Regaal Resources’ initial public offering (IPO) saw an overwhelming response, being subscribed over 140 times by the third day of bidding (August 14). The Rs 306-crore IPO received bids for more than 293 crore shares, compared to the offer size of 2.1 crore shares, as per NSE data at 3:22 pm. Non-Institutional Investors (NIIs) led the surge, oversubscribing their portion by 334 times, followed by retail investors at 52 times, and Qualified Institutional Buyers (QIBs) at 147 times.
In the grey market, Regaal Resources shares were trading at a premium of around 33.33% over the IPO price of Rs 102, indicating strong listing expectations. The IPO consists of a fresh issue worth Rs 210 crore and an offer for sale of 94.12 lakh shares. Allotments are expected by August 18, with a listing scheduled for August 20.
Analysts have highlighted Regaal’s strong financials, including a 20.25% RoE and higher EPS than peers, while maintaining a relatively low P/E ratio. However, its high debt level remains a concern. Still, experts suggest long-term potential, citing the company’s strategic location, sector expertise, and growing demand in agro-processing and metal sectors.
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