C2C Advanced Systems IPO saw a sharp drop in its GMP on the final subscription day after SEBI directed the company to appoint independent auditors and secure a third-party review of its financials.
The IPO, aiming to raise ₹99.07 crore with a price band of ₹214-226 per share, is set to list on NSE’s Emerge platform. Initially, the GMP on November 24 indicated a premium of over 100% at ₹245, suggesting robust listing gains. However, by November 26, the GMP plummeted to ₹100, reducing the estimated listing gain to around 45%, a decline of 59% in two days.
SEBI’s action followed an investor complaint, prompting the company to address financial concerns. Investors can now withdraw IPO applications until 3 PM on November 28, as announced in a corrigendum to the red herring prospectus.
While the IPO initially drew strong interest, the SEBI directive and GMP crash have raised doubts about its listing on November 29, with potential delays now being speculated.
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