The grey market premium for the Prasol Chemicals IPO recorded a steep decline on its second day of bidding, extending a downward trend observed over four consecutive sessions. Prior to launching its subscription phase on September 8, the unlisted shares were trading at a premium of 24.41 percent on September 4. That momentum has steadily eroded, bringing the current grey market premium down to just Rs 15 per share. This represents a modest 2.22 percent markup over the upper price band, implying an estimated grey market trading price of Rs 691 per share.
Grey Market Premium Trends and Valuation Shifts
The pullback in grey market valuation highlights shifting investor expectations as live bidding progresses. The sharp drop from the 24.41 percent peak recorded on September 4 shows that initial speculative enthusiasm has cooled significantly. At the current grey market premium of Rs 15 over the upper issue price of Rs 676, anticipated listing gains have narrowed considerably. Market analysts point out that grey market dynamics often realign rapidly once actual demand figures from retail and institutional tranches become public.
Breakdown of Issue Structure and Capital Raise
The total fundraise for Prasol Chemicals stands at Rs 500 crore, comprising both a fresh capital issuance and an Offer for Sale by existing shareholders. The fresh issue component is valued at Rs 80 crore and involves 11.83 lakh equity shares. Proceeds from the fresh issue will be directed toward meeting capital requirements and corporate objectives. Meanwhile, the Offer for Sale segment totals Rs 420 crore, consisting of 62.13 lakh equity shares offloaded by current promoter groups and investors.
Price Band Details and Retail Minimum Investment
Prasol Chemicals has fixed its IPO price band between Rs 643 and Rs 676 per equity share. Bidders are required to apply in standardized market lots, with each lot containing 22 shares. Calculated at the top end of the price band, an individual retail applicant needs to deploy a minimum capital amount of Rs 14,872 to bid for a single lot. Retail buyers wishing to increase their allocation must apply in integer multiples of 22 shares up to the permissible retail threshold.
Subscription Timeline, Allotment, and Exchange Listing
The bidding window for Prasol Chemicals opened on September 8 and is scheduled to conclude on September 10. Following the closure of the three-day bidding window, the basis of share allotment is expected to be finalized on September 11. Unsuccessful applicants will receive credit refunds shortly thereafter, while allotted shares will be transferred to demat accounts. Secondary market trading in Prasol Chemicals equity shares is slated to commence on September 16 across both the National Stock Exchange and the Bombay Stock Exchange.
