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Kolkata: Regaal Resources, a Kolkata-based firm that manufactures maize-based specialty product, has triggered investor enthusiasm which has been reflected both in the GMP and the subscription status. The GMP has been rising steadily from the very first day of it being recorded and the subscription status crosses 26 times by the evening of the second day of the bidding process.
The company also managed to sell 89.99 lakh equity shares at Rs 102 each to anchor investors. In the process it raised Rs 92 crore on August 11. The list of anchor investors included Taurus Mutual Fund, VPK Global Ventures Fund, Meru Investment Fund PCC-Cell 1, Benami Capital, Sunrise Investment Opportunities Fund, Authum Investment and Infrastructure Fund and Holani Venture Capital Fund.
The remarkable aspect of the Regaal Resources IPO GMP is that it has been rising steadily without a dip from August 7, when it was recorded at Rs 18. On the morning of August 14, the last day of the IPO, it was at Rs 34. At this level it signaled a listing gain of 33.33%. However, it must be kept in mind that GMP (Grey Market Premium) is an unofficial gain and does not guarantee anything.
Regaal Resources IPO wqs subscribed 26.41 times overall by the evening of August 13, the second day of the bidding process. The retail portion was subscribed 21.86 times and 3.36 times in QIB (Ex Anchor), and 67.77 times in the NII category.
The Regaal Resources IPO price band is Rs 96.00-102.00. For a retail investor the minimum lot size is 144. It will entail a minimum application money of Rs 14,688 at the upper end of the price band. But for an sNII category investor, the minimum lot consists of 2,016 shares and for a bNII category investor it consists of 9,936 shares. Since the issue is already oversubscribed, it is advisable to bid at the upper and of the price band.
According to the prospectus, the company will utilise the IPO proceeds to pay off some debts. The total debt of Regaal Resources was at Rs 570 crore at the end of FY25. The company recorded a 52.5% surge in revenue to Rs 915.16 crore in FY25 compared to Rs 600.02 crore in FY24. The company's PAT jumped more than 100% to stand at Rs 47.67 crore in FY25 versus Rs 22.14 crore in FY24.
The company has a manufacturing unit in Kishanganj, Bihar. The products are Maize starch and modified starch (a natural plant-based starch), co-products such as gluten, germ, enriched fiber and fibre and food grade starches such as maize flour, icing sugar, custard powder and baking powder.
(Disclaimer: This article is only meant to provide information. TV9 does not recommend buying or selling shares or subscriptions of any IPO, Mutual Funds, precious metals, commodity, REITs, INVITs, any form of alternative investment instruments and crypto assets.)
