Tamil Nadu Mercantile Bank IPO: Public issue price subscription after 3 days closure 831.60 crores, all eyes are now on Tamil Nadu Mercantile Bank IPO allotment date, which is most likely on 12th September 2022. In three days of subscription from 5 to 7 September 2022, Tamil Nadu Mercantile Bank’s IPO got subscribed 2.86 times, while its retail portion was subscribed. 6.48 times. Meanwhile, the gray market on Tamil Nadu Mercantile Bank’s IPO has turned sluggish due to below subscription levels. According to market observers, Tamil Nadu Mercantile Bank IPO GMP (Grey Market Premium) is today 8, which is 14 down from yesterday’s high 22 per equity share.
Tamil Nadu Mercantile Bank IPO GMP Today
Market observers said that Tamil Nadu Mercantile Bank IPO GMP Today Is 8, which is 14 down from Friday’s high 22. Asked why Tamil Nadu Mercantile Bank’s IPO GMP is failing, he said the subscription level of the public issue was below par and its valuation was too moderate. He said that after the red herring prospectus (RHP) of the public issue went public, it became clear that not much was available to the public and therefore it failed to attract investors the way the Dreamfolks Services IPO did. . Hence, the IPO gray market value of Tamil Nadu Mercantile Bank almost fell 75 to 8 in just one week.
What is meant by Tamil Nadu Mercantile Bank IPO GMP?
Market observers said that Tamil Nadu Mercantile Bank IPO GMP today is 8 means the gray market is expecting the public issue to be listed approx. 533 ( 525 + 8), which is equal to the issue price of from 500 525.
However, stock market observers said the gray market should not be taken so seriously as it has nothing to do with the fundamentals of the company. He said that the gray market also includes those people whose interest lies in the public issue. Therefore, the GMP may be artificially high before the subscription opening and may come down after the public offering closes. Investors and allottees were advised to stick to the basics and check the balance sheet of the company as it gives a solid picture of the financial position of the company.
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