Midwest IPO: The initial public offering (IPO) of Midwest, which opened on Wednesday, October 15, received a strong response from investors, as it sailed through on the first day itself. The bidding was led by the non-institutional and retail investors.
The issue will remain open for bidding till October 17.
Midwest IPO Details
As of 5:00 pm, Midwest IPO was subscribed 1.84 times. Within this, the Qualified Institutional Buyers (QIB) portion was subscribed 0.50 times, the Non-Institutional Investors (NII) segment saw robust interest with 4.17 times subscription, and the Retail Individual Investors (RII) category was subscribed 1.60 times. Lastly, the employee quota was subscribed 2.54 times.
Midwest IPO received bids for 57,33,840 shares as against 31,17,460 shares on offer.
Midwest IPO GMP
The company’s shares are commanding a healthy grey market premium (GMP). According to investorgain.com, Midwest IPO GMP was ₹175 today. This means shares of Midwest IPO were trading ₹175 above the upper end of the price band.
At the prevailing GMP and issue price, Midwest IPO listing price could be ₹1240, a premium of 16.43%.
About Midwest IPO
Midwest’s ₹451 crore IPO has a price band of ₹1,014-1,065 per share. The book-built offer is a combination of a fresh issue of shares worth ₹250 crore and an offer-for-sale (OFS) of ₹201 crore.
The company plans to use the funds raised from the fresh share sale for Phase II expansion of its quartz facility under subsidiary Midwest Neostone, electric dump trucks, and solar energy integration at select mines.
It also plans to use a portion of the funds to repay borrowings and for general corporate purposes.
Midwest has a legacy of more than four decades in the extraction and processing of dimensional granite, particularly black galaxy and absolute black varieties. It is India’s largest producer of black galaxy and black granite stones. It held a share of approximately 64% of the Indian export market for the export of black galaxy stone during FY25. Its absolute black granite production accounted for 15.7% of the overall black granite production in India during FY25.
In addition to the natural stone business, it also manufactures diamond wire, which caters to both captive consumption and market demand of the Indian mining and construction industry.
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