InvestorQ : What has been the response to the Happiest Minds IPO on the first day of subscription?
NISHA Nayak made post

What has been the response to the Happiest Minds IPO on the first day of subscription?

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diksha shah answered.
3 months ago
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It was a high quality IPO that was launched after a long gap and the retail appetite for the IPO has been phenomenal as is evident on Day 1 of the IPO. In fact, the IPO of Happiest Minds was oversubscribed 2.80 times by the end of Day-1 itself.

The IPO was already quoting at a grey market premium of 60-70% and this unofficial premium was indicative of robust demand for the IPO. That demand from retail investors was evident on the first day of the IPO itself.

The retail portion, which gets a 35% allocation in the issue, got oversubscribed 14.6 times on the first day itself, which is indicative of a huge small-investor appetite for the IPO. Most retail investors had been waiting for a good IPO for a long time.

The QIP and HNI portion were subscribed by 8% and 64% respectively, but most of these application bids only come in on the last day. Since the oversubscription is so healthy, there is likely to be a rush of funding applications on the last day of the IPO.

The huge pent up demand for the Rs.700 crore IPO is because it is only the third IPO in this year after SBI Cards and Rossari Biotech. Both the previous IPOs came from quality companies and have done quite well post the listing.

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