Lohia Corp IPO Plateaus as GMP Holds at 2%; Subscription Status Reaches Two-Thirds

Lohia Corp IPO Plateaus as GMP Holds at 2%; Subscription Status Reaches Two-Thirds​

The three-day run for the initial public offering (IPO) of Lohia Corp, a manufacturer in the technical textile machinery space, saw moderate investor interest persist. Whilethe grey market premium (GMP) remained relatively subdued, standing steady at around 2%, it signals a mostly flat performance on the secondary unofficial market. This indicates investors are cautiously assessing the listing potential despite significant company operations and financial health.

Subscription Status and Grey Market Dynamics​

The IPO reached a subscription status of 59% by the end of Day 2, against its total offer size of 1.43 crore shares. Retail Individual Investors (RIIs) showed steady appetite, subscribing 1.08 times out of the 25.73 lakh shares allocated to them.

Non-Institutional Investors (NIIs) subscribed at 42% of the 38.59 lakh shares offered in this category. Meanwhile, Qualified Institutional Buyers (QIBs) demonstrated solid institutional backing, subscribing 51% of the 77.19 lakh shares available to them. The GMP suggests an estimated listing price near Rs 432, based on trades premiuming Rs 7 over the upper band of Rs 425, though investors are cautioned that this grey market movement is unofficial.

Understanding Lohia Corp IPO Structure and Timeline​

Lohia Corp launched its maiden public issue to raise a substantial amount of Rs 1,101 crore. The entire fund raising through this process is structured as an Offer for Sale (OFS) of shares, priced between Rs 404 and Rs 425 per share. These proceeds are designated for the selling shareholders, and the company itself will not receive funds from the offering.

The bidding window ran from July 23 to July 27. Share allotments are scheduled for finalization on July 28, with a debut on the NSE and BSE market expected by July 30. Each lot in this IPO consists of 35 shares, requiring a minimum investment of Rs 14,875 at the upper price band.

Financial Health Behind Lohia Corp’s Offering​

Lohia Corp is an established entity, incorporated in 2023, specializing in machinery and equipment critical to technical textile production. The company manufactures essential items for manufacturing polypropylene (PP) and high-density polyethylene (HDPE) woven fabrics and sacks.

Financially, the company showcased significant growth. For the financial year ending March 31, 2026, Lohia Corp reported a net profit of Rs 193 crore. This figure represents a strong 64% year-on-year rise compared to the Rs 118 crore net profit recorded in FY25. Furthermore, revenue from operations saw a healthy jump, increasing by around 25% YoY to reach Rs 1,717 crore in FY26 from Rs 1,377 crore in FY25.

Operational Reach and Key IPO Participants​

As of March 31, 2026, Lohia Corp possessed substantial operational capacity, which includes 240 tape extrusion lines and 13,800 circular looms. The company’s diverse product portfolio covers everything from coating and lamination lines to printing and conversion machines.

The IPO has been managed by Equirus Capital Ltd and Motilal Oswal Investment Advisors Ltd as the book-running lead managers, with MUFG Intime India Pvt. Ltd serving as the registrar for this issue. Prominent promoters participating in the OFS include Raj Kumar Lohia, Gaurav Lohia, Amit Kumar Lohia, and Ritu Lohia, among other selling shareholders who hold significant stakes.