Highway Infrastructure IPO: Strong Subscription, Healthy Grey Market Premium, and Listing Day Expectations

Highway Infrastructure's Rs 130 crore IPO has been subscribed 316.64 times, with a retail portion booked 164.48 times and a non-institutional investor category subscribed 473.10 times. The IPO proceeds will fund working capital requirements and general corporate purposes. The company operates in tollway collection, EPC projects, and real estate development, with a revenue of Rs 504.48 crore in FY25 and a net profit of Rs 22.40 crore.

Highway Infrastructure's initial public offering (IPO) has garnered significant attention, with the subscription status indicating robust investor interest. The company's IPO, valued at Rs 130 crore, was subscribed 316.64 times, demonstrating an overwhelming response from the market. The retail portion was booked 164.48 times, while the non-institutional investor category was subscribed 473.10 times, highlighting the strong demand from both retail and non-institutional investors.

The IPO proceeds will be utilized for working capital requirements and general corporate purposes, aligning with the company's strategic goals. Highway Infrastructure operates in tollway collection, engineering, procurement, and construction (EPC) projects, and real estate development. The company reported a revenue of Rs 504.48 crore in FY25 and a net profit of Rs 22.40 crore, reflecting its strong financial performance.

This IPO subscription trend is part of a broader shift in India's IPO market, where industrials and consumer discretionary businesses are leading the charge. According to data from NDTV Profit, the industrial sector has seen nine IPOs, while consumer discretionary businesses have launched seven, marking a departure from the previous dominance of financial services and IT sectors [2].

The strong performance of the industrial sector is evident in its earnings, with only 5 out of 28 companies missing expectations in the second quarter. Companies like CNH Industrial and ITT reported earnings beats, while Deere & Company is expected to post quarterly earnings of $4.62 per share [3].

In summary, Highway Infrastructure's IPO subscription status and the broader shift in India's IPO market indicate growing investor interest in industrials and consumer discretionary businesses. This trend signals a significant change in the sectoral dominance of the Indian IPO market.

References:
[1] https://www.business-standard.com/markets/news/highway-infrastructure-ipo-fully-booked-subscription-rises-19x-gmp-at-57-125080500706_1.html
[2] https://www.ainvest.com/news/india-ipo-market-sees-shift-sectoral-dominance-industrials-consumer-discretionary-leading-charge-2025-2508/
[3] https://www.ainvest.com/news/industrial-sector-earnings-beat-expectations-5-misses-2508-66/