Borana Weaves to make stock market debut; check latest GMP ahead of listing

Shares of Borana Weaves are set to make their Dalal Street debut on Tuesday, May 27. The synthetic grey fabric maker, which attracted bids for Rs 11,800 crore and 17.41 lakh applications, is set to deliver healthy listing gains to the investors, if one goes by the current trends from the grey market premium (GMP), where it has seen some correction.

The grey market premium of Borana Weaves has seen some correction even after a bumper bidding amid the rising volatility in the broader markets. Last heard, the company was commanding a premium of Rs 43-45 in the unofficial market, suggesting a listing gains of around 20-22 per cent for the investors. The GMP stood at Rs 60 on the first day of the bidding.

The IPO of Surat-based Borana Weaves was open for bidding between May 20 and May 22. It had offered its shares in the price band of Rs 205-216 per share with a lot size of 69 shares. The company raised a total of Rs 144.89 crore via IPO, which was entirely a fresh share sale of 67,08,000 equity shares.

The issue was overall subscribed a whopping 148.78 times. The allocation for the non-institutional investors (NIIs) was subscribed a solid 237.42 times The portion for retail investors booked subscribed 200.53 times. Allocation for qualified institutional bidders (QIBs) was booked 87.21 times during the three-day bidding process.

Incorporated in 2020, Surat-based Borana Weaves is a manufacturer of unbleached synthetic grey fabric, which is often widely used as a base for further processing (including dyeing and printing) in industries such as fashion, traditional textiles, technical textiles, home decor, interior design and more.

Brokerage firms mostly had a positive view on the company. Beeline Capital Advisors is the sole book-running lead manager of the Borana Weaves IPO, while Kfin Technologies is the registrar for the issue. Shares of the company shall be listed at both BSE and NSE.