Clay Craft India's Rs 110.11-crore NSE SME IPO was subscribed 103.06 times during its three-day bidding period, driven by substantial interest from non-institutional investors and qualified institutional buyers. The shares are set to list today, with investors keenly observing the debut performance.
The non-institutional investor (NII) portion of the IPO was subscribed 153.95 times, while the qualified institutional buyer (QIB) category saw a subscription of 119.19 times. Retail investors also showed strong interest, subscribing to their quota 71.76 times. In total, the IPO received bids for 37.18 crore shares against the 36.08 lakh shares available.
The IPO was entirely a fresh issue of 54.24 lakh equity shares, with the funds primarily allocated for establishing an additional manufacturing facility in Manda, Rajasthan, and for general corporate purposes. Hem Securities served as the book-running lead manager, and KFin Technologies acted as the registrar.
Clay Craft India, founded in 1994, specializes in manufacturing bone china crockery and ceramic tableware, catering to households, hotels, restaurants, and corporate gifting. The company offers approximately 5,770 SKUs across various product categories and employs over 1,390 people.
In FY26, Clay Craft reported a 20% year-on-year increase in total income to Rs 184.57 crore, with profit after tax rising by 30% to Rs 27.01 crore. The company's EBITDA reached Rs 41.96 crore, up from Rs 35.39 crore the previous year, and its net worth improved to Rs 166.06 crore.
Background
The strong subscription levels indicate significant investor confidence in Clay Craft India's growth prospects. However, the SME segment has seen mixed post-listing returns recently, adding an element of uncertainty to the stock's performance.
Despite the robust subscription and positive grey market premium, investors will closely monitor the stock's listing performance amid mixed post-listing returns in the SME segment in recent months.
