Delhivery IPO: The initial public offering (IPO) of logistics company Dehivery Limited had a good bid price on the closing day, as opposed to the first two days of bidding where only 23 percent were subscribed. As of day 3 of the bidding, the Delhivery IPO saw a 1.63 bid on the shares on offer, mainly due to an excellent response from Qualified Institutional Buyers (QIB). However, all other categories were signed. The Delhivery IPO, the second largest for Dalal Street in calendar year 2022 (CY22) after LIC, is expected to fetch Rs 5,235 crore from the initial bid.
Delhivery IPO Subscription Status
As of the latest opening on Friday, the Delhivery IPO received a decent response from bidders bidding for 10.17.04,080 shares against 6.25.41,023 shares that were on sale. The issuance was booked 1.63 times on Day 3, mainly due to the bumper reaction of the QIBs. Institutional buyers bid 2.66 times the shares allocated for them, while non-institutional subscribers booked only 30 percent of the share reserved for them. Private retail investors subscribed for 57 percent of the shares allocated to them.
Delhivery IPO GMP today
Delhivery IPO’s unlisted shares are also not doing well in the gray market, given the muted response from most investors other than QIBs. The Delhivery IPO GMP today is Rs 2, according to market observers. This means that at the higher end of the price range, Delhivery shares are expected to trade at Rs 489. This is also in line with the times when the markets are volatile.
However, according to market experts, GMP of an IPO is not a reliable source because it is unregulated and unofficial data. So those who follow GMP are advised to also go through the financial records of the company as the balance sheet of the company will give a better idea of the fundamentals of the company.
Delhivery Share IPO Allocation, Listing Date
The share allotment date for Delhivery’s IPO is likely to be May 19, next Thursday. For those investors who do not win bids, the redemption will be credited on May 20, while the credits will be credited to the demat account on May 23. The listing date of Delhivery’s IPO is provisionally May 24.
Delhivery IPO Details
The Delhivery IPO, valued at Rs 5,325 crore at the top end of the price range, is the second largest IPO this year after the LIC IPO. It consists of a new issue of Rs 4,000 crore and an offer for sale of Rs 1,235 crore.
Delhivery plans to use the funds raised from the IPO for organic growth initiatives. It will also allocate funds for inorganic growth through acquisitions and strategic initiatives and for general corporate purposes. The Delhivery IPO had a price range of Rs 462-487 per share.
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