Riddhi Display Shares Dip 20% on BSE SME Debut
Riddhi Display Equipment faced a lackluster entry into the Indian stock market, listing on the BSE SME at ₹80 per share, a significant 20% decline from its IPO price of ₹100. This disappointing debut has raised eyebrows among investors and analysts alike.
During the three-day bidding period, Riddhi Display garnered a strong interest, achieving an overall subscription of 4.91 times. Retail investors were particularly active, with their bids reaching a staggering 7.95 times the shares available to them. However, the grey market premium (GMP) for the IPO stood at ₹0, indicating a lack of confidence in the stock's performance post-listing.
The IPO opened for subscription from December 8 to December 10, 2025, with allotments finalized on December 11. Shares for successful applicants are expected to be credited to their demat accounts soon after, while refunds for non-allottees are also on the horizon.
The Riddhi Display IPO had a price band of ₹95-100, allowing the company to raise ₹24.68 crore through the issuance of 25 lakh equity shares. This funding aims to support various initiatives, including the development of a new manufacturing unit in Lucknow, Uttar Pradesh, and upgrading existing facilities in Gondal, Gujarat.
Riddhi Display Equipment specializes in manufacturing commercial display solutions, such as display counters and refrigeration equipment, catering to diverse sectors like retail and hospitality. The company's operations are based in a modern facility in Gondal, where experienced engineers ensure quality and efficiency in production.
Despite the strong interest shown during the IPO, the weak listing performance raises questions about investor sentiment in the current market climate. It serves as a reminder of the volatility and unpredictability that can accompany stock market investments.
As the company moves forward, it will be crucial to monitor how it utilizes the funds raised and whether it can regain investor confidence through strategic growth and performance improvements.
