IPO Grey Market Premium and Discussion

IPO Grey Market Premium and Discussion

Stay updated with the latest details of IPO Grey Market Premium (GMP). Although IPO grey market (also called gray market) is an informal setup and not recognized by stock exchanges, GMP of several IPOs has correctly predicted eventual listing prices.
Here are the latest IPO grey market premium rates.
IPO CompanyIPO DatePrice BandGMPKostak
Aakash Exploration Services17 - 19 AprINR56 - INR4,000*
Mahickra Chemicals16 - 18 AprINR24 - 25 - INR9,000*
Bombay Super Hybrid Seeds12 - 17 AprINR60 - INR7,000*

* represents kostak for firm allotment

A gray market transaction involves the unofficial agreement between an IPO investor and a stock broker which allows investors to lock profits before the stock lists. Under this system, shares allotted to IPO applications are sold by brokers without transferring the shares to their accounts. Since this is an unwritten accord between two parties, it entirely depends on the trust between the investor and broker.

Important points about IPO grey market: 

  • IPO grey market movements may change very quickly and rates may be volatile. It is risky to base an investment decision on gray market IPO rates. Please refer to our research and analysis section.
  • IPO grey market premium rates are provided as sourced from market intelligence. Please note these rates may be different depending on geographies and markets.
  • We don’t trade into grey market nor do we facilitate buying or selling of IPO forms. 
  • Grey market premium is the rate of premium an IPO commands per share in grey market.
  • Kostak rate is the amount an investor gets by selling his/her IPO application in grey market. This is the amount an investor stands to gain, irrespective of allotment status.
IPO Central is simply the best IPO research, recommendation and discussion platform for retail and HNI investors. Investors can also make use of our service for gaining an insight into brokerage house reports and analysts’ minds. Get detailed examination, grey market premium, and study of all upcoming IPOs in India.
Participate in lively IPO discussion and benefit from the perspective of other readers. Here is a list of the current, forthcoming and recently closed public offers in India. Click on the respective IPO and scroll down to the comments section.

IPO Calendar

IPO CompanyIPO DatePrice Band per share
Lemon Tree Hotels26 - 28 Mar INR54 - 56
ICICI Securities22 - 26 Mar INR519 - 520
Mishra Dhatu Nigam21 - 23 Mar INR87 - 90
Sandhar Technologies19 - 21 Mar INR327 - 332
Indo US Bio-Tech30 Apr - 3 MayINR51
SoftTech Engineers27 Apr - 3 MayINR78 - 80
Akshar Spintex27 Apr - 3 MayINR40
Godha Cabcon27 Apr - 3 MayINR30 - 33
Dr Lalchandani Labs25 - 27 AprINR30
Aakash Exploration Services17 - 19 AprINR56
Mahickra Chemicals16 - 18 AprINR24 - 25
Bombay Super Hybrid Seeds12 - 17 AprINR60
Garv Industries12 - 17 AprINR10

If you spot a new IPO and wish to nudge us about it, drop in a comment. Alternatively, you can write to us at [email protected].

22 COMMENTS

  1. Dear Sir/Madam,

    I hope you are having a good day. I am Raju Modhavadiya, a Retail Investor from Rajkot. I have done 2 application (600 shares x 2) for MMP Industries SME IPO with cut off price from my and my wife’s demat accounts.

    Now there were 1496250 shares for retail investor segment. For this segment, 726000 shares bid came with cut off price (i.e. Rs.188/-) and 1042200 shares bid came with price bids (i.e. Rs.186/- & Rs.187/-).

    According to my knowledge, if there is not 100% subscription with cut off price, all cut off price bidders should get allocation of shares and in this case, for MMP industries SME IPO, retail segment quota was not fully subscribed with cut off price according to information available from NSE website. Still there was no allocation of shares in both accounts.

    Please clarify on this.

    Thanks
    Raju A Modhavadiya

  2. Good listing for Amber but nowhere close to the fake GMP many websites were claiming. IPOcentral was the closet to the actual listing price.

  3. Tum log duniya ke pichhe rah jaoge.kyuki ipo ka gmp apne date to date update nai kar rahe ho.apse investor ka vishvas tutega.

  4. when kostak application is sold to broker ,how settlement takes place in case of allotment.Does it off market or applicant sells the allotted share in exchange and then settled? If that be the case who bear the tax burden?

  5. when kostak application is sold to broker how it is settled? Is it off market or applicant sells on exchange and then settlement takes place.

    • “Kostak rate is the amount an investor gets by selling his/her IPO application in grey market. This is the amount an investor stands to gain, irrespective of allotment status.”

      It is mentioned in the article! Please see below the table. In short, you will need a broker who will buy your application and sell it to a wealthy HNI.

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