Shares of Tolins Tyres made a muted debut at Dalal Street on Monday as the tyre maker was listed at Rs 228 on NSE, a muted premium of 0.88 per cent over its issue price of Rs 226. Similarly, the stock kicks off its maiden trading session with a premium 0.44 per cent at Rs 227 on BSE over the given issue price.
The listing has muted the expectations. Ahead of its listing, shares of Tolins Tyres were commanding a grey market premium (GMP) of 30 per share, suggesting a listing pop of 13 per cent to the investors. However, the grey market premium stood at Rs 39 apiece earlier, when the issue had opened for bidding.
The Kerala-based Tolins Tyres is selling its shares in the price band of Rs 215-226 apiece. Investors can apply for a minimum of 66 shares and its multiples thereafter. It is looking to raise Rs 230 crore via IPO, which includes a fresh share sale of Rs 200 crore, and an offer-for-sale (OFS) of up to 13.27 lakh equity shares.
The issue saw a decent bidding and was overall subscribed 23.89 times. The quota for qualified institutional bidders (QIBs) was booked 25.42 times The quota for non-institutional investors was subscribed 27.41 times, while the portion reserved for shareholders saw bidding for 21.52 times during the three-day bidding process.
Incorporated in 2003, Tolins Tyres is a tyre manufacturing company. It provides tyre retreading solutions in India and exports to 40 countries, including the Middle East, East Africa, Jordan, Kenya, and Egypt. The company's business can be divided into two verticals- tyre manufacturing and tread rubber manufacturing.
Brokerages were mostly positive on the issue suggesting investors to subscribe to it for a long term. Saffron Capital Advisors was the book running lead manager of the Tolins Tyres IPO, while Cameo Corporate Services served as the registrar for the issue.