Cello World IPO: 31% of subscribers have signed up as of day 1, although reception to the IPO is muted

 Cello World IPO: 31% of subscribers have signed up as of day 1, although reception to the IPO is muted

Subscription status for Cello World IPO: As of day 1, 31% of subscribers have signed up for Cello World IPO.  The subscription period for the Cello World IPO began today, Monday, October 30, and will end on Wednesday, November 1. The pricing range for the Cello World IPO has been set at ₹617 to ₹648 for each equity share with a face value of ₹5.

In the public offering, Cello World IPO has set aside a minimum of 15% of the shares for Non Institutional Investors (NII), a maximum of 50% of the shares for Qualified Institutional Buyers (QIB), and a minimum of 35% of the shares for Retail Investors. When bidding in the employee reserve part, qualifying workers will get a discount of ₹61 per equity share.

On the first day of the Cello IPO, 32% of the shares were subscribed by retail investors, 72% by NII, 2% by qualified institutional buyers (QIBs), and 40% by employees. 

Subscription status for Cello IPO

According to BSE statistics, at 16:30 IST, bids were received for 68,94,250 shares of the Cello World IPO, against the 2,20,61,947 shares that were on sale.

Bids were received for 33,90,683 shares of the 1,07,21,232 shares that were offered to retail investors in the Cello IPO.

Bids for 33,22,235 shares were received by the non-institutional investors component of the Cello IPO, whereas 45,94,814 shares were offered for this segment.

Out of the 65,66,045 shares that were offered for this segment, bids for 1,09,940 shares were received by the Cello World IPO Qualified Institutional Buyers (QIBs) component.

In the Cello World IPO, bids were received for 71,392 shares of the 1,79,856 shares that were offered for the employee component.

Details about Cello World's IPO

The Cello World IPO is a full offer for sale (OFS), in which ₹1,900 crore worth of shares with a face value of ₹5 would be sold by promoters and other shareholders. A reserve of up to ₹10 crore is included in the offer for workers who qualify.

The founder, Pradeep Ghisulal Rathod, will dispose shares valued at ₹300 crore. Pankaj Ghisulal Rathod, Gaurav Pradeep Rathod, Sangeeta Pradeep Rathod, Babita Pankaj Rathod, as well as Ruchi Gaurav Rathod will each offload shares valued at ₹736 crore, ₹200 crore, and ₹100 crore.

Kotak Mahindra Capital Management Limited, ICICI Securities Company Limited, IIFL Securities Ltd, JM Financial Limited, as well as Motilal Oswal Investments Advisors Limited are the documents running lead managers of the Cello World Limited initial public offering. Link Intime India Private Ltd. is the registrar of the issue.

The late Ghisulal Dhanraj Rathod, a promoter in the past and the father of two current promoters, Pradeep and Pankaj, established Cello.

Cello World mainly specializes in three categories: consumer housewares, connected items, molded furniture, and stationery and writing equipment.

Today's Cello World IPO GMP

The current grey market premium, or GMP, for Cello World IPO is +135. According to investorgain.com, this shows that the price of Cello World shares were trading on Monday at a premium of ₹135 on the grey market. It was trading at a GMP of ₹120 in the morning. 

The expected listing price of Cello World shares was indicated at ₹783 each, which is 20.83% more than the IPO price of ₹648. This is because it takes into account the top end of the IPO pricing range and the present premium on the grey market.

A "grey market premium" denotes the willingness of investors to part with more money than the issue price.