Caliber Mining IPO sees 24x subscription on Day 2
Caliber Mining & Logistics' Rs 450 crore public offering has been oversubscribed nearly 24 times, reflecting strong appetite for India's coal logistics sector.
Caliber Mining & Logistics' Rs 450 crore initial public offering drew bids for 23.73 times the shares on offer by the end of its second day. The heavy demand was overwhelmingly led by non-institutional investors, whose portion was subscribed 71.21 times.
Retail investors bid 16.13 times their allocated quota of 39.17 lakh shares. Qualified institutional buyers covered their portion 1.42 times, with Quant Mutual Fund and Helios Small Cap Fund subscribing to 15.33 lakh shares across five schemes.
The offering comprises a fresh issue of 94 lakh equity shares worth Rs 400 crore, alongside an offer for sale of 12 lakh shares worth Rs 50 crore. DAM Capital Advisors is managing the book, while KFin Technologies is acting as registrar.
Unofficial grey market activity suggests a strong debut is already priced in. Shares are commanding a premium of Rs 94, pointing to a potential listing price of around Rs 518. This represents a roughly 22% premium over the IPO's upper price band of Rs 424.
The stark contrast between the 71-fold non-institutional subscription and the more measured institutional uptake highlights a familiar dynamic in Indian primary markets. High-net-worth individuals are aggressively chasing perceived short-term listing gains, a strategy bolstered by the current grey market sentiment.
Founded in 2014, Caliber provides end-to-end coal mining services, including extraction, overburden removal, and rail logistics. Its revenue is heavily tied to state-owned entities, primarily subsidiaries of Coal India such as Western Coalfields and Northern Coalfields.
The company expanded into iron ore logistics in fiscal 2023 and operates across Maharashtra, Chhattisgarh, and Madhya Pradesh. Proceeds from the fresh issue will be split between capital expenditure and balance sheet deleveraging.
Caliber plans to direct Rs 200 crore toward acquiring new machinery to support operational expansion. An additional Rs 175 crore is earmarked for the repayment of existing borrowings. The basis of allotment is expected on July 22, with trading debuts on the NSE and BSE scheduled for July 24, 2026.
