Get ready for huge profits if you get these shares, bumper buying is happening in the IPO.

New Delhi. The IPO of APJ Surendra Park Hotels, the operator of hotel chain ‘The Park’, fetched a bid of 2.52 times on the first day, Monday. 3,47,61,903 shares have been offered under the IPO worth around Rs 920 crore. As per data available on NSE, bids were made for 8,75,33,280 shares on the first day of the IPO launch.

The retail individual investors (RII) segment was subscribed 5.70 times while the non-institutional investors segment was subscribed 3.24 times. Also, the section reserved for qualified institutional buyers was oversubscribed 1.17 times. Under this issue, new shares worth Rs 600 crore have been issued and offers for sale (OFS) worth Rs 320 crore have been made.

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Current price
A price range of Rs 147-155 per share has been fixed for the IPO. The proceeds from the issue will be used for repayment of debt and for general purposes of the company. The company has previously raised Rs 409.5 crore from major investors.

GMP
Park Hotel’s IPO has raised the prospect of good returns for investors. On Monday morning, its price was being quoted at Rs 215 in the gray market. This means that at a level above the issue price, investors are getting a profit of Rs 60 per share. It is possible that as the listing approaches, its value may increase further on the gray market. At present the profit per share is 38.71%. Those who invested in the IPO still have time until February 6 and 7.

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Tags: stock markets, IPO