Kanishk Aluminium Shares Slump on Debut, Hit Lower Circuit

Shares of Kanishk Aluminium India Ltd made a disappointing market debut on Wednesday, 4 February 2026, listing sharply below expectations and triggering a lower circuit restriction on the BSE SME exchange.

• The stock was priced at ₹73 per share in its IPO.
• On listing, shares debuted at ₹58.40, representing a 20% discount to the IPO price.
• Heavy selling pressure soon pushed the stock to its 5% lower circuit price of ₹55.48.
• As trading was suspended at the lower circuit level, many investors were effectively sitting on a ~24% paper loss relative to the IPO price.

The weak performance came despite a modest subscription for the issue:

• The ₹29 crore IPO attracted 1.04 times overall subscription.
• Retail investors subscribed at 1.86 times, while non-institutional investors (NIIs) subscribed at just 0.23 times.
• Bidding for the IPO was open from 28 January to 30 January 2026, with allotments finalized on 2 February 2026.
• The entire issue consisted of fresh shares (0.40 crore) with no offer-for-sale component.

Kanishk Aluminium, based in Jodhpur, manufactures aluminium extrusion products for sectors such as electronics, automotive, solar energy, furniture, transport, electrical equipment and architectural applications.

The company plans to use the IPO proceeds for repayment or prepayment of certain borrowings, branding and promotion of its business, and general corporate purposes.

Market watchers noted that the nil grey market premium (GMP) ahead of listing had signaled weak demand, a trend that was confirmed when the stock opened sharply below its issue price and quickly hit the lower circuit.