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Asit Manohar

Aether IPO: What GMP signals as focus shifts on share allotment date

Aether IPO IPO GMP today is ₹17, it means grey market is expecting that Aether IPO listing would be around ₹659, believe market observers. (Reuters)

Aether IPO GMP today

As per the market observers, Aether Industries IPO grey market premium (GMP) today is 17, which is 7 up from its yesterday evening's grey market premium of 10. They said that rise in Aether IPO GMP can be attributed to some relief rally in the secondary markets. They said that grey market sentiment may further go northward in regard to the Aether IPO once there is trend reversal on the Dalal Street.

What this GMP mean?

Market observers maintained that GMP is nothing but an expected estimate about the premium one can expect from the IPO. As Aether IPO GMP today is 17, it means grey market is expecting that Aether IPO listing would be around 659 ( 642 + 17), which is at par with the price band of the public issue.

So, grey market is signaling that the IPO may have a positive3 but at par listing.

However, stock market experts said that GMP is not an ideal indicator about the listing premium of an IPO. They advised investors to stick with the basics and suggested them top go through the balance sheet of the company as it gives concrete idea about the financials of the company.

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