Grey market points to a strong debut for Harsha Engineers shares on Dalal Street

Harsha Engineers International — an Ahmedabad-based precision bearing cage manufacturer — is all set to make a debut on exchanges BSE and NSE on Monday. According to dealers, Harsha Engineers commanded a premium of Rs 170-240 in the grey market —  or an unofficial market for unlisted securities —  since the launch of its IPO, which saw a robust response from investors across categories.

Harsha Engineers International's IPO, to raise up to Rs 755 crore, was open for subscription from September 14 to 16 wherein potential investors could bid for the company's shares in a price band of Rs 314-330 apiece in multiples of 45. The IPO was a combination of fresh issuance of shares worth up to Rs 455 and an offer for sale (OFS) by existing shareholders.

"Harsha Engineers got a voluminous subscription due to its decent prospects and pricing. However, a global sell-off may become a culprit and dent the listing prospects to some extent," Abhay Doshi, Co-Founder of Unlisted Arena — a portal that tracks grey markets and deals in unlisted securities — told CNBCTV18.com.