Kross Limited IPO: A Comprehensive Guide

Everything you need to know about the Kross Limited IPO, including key dates, financial highlights, subscription details, and why it's an exciting opportunity for investors.

Updated : 4 months ago

Categories: Finance, IPO, Investment, Kross Limited

Tags: Kross Limited IPO, Kross IPO price, Kross Limited listing date, Kross Limited IPO allotment, Kross Limited subscription status, IPO investment

Kross Limited IPO: Key Dates and Price Band

The Kross Limited IPO is set to open on September 9, 2024, and will close on September 11, 2024. The allotment of shares will take place on September 12, 2024, with the listing date scheduled for September 16, 2024. The price band for the IPO has been set between ₹228 and ₹240 per share, with a lot size of 62 shares.

IPO Issue Size and Structure

The total issue size for the Kross Limited IPO is ₹500 crore, consisting of a fresh issue of ₹250 crore and an Offer For Sale (OFS) of ₹250 crore. The face value of each share is ₹5. The IPO has seen strong interest across investor categories, with an overall subscription of 2.72x. The retail category was particularly strong, with a 4.13x subscription, while Non-Institutional Investors (NIIs) subscribed 3.03x, and Qualified Institutional Buyers (QIBs) subscribed 0.03x.

Grey Market Premium (GMP)

The Grey Market Premium (GMP) for the Kross Limited IPO is currently ₹48, indicating a 20% premium over the listing price. This highlights the strong investor interest and potential listing gains.

Kross Limited Financial Performance

Kross Limited has showcased impressive financial growth over the last two years. In FY2024, the company reported revenue of ₹621.46 crore, up from ₹489.36 crore in FY2023, representing a 27% year-on-year growth. Profits also saw a significant jump, with FY2024 profits at ₹44.88 crore, a 42% increase from ₹30.93 crore in FY2023. This strong performance is indicative of the company’s growth trajectory and its potential for long-term success.

Valuation and Market Cap

At the upper end of the price band, Kross Limited's market capitalization is expected to be around ₹1,548 crore. The company's Pre-IPO Price to Earnings (P/E) ratio stands at 28.91x, slightly higher than the industry average of 24.85x. However, the company’s rapid growth and strong financials make it a solid investment option for investors.

Use of IPO Proceeds

The proceeds from the IPO will be used to fund capital expenditures, including the purchase of machinery and equipment, repayment or prepayment of certain borrowings, and funding working capital requirements. A portion of the funds will also be allocated for general corporate purposes.

How to Apply for the Kross Limited IPO

Investors can apply for the Kross Limited IPO through the ASBA process via their bank or through popular online brokerage platforms like Zerodha, Groww, and Upstox. The minimum investment for retail investors is based on the lot size of 62 shares, which means an investment range between ₹14,136 and ₹14,880 depending on the final price.

Kross Limited IPO: Frequently Asked Questions

When is the Kross Limited IPO opening?
The Kross Limited IPO opens on September 9, 2024, and closes on September 11, 2024.
What is the price band for the Kross Limited IPO?
The price band is set between ₹228 and ₹240 per share.
What is the Grey Market Premium (GMP) for Kross Limited?
The current GMP is ₹48, indicating a 20% premium over the list price.
How much capital is Kross Limited aiming to raise?
The IPO aims to raise ₹500 crore, with ₹250 crore as a fresh issue and ₹250 crore through an Offer For Sale.
What will the proceeds of the IPO be used for?
The funds will be used for capital expenditure, repayment of borrowings, and working capital requirements.
How can I apply for the Kross Limited IPO?
You can apply via the ASBA process through your bank or online platforms like Zerodha, Groww, and Upstox.
What are the expected listing gains?
Based on the current GMP, analysts expect listing gains to be around 20% over the issue price.