Regaal Resources Limited, a major name in India’s maize-based speciality products sector, is in the spotlight with its ₹306 crore Initial Public Offering (IPO).
Launched on August 12, the book-building issue has received an overwhelming response from investors, backed by high subscription numbers and rising grey market activity. Analysts are calling it one of the most closely watched IPOs this month.
Regaal Resources IPO Price Band, Issue Details
The IPO is being offered in a price band of ₹96 to ₹102 per share, with a total issue size of ₹306 crore. Out of this, ₹210 crore comes from a fresh issue of shares, while ₹96 crore is from an Offer for Sale (OFS) by existing promoters.
Ahead of the public opening, Regaal successfully raised ₹92 crore from anchor investors by allotting about 8.9 million shares at the upper price band of ₹102 each. Prominent investors in the anchor round include Taurus Mutual Fund, VPK Global Ventures Fund, and Meru Investment Fund. This strong anchor participation has given a clear boost to investor confidence, setting the stage for high demand when the IPO opened for subscription.
Regaal Resources IPO Heavy Subscription and Grey Market Buzz
The IPO’s first day (August 12) witnessed a strong start, with the issue subscribed nearly 5.94 times overall. Breaking it down:
- Retail Investors: ~5.58 times subscribed
- Non-Institutional Investors (NIIs): ~10.77 times subscribed
- Qualified Institutional Buyers (QIBs): ~2.94 times subscribed
Reports also indicate that the IPO achieved 200% subscription within the first two hours, reflecting exceptional investor enthusiasm.
The Grey Market Premium (GMP) has been another indicator of the upbeat sentiment. On August 12, the GMP hovered around ₹21–₹22 per share, implying a possible listing gain of about 21–22% over the issue price. By August 13, the GMP surged to ₹32, which translates to a 31% premium over the upper price band of ₹102. This suggests a potential listing price near ₹134. Even conservative estimates from other sources, pegging the GMP at ₹23–₹24, still point toward solid listing gains.
Regaal Resources IPO Timeline and Analyst Recommendations
The IPO closes for subscription on August 14, 2025. The basis of allotment is expected to be finalized on August 18, with refunds and demat credit likely on August 19. The tentative listing date on both BSE and NSE is August 20.
Most analysts have rated the IPO as a “Subscribe for Long Term.” Lakshmishree Investment highlighted Regaal’s cost-efficient raw material sourcing due to its proximity to maize-producing regions and strong operational performance. They cautioned about the company’s high leverage but maintained that the long-term prospects outweigh short-term risks.
Anand Rathi and Arihant Capital also issued “Subscribe” calls, citing reasonable valuations at 22x FY25 expected earnings per share (₹4.64) and Regaal’s strong market positioning. INVasset PMS’s Anirudh Garg pointed to the company’s healthy return on equity (~20%) and competitive price-to-earnings ratio, while acknowledging its debt level as a key risk factor to monitor.
Key Takeaways for Investors
The strong subscription numbers, robust anchor book, and rising GMP all point to a promising debut for Regaal Resources on the stock exchanges. However, investors should keep in mind the company’s high leverage, which could pose challenges in volatile market conditions.
| Aspect | Key Insights |
|---|---|
| Price Band | ₹96–₹102 per share |
| Issue Size | ₹306 crore (₹210 crore fresh + ₹96 crore OFS) |
| Anchor Investment | ₹92 crore raised at ₹102 |
| Subscription Rate (Day 1) | ~5.94x overall: Retail ~5.6x, NIIs ~10.8x, QIBs ~2.9x |
| GMP | ~21–22% (Aug 12), ~31% (Aug 13 = ₹32) |
| Key Dates | Closes Aug 14, Allotment Aug 18, Listing Aug 20 |
| Analyst View | Predominantly “Subscribe—Long Term” |
Regaal Resources’ IPO has clearly captured investor attention, with its rapid oversubscription and strong grey market performance suggesting a likely positive listing. While cautious investors may want to monitor the company’s debt profile, the operational strengths, market demand, and valuations provide compelling reasons for those looking at a long-term investment horizon.
F.A.Q.
– What is the price band for the Regaal Resources IPO?
What is the price band for the Regaal Resources IPO?
– How big is the Regaal Resources IPO?
The total issue size is ₹306 crore, including ₹210 crore from a fresh issue and ₹96 crore from an Offer for Sale (OFS).
– What is the Grey Market Premium (GMP) for the IPO?
As of August 13, the GMP is around ₹32, indicating a 31% premium over the upper issue price.
– When will the Regaal Resources IPO close and list?
The IPO closes on August 14, 2025, and is expected to list on August 20, 2025, on both BSE and NSE.
– What are analysts recommending for this IPO?
Most analysts suggest a “Subscribe for Long Term” rating, citing strong operations and reasonable valuation, while noting high leverage as a risk.
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