The SME (small and medium-sized enterprise) IPO market is getting crazier with each passing day. To substantiate this, one must look at the initial public offering of Thinking Hats Entertainment Solutions Ltd on NSE. The Rs 15 crore IPO has received bids worth more than Rs 2,525 crore so far on the closing day. The robust demand was led by retail investors who made bids worth over Rs 2,019 crore.
The initial share sale of Thinking Hats has been subscribed 167.38 times so far on Friday, its final day of bidding. As per NSE, investors placed bids for 57,39,36,000 equity shares compared to the 34,29,000 equity shares offered.
The allocation for retailers got 1,52,957 applications or 45,88,71,000 bids on Day 3 so far, while the portion reserved for non-institutional investors (NIIs) received 9,228 applications or 11,05,62,000 bids. The qualified institutional buyers (QIBs) category saw five applications or 65,16,000 bids.
The IPO, which concludes today, is entirely a fresh equity issue of 32.49 lakh shares. And, the company plans to raise Rs 15.08 crore via the issue. It has fixed the IPO price band in the range of Rs 42 to Rs 44 per share.
The minimum lot size for an application is 3,000 shares and the minimum investment amount required by retail investors is Rs 1,32,000. The minimum lot size investment for HNI (high net-worth individual) is two lots (6,000 shares) amounting to Rs 2,64,000.
Mas Services Ltd is the registrar for Thinking Hats IPO whereas Horizon Financial is the book-running lead manager for the issue. The market maker for the NSE SME issue is Giriraj Stock Broking.
Latest GMP
The shares of Thinking Hats Entertainment are in high demand in the unlisted market, commanding a grey market premium (GMP) of over 68 per cent as against the IPO price.
The company's shares are likely to be listed on the NSE SME platform, Emerge, on October 3.