DOMS Industries IPO Day 3 Live Updates: Issue subscribed 22.36 so far, retail booked 53.78x

DOMS Industries IPO subscription status is 22.36 times at 12:15 IST.

DOMS IPO retail investors portion has been subscribed 53.78 times, NII portion is subscribed 42.17 times, and Qualified Institutional Buyers (QIB) portion is booked 1.99 times. The employee portion was subscribed 22.53 times.

DOMS IPO has received bids for 19,76,46,084 shares against 88,37,407 shares on offer, at 12:15 IST, according to data from the BSE.

DOMS Industries IPO subscription status is 21.09 times at 12:00 IST.

DOMS IPO retail investors portion has been subscribed 52.70 times, NII portion is subscribed 39.55 times, and Qualified Institutional Buyers (QIB) portion is booked 1.30 times. The employee portion was subscribed 21.89 times.

DOMS IPO has received bids for 18,63,38,538 shares against 88,37,407 shares on offer, at 12:00 IST, according to data from the BSE.

DOMS Industries IPO subscription status is 20.76 times at 11:45 IST.

DOMS IPO retail investors portion has been subscribed 51.93 times, NII portion is subscribed 38.87 times, and Qualified Institutional Buyers (QIB) portion is booked 1.30 times. The employee portion was subscribed 21.60 times.

DOMS IPO has received bids for 18,34,64,388 shares against 88,37,407 shares on offer, at 11:45 IST, according to data from the BSE.

DOMS Industries IPO subscription status is 20.23 times at 11:30 IST.

DOMS IPO retail investors portion has been subscribed 50.77 times, NII portion is subscribed 37.72 times, and Qualified Institutional Buyers (QIB) portion is booked 1.30 times. The employee portion was subscribed 20.97 times.

DOMS IPO has received bids for 17,87,99,706 shares against 88,37,407 shares on offer, at 11:30 IST, according to data from the BSE.

DOMS Industries IPO subscription status is 19.97 times at 11:15 IST.

DOMS IPO retail investors portion has been subscribed 50.07 times, NII portion is subscribed 37.21 times, and Qualified Institutional Buyers (QIB) portion is booked 1.30 times. The employee portion was subscribed 20.75 times.

DOMS IPO has received bids for 17,64,57,456 shares against 88,37,407 shares on offer, at 11:15 IST, according to data from the BSE.

DOMS Industries IPO subscription status is 19.74 times at 11:00 IST.

DOMS IPO retail investors portion has been subscribed 49.35 times, NII portion is subscribed 36.85 times, and Qualified Institutional Buyers (QIB) portion is booked 1.30 times. The employee portion was subscribed 20.44 times.

DOMS IPO has received bids for 17,44,37,316 shares against 88,37,407 shares on offer, at 11:00 IST, according to data from the BSE.

DOMS Industries IPO subscription status is 19.07 times at 10:45 IST.

DOMS IPO retail investors portion has been subscribed 48.42 times, NII portion is subscribed 35.19 times, and Qualified Institutional Buyers (QIB) portion is booked 1.21 times. The employee portion was subscribed 20.05 times.

DOMS IPO has received bids for 16,85,29,752 shares against 88,37,407 shares on offer, at 10:45 IST, according to data from the BSE.

DOMS Industries IPO subscription status is 18.40 times at 10:30 IST.

DOMS IPO retail investors portion has been subscribed 47.17 times, NII portion is subscribed 33.57 times, and Qualified Institutional Buyers (QIB) portion is booked 1.21 times. The employee portion was subscribed 19.50 times.

DOMS IPO has received bids for 16,26,02,514 shares against 88,37,407 shares on offer, at 10:30 IST, according to data from the BSE.

DOMS Industries IPO subscription status is 16.22 times at 10:09 IST.

DOMS IPO retail investors portion has been subscribed 44.08 times, NII portion is subscribed 27.62 times, and Qualified Institutional Buyers (QIB) portion is booked 1.20 times. The employee portion was subscribed 18.64 times.

DOMS IPO has received bids for 14,33,48,634 shares against 88,37,407 shares on offer, at 10:09 IST, according to data from the BSE.

