LearnWhat is GMP in IPO?
What is GMP in IPO?
Updated 4 Nov 2026 · IPO Radar · tables below update with the live sheet
GMP, or grey market premium, is how much above the issue price people are willing to pay for an IPO's shares before they list. A GMP of ₹30 on a ₹100 issue means the grey market expects the stock to open around ₹130. It is an unofficial, unregulated number: useful as a sentiment gauge, not as a promise.
GMP meaning in plain words
Between the day an IPO's price band is announced and the day it lists, its shares do not trade on NSE or BSE. Dealers in an informal market (mostly in Gujarat and Rajasthan) still quote a price for them. The premium they quote over the top of the price band is the GMP.
SEBI does not recognise or regulate the grey market, the exchanges do not publish GMP, and trades there have no legal protection. Sites like IPO Radar read the GMP that public trackers print and show it so you can see what the informal market thinks — nothing more.
How to calculate expected listing price from GMP
Expected listing price = upper end of the price band + GMP. GMP % = GMP ÷ upper price band × 100.
Example: price band ₹95–₹100, GMP ₹30. Expected listing price ₹130, a +30% premium. If one lot is 150 shares, the grey market is pricing a gain of ₹4,500 on that lot (₹30 × 150) — before tax and charges, and only if you are allotted.
GMP of IPOs open or upcoming right now
The table below is the live median of three public GMP trackers, updated every 30 minutes from 7 AM to midnight IST.
| IPO | GMP | Expected listing | Board |
|---|---|---|---|
| Maxwell Engineering Solutions | +₹75 (+47.47%) | ₹233 | SME |
| HGS (India) | +₹23 (+19.17%) | ₹143 | SME |
| Bombay Coated & Special Steels | +₹9 (+10.98%) | ₹91 | Mainboard |
| Vedant Poly Fabs | +₹6 (+6.38%) | ₹100 | SME |
| Johnsoncab Electricals | +₹7 (+3.50%) | ₹207 | SME |
| Antala Industries | ₹0 (0.00%) | ₹66 | SME |
| Vectras Enprocon | ₹0 (0.00%) | ₹105 | SME |
Live from the IPO GMP sheet. GMP is unofficial; expected listing = top of the band + GMP.
Is GMP accurate?
IPO Radar compares the last GMP before listing with the actual listing price for every Indian IPO since 2023. The direction (gain vs flat or loss) is right most of the time, but the size of the miss is often large, and SME IPOs miss more than mainboard ones.
| IPOs since 2023 | Count | Direction right | Median miss |
|---|---|---|---|
| All IPOs | 1,257 | 76.8% (74–79%) | 7.9 pts |
| Mainboard | 374 | 82.9% (79–86%) | 5.3 pts |
| SME | 883 | 74.3% (71–77%) | 9.9 pts |
Direction right = GMP and listing both pointed to a gain, or both to flat/loss. 95% confidence interval in brackets. Miss = gap between GMP % and listing gain %. Full data.
Kostak and subject to sauda
Two other grey-market quotes show up next to GMP. Kostak is a fixed price paid for your application before allotment, whether or not you get shares. Subject to sauda is a price for the application that is paid only if it is allotted.
Both are side deals with the same lack of protection as GMP. IPO Radar shows the retail subject-to-sauda figure where a tracker prints it, so you can see how much the grey market will pay for a whole application.
What moves GMP
GMP reacts to the same things that move demand for the issue:
- Subscription, especially from QIBs (institutions) and NIIs (high-net-worth investors).
- The stock market: GMPs shrink fast when Nifty falls.
- The issue size and how much of it is an offer for sale by existing holders.
- News on the company, its peers' valuations and the anchor book.
- Thin trading: on small SME issues a handful of quotes can swing the number.
Questions people ask
Is GMP legal in India?
The grey market is unofficial and unregulated; SEBI does not recognise it, and grey-market trades have no legal protection. Reading the published GMP number is not trading in it.
Can GMP be negative?
Yes. A negative GMP means the grey market expects the IPO to list below its issue price. A GMP of zero means it expects a flat listing.
Does a high GMP guarantee listing gains?
No. GMP is an informal quote that changes daily and can collapse before listing. IPO Radar's accuracy data shows the direction is usually right but the listing often lands well away from the GMP figure.
Who sets GMP?
No one sets it officially. It is the price dealers in the informal market quote, and different trackers often print slightly different numbers. IPO Radar shows the median of three public trackers.