The National Stock Exchange's IPO opened for public subscription on September 17, with the Rs 22,568.94-crore issue attracting attention because of its size and long-awaited market debut.

The price band has been fixed at Rs 1,700 to Rs 1,785 per share, with a lot size of eight shares. At the upper end of the price band, the minimum retail investment is Rs 14,280.

The issue is entirely an offer for sale, meaning the money raised will go to existing shareholders rather than the exchange through a fresh issue.

NSE IPO GMP: Rs 140 and what it means

The NSE IPO was being quoted at a grey market premium of around Rs 140 on September 17 in the data cited by the supplied report. Other market reports quoted the GMP slightly higher at around Rs 147, highlighting how quickly unofficial grey-market quotes can change.

At a Rs 140 GMP, the implied grey-market price would be around Rs 1,925 against the upper issue price of Rs 1,785.

However, GMP is not an official market indicator. It reflects activity in the unofficial market and can change before listing. It does not guarantee that NSE shares will list at the implied price.

Hero Motors gets strong day-one response

Hero Motors presents a different picture. Its Rs 1,000-crore IPO was fully subscribed on the first day of bidding, with the issue recording 1.39 times subscription by the close of September 16.

Retail investors accounted for the strongest demand, with their reserved portion subscribed 2.23 times, while the non-institutional investor portion was subscribed 1.25 times. The QIB portion had received bids for about 1% of its reserved shares at that stage.

The Hero Motors IPO remains open until September 18.

GMP vs subscription: Why the numbers are different

The NSE and Hero Motors figures measure different things.

GMP reflects unofficial trading expectations before listing, whereas subscription data records actual bids received during the IPO process. A GMP therefore should not be directly compared with a subscription multiple as though they measure the same form of demand.

The NSE issue has also attracted considerable institutional attention before opening. NSE raised Rs 6,746.18 crore from anchor investors ahead of the public issue, while reports said the anchor book attracted substantial institutional demand.

NSE IPO dates and key details

The NSE IPO will remain open until September 21. The allotment is expected to be finalised on September 22, with listing expected on September 24.

The issue comprises 12.64 crore shares through an offer for sale. NSE has set the price band at Rs 1,700–Rs 1,785 per share.

Hero Motors, meanwhile, opened on September 16 and is scheduled to close on September 18, with listing expected on September 23.

Analysis

The two IPOs highlight why GMP and subscription figures need to be read separately. NSE's reported grey-market premium provides an unofficial indication of pre-listing expectations, while Hero Motors' 1.39-times day-one subscription reflects actual bids placed by investors.

For NSE, the size of the issue, its status as one of India's most prominent market institutions and the large anchor allocation have made it one of the most closely watched IPOs of the year. The exchange's public issue is also entirely an offer for sale, which means the IPO structure differs from a fresh issue that raises new capital for the company.

For investors tracking both issues, the key point is that neither GMP nor early subscription data guarantees the eventual listing performance. GMP is unofficial and can move sharply, while subscription levels can change until bidding closes.

Investors therefore need to distinguish between grey-market expectations, actual subscription demand and the eventual exchange-listed price when assessing these IPOs.