or 8.84 per cent over the upper end of the issue price. 

About JSW Cement

A part of the JSW Group, JSW Cement is the fastest-growing cement manufacturer in India in terms of increase in installed grinding capacity and sales volume from FY 2015 to FY 2025. The company focuses on a circular economy model, utilizing industrial byproducts to produce eco-friendly cement. This approach minimizes the use of natural resources and reduces carbon emissions. The company’s product portfolio consists of blended cement (including PSC, PCC, and PPC), ground granulated blast furnace slag (GGBS), ordinary portland cement (OPC), clinker, and a range of allied cementitious products such as ready-mix concrete (RMC), screened slag, construction chemicals, and waterproofing compounds.