Doms IPO Got high Demand in grey market GMP soars 80% in 2 days
Doms IPO Ahead of its initial public offering (IPO), DOMS Industries’ shares are in high demand on the black market. The company that manufactures stationery and art goods has seen an 80% increase in its grey market premium (GMP) in just two days, indicating that investors are very interested in the product.On Wednesday, December 6, shares of Gujarat-based DOMS Industries were trading at a premium of ₹360 in the unlisted market, up from a GMP of ₹200 on December 4.
DOMS IPO Details
| IPO Date | December 13, 2023 to December 15, 2023 |
| Listing Date | [.] |
| Face Value | ₹10 per share |
| Price | [.] to [.] per share |
| Lot Size | |
| Total Issue Size | [.] shares
(aggregating up to ₹1,200.00 Cr) |
| Fresh Issue | [.] shares
(aggregating up to ₹350.00 Cr) |
| Offer for Sale | [.] shares of ₹10
(aggregating up to ₹850.00 Cr) |
| Issue Type | Book Built Issue IPO |
| Listing At | BSE, NSE |
| Share holding pre issue | 56,250,218 |
Doms IPO Shares begin trading on the grey market, an unauthorized ecosystem, well in advance of the allotment and continue untilthe day of listing. To estimate the listing price, the majority of investors follow the GMP.Public subscriptions for the issue will be accepted starting on December 13 and ending on December 15.Through the IPO, DOMS Industries hopes to raise ₹1,200 cr.The firm, which intends to raise ₹1,200 crore through the public offering, is made up of an offer for sale (OFS) by the promoters for ₹850 crore and new equity of ₹350 crore by the company.
DOMS IPO Reservation
| Investor Category | Shares Offered |
| QIB Shares Offered | Not less than 75% of the Net Issue |
| Retail Shares Offered | Not more than 10% of the Net Issue |
| NII (HNI) Shares Offered | Not more than 15% of the Net Issue |
DOMS IPO Timeline (Tentative Schedule)
DOMS IPO opens on December 13, 2023, and closes on December 15, 2023.
| IPO Open Date | Wednesday, December 13, 2023 |
| IPO Close Date | Friday, December 15, 2023 |
| Basis of Allotment | Monday, December 18, 2023 |
| Initiation of Refunds | Tuesday, December 19, 2023 |
| Credit of Shares to Demat | Tuesday, December 19, 2023 |
| Listing Date | Wednesday, December 20, 2023 |
| Cut-off time for UPI mandate confirmation | 5 PM on December 15, 2023 |
Doms IPO Shares will be offloaded by promoters Sanjay Mansukhal Rajani, Keta Mansukhal Rajani, and Fabbrica Italiana Lapis under the OFS. The selling stockholders will receive the OFS revenues.
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In addition to being used for general corporate purposes, the proceeds from the new issue will go toward financing the establishment of a new manufacturing facility, which will increase the company’s capacity to produce a wider variety of writing tools, markers, highlighters, and water color pens.
Through the book-building process, the offer is being made, with qualifying institutional purchasers receiving 75% of the net offer, non-institutional investors receiving 15%, and retail investors receiving the remaining 10%.Up to ₹5 crore worth of shares are reserved for firm personnel under the terms of the sale. The net issue is the component of the IPO not related to workers.
Money With a 12% market share by value in FY23, DOMS Industries is the second-biggest player in the nation’s branded stationery and art products sector. The company reported a net profit of ₹96 crore for the fiscal year that ended in March FY23, while revenue increased 77% year over year to ₹1,212 crore.Earnings before interest, taxes, depreciation, and amortization, or EBITDA, increased by 149% on a yearly basis to ₹186.7 crore over the course of the year. Compared to FY22’s 10.96%, the EBITDA margin increased significantly to 15.4% in FY23.
With ₹761.8 crore in revenue, the company reported a net profit of ₹70.63 crore for the six months that ended in September of FY24.The Gujarat-based business creates, develops, produces, andmarkets a broad variety of “stationery and art” goods, mostly under its flagship brand “Doms,” both domestically and in more than 40 other countries across the world.
The registrar for the issuance is Link Intime India, and the book-running lead managers are JM Financial, BNP Paribas, ICICI Securities, and IIFL Securities.Trading of the stock will start on December 20 and it will be listed on both the BSE and NSE. The business would be the first in the T+3 timetable to be required to list on the bourses after capital markets regulator SEBI urged businesses to undertake initial public offerings with effect starting on December 1, 2023, to switch from the existing T+6 format to a T+3 timeframe.
https://www.chittorgarh.com/ipo/doms-ipo/1581/