“Indian stationery and art materials market exported products valued about ₹5,732 crore in FY 23 to major export markets like USA. Many branded players are generating a significant share of their revenue through exports. Key players like DOMS have exported stationery products valued ₹258 crores in FY 23.

Key players in the industry generate a substantial share of their revenues from a single category. For example, players like Hindustan Pencils and Luxor generate ~60% and ~75% respectively of revenue from its largest category. On the other hand, DOMS generated only ~34% of revenue from its largest category in FY23, lowest among its peers, showcasing a de-risked business profile and headroom to grab market share across categories,” explained the company in its RHP.

As per the company’s RHP, upholding and improving the reputation of their brand might necessitate substantial financial outlays and investments in domains like research and development, media and publicity-driven advertising and marketing, and staff development and training.

First, among the many risks, the company faces the risk of product concentration, whereby a sizable portion—60.23 percent, 59.06%, 59.54%, and 62.12% of our Gross Product Sales in Fiscals 2021, 2022, and 2023, as well as the six months that ended on September 30, 2023, respectively—was derived from the sale of our key products. Similarly, a sizable portion—36.99%, 33.35%, 31.66%, and 32.49% of our Gross Product Sales in Fiscals 2021, 2022, and 2023, respectively—is attributable to the sale of “wooden pencils.”

Any drop in the gross product sales of the major products, particularly “wooden pencils,” could have a negative impact on the company’s operations, financial situation, and business results.

Distribution risk is another, as the company’s gross product sales in each of the last three fiscal years and the six months ending September 30, 2023, were largely (more than 70.00%) dependent on the “general trade” distribution network. Ineffective management of their “general trade” distribution network could negatively affect their operations, financial situation, and business.

“At the upper price band of Rs.790, DOMS is available at a P/E of 32x (FY24E annualised), which is appears to be fairly priced. Considering its strong brand recall, wide product range, multi-channel pan India distribution network, emphasis on R&D, brownfield and green field expansions, higher government spending on education & literacy, and rapid business growth, we assign a“Subscribe” rating on a short-term basis,” the brokerage said. 

“DOMS Industries Ltd has a wide product range with strong market positioning of 29% market share in pencils and 30% in instrument boxes with in house manufacturing, innovative driven R&D activities creating value products for the growing kids and young adults. It has improved its market share by 50% from 8% to 12% in FY23 capitalising inorganic growth opportunities through expansions and acquisitions. 

The industry is expected to grow at 13.6% with a higher share of branded players improving by 36% to 43% over the next five years as per leading industry Technopak reports expectations. 

We believe DIL has the widest range of products among its peers, strategic partnership with FILA for product know-how and increasing the exports market share, experienced promoters by a strong professional team are the key investment positives. Therefore we recommend a SUBSCRIBE to the issue,” the brokerage said. 

DOMS Industries IPO has reserved not less than 75% of the shares in the public issue for Qualified Institutional Buyers (QIB), not more than 15% for Non Institutional Investors (NII), and not more than 10% of the offer is reserved for Retail Investors. A discount of ₹75 per equity share is being offered to eligible employees biding in the employee reservation portion.

DOMS Industries IPO received strong response from investors on Thursday, December 14, as the issue was subscribed 16.44 times on the second day of bidding.

DOMS Industries IPO received positive response from retail investors, non-institutional investors (NIIS), and Qualified institutional buyers (QIBs) on day 2. All the three portions were oversubscribed on the second day.

On the second day, the portion reserved for retail investors was subscribed 44.71 times. The portion reserved for NIIs was subscribed 27.38 times. The portion reserved for QIBs was subscribed 1.24 times. The employee portion was subscribed 17.85 times.

DOMS IPO GMP today or grey market premium is +530. This indicates DOMS share price were trading at a premium of ₹530 in the grey market, according to investorgain.com.

Considering the upper end of the IPO price band and the current premium in the grey market, the estimated listing price of DOMS share price is ₹1,320 apiece, which is 67.09% higher than the IPO price of ₹790.

Based on last 14 sessions grey market activities, today IPO GMP points upward and expects a strong listing. The lowest GMP is ₹0, while the highest GMP is ₹530, as per investorgain.com analysts.

‘Grey market premium’ indicates investors’ readiness to pay more than the issue price.