JG Chemicals, whose IPO was open for bidding between March 5 and March 7, is likely to finalize the basis of allotment for its recent public issue on Monday, March 11. Bidders, who had participated in the three-day bidding process, are likely to receive messages, alerts or emails regarding debit of funds or revocations of IPO mandate latest by Tuesday, March 12. The Kolkata-based JG Chemicals sold its IPO in the price band of Rs 210-221 per share with a lot size of 67 equity shares. The company raised Rs 251.19 crore through its primary stake sale, which included a fresh share sale of up to Rs 165 crore and an offer-for-sale (OFS) of up to 39,00,000 equity shares. The zinc oxide manufacturer had received a strong response for its IPO, fetching an overall subscription of 27.78 times. The quota for non-institutional bidders was subscribed 46.33 times while the allocation for qualified institutional bidders was booked 32.09 times. The portion reserved for retail investors was subscribed 17.44 times by the end of the three-day bidding process. Grey market premium (GMP) of JG Chemicals has seen a sharp correction following the volatile market conditions and less-than-expected listing of recent issues. Last heard, the company was commanding a mild premium of Rs 20-25 per share, suggesting a listing pop of 9-11 per cent for the investors. However, it was around Rs 50, when the issue was opened for bidding. JG Chemicals, which was incorporated in 1975, produces more than 80 grades of zinc oxide. Its products have various industrial applications including ceramics, paints and coatings, pharma and cosmetics, electronics and batteries, agrochemicals, fertilisers, speciality chemicals, lubricants, oil & gas and animal feed among others. Analysts tracking the issue are mostly positive on it, suggesting to subscribe to the issue on the back of strong financial performance, niche market sector, high entry barriers and growing demand for its products in various sectors. However, dependence on one single product and select customers pose a threat to the company. Emkay Global Financial Services, Centrum Capital and Keynote Financial Services are the book running lead managers of the JG Chemicals IPO, while Kfin Technologies is the registrar for the issue. Shares of the company are likely to be listed on Wednesday, March 13. The stock will list on both BSE and NSE. Investors, who had bid for the issue of JG Chemicals, can check the allotment status on the Bombay Stock Exchange (BSE) website: 1) Visit https://www.bseindia.com/investors/appli_check.aspx 2) Under the issue type, click Equity 3) Under the issue name, select JG Chemicals Ltd Limited in the dropbox 4) Write the application number 5) Add the PAN card ID 6) Click on 'I am not a Robot' and hit submit Investors can also check the allotment status on the online portal of KFin Technologies Limited (https://kosmic.kfintech.com/ipostatus), the registrar to the issue. The registrar is a Sebi-registered entity, qualified to act as such and which electronically processes all applications and carries out the allotment process, as per the prospectus. The registrar is responsible for complying with the timelines for updating the electronic credit of shares to successful applicants, dispatching and uploading refunds, and attending to all investor-related queries. 1) Go to the web portal of KFin Technologies Limited 2) Select the IPO in dropbox whose name will be populated only if the allotment is finalized 3) You may be required to select either one of the three modes: Application number, Demat Account number, or PAN ID 4) In application type, select between ASBA and non-ASBA 5) Enter the details of the mode you selected in Step 2 6) For security purposes, fill the captcha accurately 7) Hit submit.
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