Indian primary market saw a flood of investor interest as three mainboard IPOs — National Securities Depository Ltd (NSDL), Sri Lotus Developers & Realty, and M&B Engineering — attracted huge demand on the last day of bidding, Friday, August 1. With grey market premiums (GMPs) rallying and subscription figures setting new records, these IPOs are the topic of Dalal Street conversation.
Sri Lotus Developers Steals the Show with 21x Subscription
Among the three, Sri Lotus Developers & Realty was the standout performer, recording a whopping 20.56x total subscription by 1:20 PM on the last day. Bids were received for a staggering 81.53 crore equity shares, against only 3.96 crore shares offered.
Retail subscription was robust, with the quota subscribed 15.27 times. But the real thrust came from non-institutional investors (NIIs), who subscribed the segment 39.92 times. Qualified institutional buyers (QIBs) were also positive, subscribing their share 15.39 times, while the employee quota was subscribed 13.90x.
Issue price for Sri Lotus ranged from ₹140-150 per share with a total fund collection of ₹792 crore. The grey market premium (GMP) has jumped to ₹42-45 per share, indicating a robust 28-30% potential listing appreciation. The real estate segment’s prevailing up cycle and investor demand for mid-size builders have possibly fuelled this excitement.
NSDL IPO receives 11.1x subscription with high institutional demand
NSDL, India’s largest depository, also performed well, with a total bidding of 11.10x up to 1:20 PM on the last day of bidding. Investors bid for 38.99 crore shares against an offer size of 3.51 crore shares.
The issue, valued in the ₹760-800 per share range, sought to raise ₹4,011.60 crore. Institutional participation was the driving force:
QIBs subscribed 11.81 times,
NIIs came in at 25.88 times,
Retail investors booked 6.32 times, and
Workers subscribed 8.37 times.
The GMP of the IPO was ₹135-140, which is a 17-18% premium to the issue price. As a strategic infrastructure player in the Indian capital markets, NSDL’s listing is being keenly observed. Analysts feel that the company’s brand equity, robust fundamentals, and lack of recent IPOs in the fintech infrastructure sector are fuelling investor sentiment.
M&B Engineering IPO Records 10.68x Gross Bids; Retailers Eager
Engineering and construction solutions company M&B Engineering also had a good outing. Its IPO was subscribed 10.68 times, as 10.46 crore shares were bid for against the 97.98 lakh shares offered. The issue is between ₹366-385 per share, with a target of raising ₹650 crore.
Segment-wise response:
Retail investors led the charge, subscribing their portion 21.36 times.
NIIs took follow-up with a 20.65x subscription.
The employee segment witnessed 5.76x bids.
QIBs, nevertheless, maintained relatively muted interest with 2.19x subscription.
The GMP of M&B Engineering rose to ₹60-65, pointing to a promised 16-17% listing premium. With India accelerating infrastructure projects and the demand for pre-engineered building (PEB) solutions picking up, investor interest in such industrial plays has risen.
Grey Market Premiums Reflect Positive Sentiment
Grey market premiums, usually regarded as an unofficial but consistent indicator of market mood, are green-lighted across all three IPOs:
