Euro Pratik Sales IPO Struggles To Get Bids On Final Day – SEBI Analyst Says ‘Avoid’

Euro Pratik Sales’ IPO has entered its third day of subscription, but investor response has been lukewarm so far.   

The public issue, which opened for subscription on September 16, has received bids for just 1,24,60,380 shares against 1,34,64,781 shares on offer, translating to a subscription of 0.93 times as per BSE data. At the end of day 2, it was subscribed over 70%. 

Among the investor categories, non-institutional investors (NIIs) bid for 45,55,980 shares, compared to 28,71,798 shares on offer. Qualified institutional buyers (QIBs) bid for 11,36,640 shares versus 38,29,062 shares on offer, and retail investors bid for 66,21,180 shares against 67,00,862 shares on offer.

Euro Pratik Sales operates in the decorative wall panel and decorative laminates industry.

GMP Indicates Muted Debut

Investor sentiment stayed subdued in the grey market on the final day of subscription for Euro Pratik Sales. According to market trackers, the company’s unlisted shares were trading at around ₹252 apiece, reflecting a grey market premium (GMP) of ₹5 per share, or about 2.02% over the upper end of the issue price of ₹247.

SEBI-registered analyst Aditya Hujband advises conservative investors to avoid the IPO.

IPO Details

The share sale is an offer-for-sale (OFS), with promoters set to divest up to 18.3 million equity shares worth ₹451.31 crore. The IPO is priced in the band of ₹235 - ₹247 per share, with a lot size of 60 shares, requiring a minimum investment of ₹14,820.

The issue closes today, and the basis of allotment is expected to be finalised on September 19. The stock is scheduled to debut on the NSE and BSE on September 23.

Axis Capital is acting as the sole book-running lead manager, while DAM Capital Advisors is the registrar. Since the offer is entirely an OFS, Euro Pratik Sales will not receive any proceeds.

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