Crizac IPO Day 2: Issue booked 2x, GMP rises; check allotment & listing date

The initial public offering (IPO) of Crizac, a Kolkata-based B2B education platform, commenced with significant investor attention, driven by high net-worth individuals (HNIs) and retail participants. The IPO, which began on July 2, saw a 46 per cent subscription on its initial day. Investors can apply for a minimum of 61 shares, priced between Rs 233 and Rs 245 each

According to the data, the investors made bids for 5,01,87,506 equity shares, or 1.94 times, compared to the 2,58,36,909 equity shares offered for the subscription by 2.40 pm on Thursday, July 03, 2025. The bidding for the issue shall conclude on Friday, July 04.

The allocation for retail investors was subscribed 2.17 times, while the portion reserved for non-institutional investors (NIIs) saw a subscription of 3.83 times. However, the quota set aside for qualified institutional bidders (QIBs) saw bids for 12 per cent of ther allocations as of the same time.

Crizac is seeking to raise Rs 860 crore through this IPO, structured entirely as an offer-for-sale (OFS) by the company’s promoters. The firm specialises in providing international student recruitment solutions across key markets such as the UK, Canada, Ireland, Australia, and New Zealand. Equirus Capital is the sole book-running lead manager for the IPO.

Financially, Crizac reported a net profit of Rs 152.92 crore for the fiscal year ending March 31, 2025, up from Rs 118.90 crore the previous year, with revenues increasing from Rs 763.44 crore to Rs 884.78 crore. The company’s market capitalisation stands at Rs 4,287.07 crore. Pre-IPO, Crizac secured Rs 258 crore from anchor investors by allocating 1,05,30,612 equity shares at Rs 245 per share.

The IPO allocation reserves 50% for qualified institutional bidders (QIBs) and 50% for non-institutional investors, while retail investors are allocated 35% of the net offer. The grey market premium (GMP) for Crizac’s shares has increased, indicating a potential listing gain of 15-16% for investors.

Analysts express optimism about Crizac’s IPO, citing the growing demand for its services and the company’s robust financial health as key strengths. However, the IPO’s purely OFS structure and potential geopolitical risks are concerns. Crizac’s cash-rich status and established ties in the education sector enhance its market appeal.

Crizac’s FY25 P/E ratio of 28 times appears fairly priced. The company has built a strong foothold in the international higher education consultancy sector, supported by enduring partnerships with prestigious global institutions, said Geojit Financial Services.

“With strategic plans to expand into the U.S. market and diversify into B2C services, Crizac is well-positioned to drive revenue growth and improve profitability. Therefore, we assign a ‘subscribe’ rating with a medium- to long-term investment perspective,” it added.

The IPO, which opened on July 2, will conclude on an unspecified date. The basis of allotment is expected to be finalised on July 7, with refunds to follow shortly. Investors should see shares credited to their Demat accounts by July 9, which is also the tentative listing date on the BSE and NSE.

Crizac is engaged in assisting students for higher education with global institutions. The company has posted growth in its top and bottom lines for the reported periods, said Bajaj Broking. “Current shaky global situation may have impact on this company’s working,” it added with a ‘subscribe for long-term’ rating.