NSDL IPO opens tomorrow: Should you subscribe?
What's the story
The Initial Public Offering (IPO) of National Securities Depository Limited (NSDL) will open for subscription on July 30. The company has set the price band for its IPO between ₹760 and ₹800 per equity share. At the upper end of this range, NSDL hopes to raise ₹4,011.6 crore through an offer for sale (OFS), with no new shares being issued. Some of India's leading financial institutions will pare their holdings in this depository firm through this IPO.
Investor response
NSDL IPO gray market premium
The NSDL IPO has generated a lot of interest in the gray market, with a premium of ₹136-138 per share. At the upper end of the price band, this translates to a gain of nearly 17%. While GMPs are unofficial and based on off-market transactions, they are usually seen as an early indicator of investor sentiment.
Key dates
NSDL IPO will close on August 1
The NSDL IPO will open for subscription tomorrow and close on August 1. The basis of allotment will be finalized on August 4, with the listing date set for August 6. Retail investors can bid for a minimum of 18 equity shares, translating to a minimum investment of ₹14,400 at the upper end of the price band. Bids can be made in multiples of 18 thereafter. Domestic brokerage firm Anand Rathi has given a 'Subscribe' rating for the NSDL IPO.