Grey market premium for Shilpi Cable Technologies Limited IPO is around Rs 4 to Rs 6 however there is a mixed opinion. Grey markets work in two ways in India. It decide the premium of an IPO which is not yet listed in Stock Exchange and it also allows investors to sell there application or allocated stocks at certain premium before they list.
IPO of Shilpi Cable Technologies was over subscribed around 3.48 times and raised around Rs 57 crore. The IPO got closed on 25th Mar 2011. The price band was Rs 65 to Rs 69 and the Issue Price was fixed at the upper level of price band, Rs 69 per equity share.
The proceeds of the IPO are proposed to be utilized for capital expenditure on Cable/ wire assembly shop, capital expenditure on tools for 3G enabling, augmenting cable manufacturing capabilities, long term working capital requirement for the proposed new businesses, investment in the Subsidiary of the Company, M/s Shilpi Cabletronics Ltd, General corporate purposes and expenses of the issue.
The equity shares offered through the IPO are proposed to be listed on the Bombay Stock Exchange (BSE) and National Stock Exchange (NSE).
The Sole Book Running Lead Manager (BRLM) to the offer is D and A Financial Services Private Limited.
Registrar of the Issue : Beetal Financial & Computer Services (P) Limited, New Delhi.
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