Three mainboard IPOs are set to list on September 23 after attracting sharply different levels of demand and grey-market sentiment
The primary market is heading for another important listing day on Wednesday, September 23, with SS Retail, Jindal Supreme and Hero Motors scheduled to make their debut on the BSE and NSE. The three mainboard IPOs were open for subscription between September 16 and September 18, but their post-issue grey-market trends have moved in notably different directions.
While SS Retail and Jindal Supreme continue to command substantial premiums in the unofficial market, Hero Motors has witnessed a sharp cooling in its grey market premium (GMP), with the latest indications moving below its issue price.
The contrasting GMP trends come despite strong subscription numbers across all three issues, highlighting the difference between subscription demand during the IPO and sentiment immediately ahead of listing.
Hero Motors IPO GMP Turns Negative
Hero Motors appears to be facing the sharpest change in market sentiment among the three IPOs.
The automotive technology company's IPO is currently indicated at a GMP of around ₹2 below the issue price, equivalent to approximately 2.38 per cent below the upper issue price of ₹84. This represents a significant deterioration from the earlier grey-market premium of around ₹24, when the stock was being indicated at a premium of nearly 28.5 per cent.
At the latest indication, the unofficial market is therefore pointing towards a listing close to or slightly below the IPO's upper price band.
However, GMP is an unofficial indicator and does not guarantee the actual listing price. Final listing performance will depend on market conditions, demand from investors and trading activity once the shares begin trading on the exchanges.
Strong Subscription Despite Cooling GMP
Hero Motors' IPO received substantial demand during the three-day bidding period.
The issue was subscribed 6.66 times, with investors bidding for around 589.72 million shares compared with 88.61 million shares on offer.
The NII category recorded the strongest participation, with subscription of 9.86 times, while the retail portion was subscribed 8.23 times. The QIB segment received bids equivalent to 1.49 times the shares reserved for the category.
The difference between strong subscription and weakening GMP will be closely watched during the listing session.
₹1,000 Crore Hero Motors Issue
Hero Motors raised approximately ₹1,000 crore through the IPO.
The issue consisted of a fresh issue of ₹600 crore and an offer for sale of ₹400 crore, with the price band fixed at ₹79-84 per share.
The company plans to deploy the fresh capital towards repayment of certain borrowings, capital expenditure, acquisitions and general corporate purposes.
The company's positioning in automotive technology also gives the IPO exposure to the broader evolution of the automobile industry, including increasing technology content and changing requirements across vehicle platforms.
SS Retail IPO Maintains Strong GMP
In contrast, SS Retail continues to command a substantial grey-market premium ahead of its listing.
The latest GMP indication stands at approximately ₹142, representing a premium of around 33.49 per cent over the IPO's upper issue price of ₹424. Based purely on that unofficial premium, the implied listing level would be around ₹566 per share.
The grey-market indication has remained significantly stronger than the issue price, although investors should note that GMP is not an official exchange price and can change rapidly before listing.
Exceptional Subscription for SS Retail
The subscription response to SS Retail was considerably higher than the issue size.
The ₹500 crore IPO was subscribed 103.30 times overall. The QIB portion was subscribed 203.61 times, while the NII category received bids equivalent to 143.32 times the shares available. Retail investors subscribed 36.36 times their allocated portion.
The issue comprised a fresh issue of ₹360 crore and an OFS of ₹140 crore. The price band was fixed at ₹403-424 per share.
The exceptionally high subscription indicates strong demand across investor categories, although the eventual listing will determine how much of that demand translates into secondary-market buying.
Expansion Plans to Drive Capital Deployment
SS Retail operates a multi-brand retail network focused on mobile phones, accessories and other electronic products.
The company has a presence across Maharashtra, Karnataka, Madhya Pradesh, Goa and Gujarat.
Funds raised through the fresh issue are intended to support capital expenditure for new stores during FY27 and FY28, incremental working capital requirements and general corporate purposes.
The company's ability to convert the additional capital into store expansion, revenue growth and operating profitability will be among the factors investors may track after listing.
Jindal Supreme Commands Around 31% GMP
Jindal Supreme is also showing a strong unofficial premium ahead of its market debut.
The latest grey-market premium is indicated at around ₹29 per share, equivalent to approximately 31 per cent above the IPO price of ₹93. At this GMP, the implied listing price would be around ₹122 per share.
Like the other two IPOs, however, the implied GMP-based price should not be considered a guaranteed listing level.
Jindal Supreme Records Extraordinary Subscription
Jindal Supreme witnessed the strongest subscription response among the three IPOs.
The issue received bids for approximately 1,701.98 million shares against 9.39 million shares on offer, resulting in an overall subscription of 181.07 times.
The NII category was subscribed 327.99 times, while the QIB portion received bids equivalent to 126.41 times the shares reserved for the category. The retail segment was subscribed 149.34 times.
The exceptionally high demand makes Jindal Supreme one of the more closely watched listings of the day.
₹125 Crore Issue Focused on Steel Products
Jindal Supreme's IPO had a total size of approximately ₹125 crore, comprising a fresh issue of ₹100 crore and an OFS of ₹25 crore.
The company manufactures and supplies steel pipes, tubes and other steel products used across infrastructure and industrial applications.
The price band was fixed at ₹88-93 per share.
The fresh capital is planned to be used primarily for repayment of certain borrowings and general corporate purposes. The company's performance after listing will therefore be assessed against both its operational growth prospects and its ability to manage its balance sheet.
Three IPOs, Three Different Listing Setups
The three upcoming listings present distinctly different pre-listing scenarios.
SS Retail combines exceptionally high subscription with a substantial unofficial premium. Jindal Supreme has recorded even stronger overall subscription, along with a sizeable GMP. Hero Motors, meanwhile, received strong subscription but has seen its GMP fall dramatically from earlier levels.
This divergence illustrates why IPO subscription figures and GMP movements need to be viewed separately. High subscription indicates demand during the IPO process, while GMP reflects unofficial secondary-market sentiment and can change significantly before the actual listing.
What Investors Should Watch on Listing Day
The September 23 debut will provide the first official market-based assessment of the three IPOs.
Investors will be watching the opening price relative to the respective issue prices, the volume of trading during the first few hours, institutional participation and whether the stocks sustain their initial gains or premiums.
For SS Retail and Jindal Supreme, the key question will be whether the strong unofficial premiums translate into actual buying interest on the exchanges.
For Hero Motors, attention will centre on whether the negative GMP indication translates into a weak opening or whether actual market demand proves stronger than grey-market sentiment.
Market Outlook
The three listings highlight the contrasting dynamics currently visible in India's primary market. Strong IPO subscription does not necessarily guarantee a strong listing, while grey-market premiums can change rapidly and should not be treated as a reliable prediction of the final exchange price.
SS Retail and Jindal Supreme enter the market with substantial unofficial premiums and exceptionally high subscription numbers, while Hero Motors faces a more cautious pre-listing sentiment after its GMP moved from a significant premium into negative territory.
Beyond the first-day performance, investors may need to focus on the companies' earnings growth, cash flows, debt levels, capital deployment, competitive position and ability to deliver on the objectives outlined in their IPO documents.
The September 23 listings will therefore provide an important test of whether the strong subscription momentum seen during the primary-market process can translate into sustained secondary-market demand.