Global Surfaces IPO: Check subscription status, GMP and other details

The initial public offer (IPO) of Global Surfaces was subscribed 42% on Day 1. The retail investors portion was subscribed 60%, while non institutional investors' (NIIs) part was subscribed 57%. Qualified institutional buyers (QIBs) largely stayed away from the issue on Day 1, with just 1% subscription of the alloted part.

The issue will be available for public subscription till March 15. Investors can bid for 100 shares in 1 lot and in multiples thereof.

The company has fixed a price band of Rs 133-140. The company plans to raise about Rs 154.98 crore at the upper end of the price band

The IPO comprises fresh issuance of 85.20 lakh equity shares and an Offer For Sale of up to 25.5 lakh equity shares by promoters -- Mayank Shah and Sweta Shah.

According to market analysts who track the unlisted market, the company's shares are commanding a premium of Rs 35-40 per share.

"This indicates that investors are showing positive interest in the company's IPO and are willing to pay a premium over the IPO price," said Krishna Raghavan- Founder at Unlistedkart.

However, it's important to note that grey market premiums are not official and can be volatile and subject to change rapidly.

"Investors should exercise caution when relying on grey market premiums for investment decisions and should base their decisions on a thorough analysis of the company's fundamentals and financials," Krishna Raghavan said.

Meanwhile, Religare Broking has given a neutral rating on the IPO. The brokerage said the company has a strong opportunity in the international market and its new products and designs would aid growth and increase operational efficiency.

The company said IPO proceeds will be used for investment in its arm Global Surfaces FZE for part-financing its capex requirements of setting up the manufacturing facility in Dubai and other general corporate purposes.

Global Surfaces is in the business processing natural stones and manufacturing of engineered quartz. The company has two manufacturing facilities in Rajasthan. The Global Engineered Quartz market size was valued at $24,150 million in 2021 and is expected to grow at CAGR of 7-8% by 2026.

The company has clocked a total income of Rs 198 crore in fiscal 2022, while net profit after tax stood at Rs 35 crore. For the period ended September 2022, the company's income stood at Rs 99 crore and profit stood at Rs 13.6 crore.

Unistone Capital is the sole book running lead manager to the issue.

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