CMPDI's IPO opens to lackluster response: What's the issue
Central Mine Planning & Design Institute Limited (CMPDI), a Coal India subsidiary, kicked off its IPO this week, but interest has been lukewarm so far: subscribed about 0.07x (6.6-6.7%) on Day one.
The offer includes 96,390,000 shares (9.639 crore), priced between ₹163 and ₹172 each.
Minimum investment? One lot is 80 shares, costing about ₹13,760.
Retail, non-institutional, employee subscription at just 10%, 5%, 6%
Retail investors and non-institutional buyers haven't shown much excitement: retail subscription was just at 10%, non-institutional buyers at only 5%, and employees weren't far behind.
Qualified institutional buyers haven't jumped in yet either.
Issue size at ₹1,650-1,650cr
CMPDI is a major player in coal and mineral exploration consulting, mine planning, infrastructure engineering, environmental management, and tech services, holding a strong 61% market share in India, according to CRISIL.
The IPO stays open till March 24; allotment is set for March 25 and the stock should list by March 30 on BSE and NSE.