Caliber Mining and Logistics listed at a 19% premium before surrendering gains amid profit booking.
The IPO debuted above grey market expectations despite weak broader market sentiment.
The issue was subscribed 155 times, reflecting strong investor demand across categories.
Caliber Mining IPO Lists At 19% Premium, Erases Gains Amid Weak Market
The stock listed above grey market expectations but later came under selling pressure as weak broader market sentiment triggered profit booking
Caliber Mining IPO Lists At 19% Premium, Erases Gains Amid Weak Market
Summary
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Caliber Mining and Logistics shares made a strong debut on the stock exchanges on Friday but surrendered most of their listing gains to trade lower as weak broader market sentiment weighed on investor confidence.
The stock listed at ₹504 on the BSE, a premium of 19% over its issue price of ₹424. On the NSE, it debuted at ₹500.25, up 17.98% from the issue price.
However, the initial rally proved short-lived. The stock later slipped to ₹463.15 on the BSE and ₹463.35 on the NSE, though it continued to trade above its IPO price.
The listing was stronger than grey market expectations. Ahead of the debut, Caliber Mining and Logistics' grey market premium (GMP) stood at ₹64 per share, indicating an expected listing price of around ₹488.
Profit Booking After Strong Debut
Commenting on the listing, Shivani Nyati, Head of Wealth at Swastika Investmart, said the stock's debut reflected healthy investor confidence and the strong response received during the IPO.
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She said some profit booking could emerge in the near term following the sharp listing gains. Fresh investors should avoid chasing the stock at current levels and instead wait for a correction or consolidation before taking exposure.
Nyati advised investors who received allotment to continue holding the stock from a medium- to long-term perspective while maintaining a stop-loss at ₹475 on a closing basis.
IPO Attracted Robust Demand
Caliber Mining and Logistics' IPO was a book-built issue comprising a fresh issue of 94 lakh shares and an offer for sale of 12 lakh shares.
The public issue opened for subscription on July 17 and closed on July 21. Priced in the band of ₹402-424 per share, the company sought to raise around ₹400 crore through the fresh issue.
The IPO received an overwhelming response, with the issue subscribed 155 times overall. The retail investor portion was subscribed 43 times, while the non-institutional investor (NII) segment was booked 282 times.
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The company plans to utilise the net proceeds from the fresh issue to repay certain borrowings, purchase commercial vehicles, plant and machinery, and for general corporate purposes.
Caliber Mining and Logistics operates as a mining services company engaged in overburden removal, coal extraction and coal logistics across Maharashtra, Madhya Pradesh and Chhattisgarh. The company does not own any mines.
According to its red herring prospectus (RHP), revenue from operations grew at a CAGR of 32.67%, increasing from ₹953.12 crore in FY24 to ₹1,677.66 crore in FY26.