Jindal Supreme shares to list today; GMP signals 31% listing gains

Jindal Supreme India Limited is poised to make its public market debut on the NSE SME platform on Thursday, June 27, buoyed by significant investor interest in its initial public offering. The composite plastic products manufacturer's listing follows a successful share sale that attracted overwhelming demand, particularly from retail investors.

Overwhelming Subscription Signals Confidence

The company's ₹27.30 crore IPO was oversubscribed by a remarkable 58.74 times. The retail investor category demonstrated particularly strong enthusiasm, with bids exceeding the allotted shares by 90.75 times. The non-retail portion also saw healthy demand, subscribing 26.68 times, indicating broad-based confidence in the company's prospects.

Grey Market Indicates Strong Opening

Unofficial trading in the grey market is signaling a robust opening for the stock. The grey market premium (GMP) for Jindal Supreme shares stood at ₹28. This suggests a potential listing price of around ₹119 per share, a premium of approximately 30.77% over the fixed issue price of ₹91. While the GMP is not an official indicator, it reflects positive pre-listing sentiment among market participants.

Capital Infusion to Fuel Growth

The IPO consisted entirely of a fresh issue of 30 lakh equity shares. Jindal Supreme plans to allocate the net proceeds primarily towards its working capital requirements, which is expected to support its operational activities and business growth. A portion of the funds will also be used for general corporate purposes.

Company Profile and Financials

Jindal Supreme specializes in manufacturing composite plastic products, including sheets, pipes, and fittings, and is also involved in waste management and recycling. For the financial period ending January 31, 2024, the company reported a revenue of ₹3,164.71 lakhs and a profit after tax of ₹210.66 lakhs, providing investors a recent snapshot of its financial health ahead of the listing.