Augmont Enterprises’ initial public offering has been subscribed 2.88 times so far, as bidding for the Rs 825 crore issue continues through August 25.
The IPO opened on August 21 with a price band of Rs 750-788 per share, comprising a fresh issue of Rs 620 crore and an offer for sale worth Rs 205 crore.
Subscription so far has been led by non-institutional investors at 4.18 times, followed by retail investors at 2.94 times and qualified institutional buyers at 1.85 times.
Augmont Enterprises is an integrated precious metals platform covering procurement and refining, bullion trading, digital gold, jewellery manufacturing and international sales.
The basis of allotment is expected to be finalised on August 27, with shares credited to successful applicants’ demat accounts by August 28 and listing on the BSE and NSE tentatively set for August 31.
Grey market activity ahead of listing has pointed to gains of around 35-36 percent over the issue price, though brokerages have flagged the company’s thin operating margins as a risk factor for investors to weigh.
The IPO’s minimum application lot is 19 shares, meaning a retail investor bidding at the upper price band of Rs 788 would need to invest at least Rs 14,972.
Augmont Enterprises reported a net profit of Rs 348.30 crore in FY26, with total income of Rs 94,282.47 crore, giving the company a market capitalisation of more than Rs 7,200 crore at the upper price band.
Nuvama Wealth Management is the book running lead manager for the issue, with MUFG Intime India serving as registrar.
The grey market premium ahead of listing has signalled gains of around 35-36 percent over the issue price, with premiums reported in the range of Rs 275-280 per share above the upper band.
Most brokerages tracking the issue have recommended subscribing, citing Augmont’s integrated business model spanning procurement, refining, bullion trading and digital gold, though some flagged thin operating margins of below 0.4 percent and customer concentration as risks.
Photo by Slav4 (Ariel Palmon), Wikimedia Commons, CC BY-SA 3.0
