Augmont Enterprises’ initial public offering has been subscribed 2.88 times as bidding for the Rs 825 crore issue continues through August 25.
The IPO opened on August 21 with a price band of Rs 750-788 per share, comprising a fresh issue of Rs 620 crore and an offer for sale worth Rs 205 crore.
Non-institutional investors have shown the strongest demand at 4.18 times subscribed, followed by retail investors at 2.94 times and qualified institutional buyers at 1.85 times.
Augmont Enterprises operates an integrated precious metals platform that spans procurement and refining, bullion trading, digital gold, jewellery manufacturing and international sales.
The basis of allotment is expected to be finalised on August 27, with shares credited to successful applicants’ demat accounts by August 28 and listing on the BSE and NSE tentatively set for August 31.
Grey market premium ahead of listing has signalled gains of around 35-36 percent over the issue price, though brokerages have flagged the company’s thin operating margins as a risk for investors to weigh.
The grey market premium ahead of listing has signalled gains of around 35-36 percent over the issue price, with premiums reported in the range of Rs 275-280 per share above the upper band.
Most brokerages tracking the issue have recommended subscribing, citing Augmont’s integrated business model spanning procurement, refining, bullion trading and digital gold, though some flagged thin operating margins of below 0.4 percent and customer concentration as risks.
Founded in October 2012 and based in Mumbai, Augmont Enterprises operates across 24 states in India, alongside international sales and gold-backed financial services.
The IPO’s minimum application lot is 19 shares, meaning a retail investor bidding at the upper price band of Rs 788 would need to invest at least Rs 14,972.
Augmont Enterprises reported a net profit of Rs 348.30 crore in FY26, with total income of Rs 94,282.47 crore, giving the company a market capitalisation of more than Rs 7,200 crore at the upper price band.
Photo by Slav4 (Ariel Palmon), Wikimedia Commons, CC BY-SA 3.0
