As of the end of Day 2, the public issue was subscribed to 1.95 times, according to data from the BSE. Investors bid for 72.56 lakh shares against the 37.23 lakh shares available.
In the grey market, the Jaro Education IPO is currently trading at an 11% premium over its issue price, slightly lower than the earlier 13% premium. The IPO is priced in the range of Rs 846 to Rs 890 per share, consisting of a fresh issue of Rs 170 crore and an offer-for-sale worth Rs 280 crore.
Jaro Education IPO Subscription Status
As per official stock exchange data, the IPO was subscribed 1.95 times by the end of Day 2.
Retail Investors: The retail quota was fully subscribed at 2.02 times, with bids placed against the 18.61 lakh shares allocated.
Non-Institutional Investors (NIIs): This category, which includes high-net-worth individuals and others, received 3.49 times subscription for the 7.97 lakh shares on offer.
Qualified Institutional Buyers (QIBs): Institutional investors have bid for 68% of the 10.63 lakh shares allocated to them.
Jaro Education IPO Grey Market Premium (GMP) Today
The IPO is currently commanding a grey market premium (GMP) of approximately 11%, or around Rs 100, indicating strong investor interest and optimism about its listing performance. Based on this, the stock could potentially list at around Rs 990 per share.
Note: The Grey Market Premium (GMP) is an informal indicator of expected listing price and operates outside regulated markets. It can be highly volatile and should be interpreted with caution.
Jaro Education – Key Information
Jaro Education’s initial public offering (IPO) opened for subscription on September 23 and will close on Thursday, September 25. The tentative date for allotment is set for Friday, September 26, with the shares expected to be listed on the stock exchange by Tuesday, September 30.
Company Overview
Founded in 2009, Jaro Institute of Technology Management and Research Limited—commonly known as Jaro Education—is an online education platform specialising in higher education and professional skill development. The company offers a broad selection of online degree programs, including DBA, MBA, M.Com, M.A., PGDM, MCA, M.Sc, B.Com, and BCA. In addition to these degrees, it also provides various multidisciplinary certification courses. As of March 31, 2025, Jaro Education had partnerships with 36 academic institutions to deliver its programs.
Financial Performance
Jaro Education has exhibited robust financial performance in recent years. Its revenue grew from Rs 122 crore in FY23 to Rs 252 crore in FY25, reflecting a compound annual growth rate (CAGR) of 44%. The company’s adjusted profit after tax (PAT) also saw a significant increase—from Rs 11 crore to Rs 52 crore over the same period—achieving a CAGR of 113%. Additionally, its EBITDA margins improved from 19% to 32%, underscoring operational efficiency and scalability. Return metrics have also strengthened, with Return on Equity (RoE) climbing from 14.6% in FY23 to 30% in FY25, and Return on Capital Employed (RoCE) reaching 33.4% in FY25.
Use of IPO Proceeds
Proceeds from the IPO’s fresh issue will primarily be used for marketing and brand promotion, with an allocation of Rs 81 crore. Another Rs 45 crore will go toward debt repayment, while the remaining funds will be used for general corporate purposes. The Jar Education IPO is being managed by Nuvama Wealth Management, Motilal Oswal Investment Advisors, and Systematix Corporate Services. Bigshare Services has been appointed as the registrar. The lot size is 16 shares, with a minimum investment requirement of Rs 14,240.
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Should You Subscribe?
At the upper end of the price band, Jaro Education’s IPO is valued at a price-to-earnings (P/E) ratio of 38.2x based on FY25 earnings. While the valuation may appear stretched, the company holds a leadership position in the rapidly growing online education and upskilling space in India—a sector projected to nearly double by FY28. SBI Securities has issued a recommendation to subscribe for the long term, citing the company’s strong financial growth, scalable business model, and dominant market position.
(Disclaimer: Recommendations, suggestions, views and opinions given by the experts are their own. These do not represent the views of the Economic Times)
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