On Day 1, the issue was subscribed only 7% against the 7.97 crore shares on offer. Retail Individual Investors (RIIs) have shown relatively higher interest so far, bidding for around 10% of their allotted portion.
The three-day subscription window, which opened earlier, will close on March 24. The shares are expected to be listed on the BSE and NSE on March 30.
Priced in the range of Rs 163–172 per share, the IPO is entirely an Offer for Sale (OFS) worth Rs 1,842 crore. This means the company itself will not receive any proceeds from the issue.
CMPDI IPO Subscription status:
On the first day of bidding, the IPO saw a muted response overall, with just 7% of the 7.97 crore shares on offer being subscribed, according to BSE data, indicating that investor participation was still in the early stages.
Among investor categories, Retail Individual Investors (RIIs) showed relatively better interest, subscribing to 10% of their allocated 3.18 crore shares, suggesting cautious but visible retail participation.
Non-Institutional Investors (NIIs), which include high-net-worth individuals and corporates, subscribed to only 5% of their 1.36 crore share quota, reflecting limited traction in this segment so far.
Meanwhile, Qualified Institutional Buyers (QIBs), typically seen as key drivers of IPO demand, had not placed any bids on their reserved 1.82 crore shares on Day 1.
CMPDI IPO GMP today
The IPO’s grey market premium (GMP) is hovering around 1%, or about Rs 2 per share over the upper issue price of Rs 172. Based on this, the estimated listing price stands at around Rs 174 per share, suggesting only modest gains on debut.
About the company
CMPDI is a leading mining consultancy firm that provides end-to-end services spanning coal and mineral exploration, mine planning, environmental management, and geomatics. It commands a dominant market share of around 61% in India’s coal and mineral consultancy space and serves as a key partner to Coal India.
On the financial front, the company has delivered strong performance, with revenue reaching Rs 2,178 crore in FY25 and net profit at Rs 667 crore, backed by robust EBITDA margins exceeding 42%.
At the upper end of the price band, the IPO is valued at approximately 18–21 times earnings, which analysts consider reasonable given its strong profitability and asset-light business model.
However, the business remains heavily dependent on Coal India and the broader coal ecosystem, which introduces concentration and sectoral risks.
Should you subscribe?
Brokerage views remain mixed, with a tilt towards selective participation. Arihant Capital has assigned a “Neutral” rating, noting that while CMPDI benefits from a capital-light model and strong margins, its growth outlook is constrained by high dependence on Coal India and long-term energy transition risks.
Swastika Investmart, on the other hand, has recommended “Subscribe” from a short-to medium-term perspective, citing discounted valuation, consistent earnings growth and a debt-free balance sheet, though it flagged concerns around the 100% OFS structure and client concentration.
Overall, the IPO presents a mix of stable cash flows and sector-linked risks. While the modest GMP suggests a controlled listing, institutional interest and earnings visibility could support the stock in the near term.
(Disclaimer: Recommendations, suggestions, views and opinions given by the experts are their own. These do not represent the views of Economic Times)