Regaal Resources IPO GMP Jumps To 21% As Investors Show Strong Interest

Regaal Resources Limited, a Kolkata-based agro-processing company, has opened its Initial Public Offering (IPO) for subscription. The public issue is attracting strong interest from investors. The IPO is open from August 12 to August 14, 2025.

The company has fixed the price band at ₹96 to ₹102 per share. Each share has a face value of ₹5. The minimum lot size is 144 shares. Investors can apply for multiples of this lot. The IPO consists of a fresh issue of ₹210 crore and an offer for sale (OFS) of ₹96 crore. This brings the total issue size to ₹306 crore.

Before the IPO opened, the Grey Market Premium (GMP) was reported at zero. This meant that unofficial market trading of the shares was happening at the issue price. However, after the IPO opened, market sentiment changed quickly. The GMP rose to around ₹20 to ₹23 per share, which is about 21% to 23% above the upper price band of ₹102. This sharp rise shows strong demand among investors.

The company raised ₹91.7 crore from anchor investors ahead of the IPO launch. Anchor allotment was done at ₹102 per share, which includes the premium. The investor interest from the anchor round gave a positive signal to the market.

Regaal Resources operates in the maize-based starch and agro-processing sector. Its main manufacturing facility is in Kishanganj, Bihar. The plant covers around 54 acres and has a crushing capacity of 750 tonnes per day. The company uses zero-liquid discharge systems in production, which reduces environmental impact.

Its product range includes maize starch, high-protein maize gluten, maize germ, maize fiber, custard powder, baking powder, and maize flour. These products are used in industries like food, pharmaceuticals, textiles, and paper. The diversified product portfolio gives the company a stable revenue base.

The financial performance of the company has improved significantly in the last year. For the financial year 2025, the company reported revenue of around ₹915 crore. This is a sharp rise from ₹600 crore in FY2024. Net profit for FY2025 stood at ₹47.67 crore, compared to ₹22.14 crore in FY2024. The return on equity (ROE) is around 20.25%. Earnings per share (EPS) is approximately ₹6.05.

The IPO has a reservation structure with up to 50% for Qualified Institutional Buyers (QIBs), at least 15% for Non-Institutional Investors (NIIs), and at least 35% for retail investors. The shares are proposed to be listed on both the Bombay Stock Exchange (BSE) and National Stock Exchange (NSE). The tentative listing date is August 20, 2025.

The sudden increase in GMP indicates positive market sentiment. However, market experts caution that GMP is an unofficial indicator and can change quickly. It should not be the only factor in investment decisions. Analysts suggest that investors should look at the company’s fundamentals, sector performance, and market conditions before applying.

Regaal Resources has shown strong growth in revenue and profit. Its strategic location in Bihar provides easy access to raw materials and reduces logistics costs. The company also benefits from its wide product range and strong customer base in multiple industries.

With the IPO already showing a strong GMP and investor interest, many market watchers expect a positive listing. The final outcome will depend on subscription levels and broader market trends in the coming days.