three days Initial Public Offering (IPO) Vedanta Fashion Ltd, which owns ethnic wear brand Manyavar, opened on February 4 and was subscribed 14% on the first day of subscriptions on Friday. The price range for the offer is 824-866 per share and the issue will end on February 8.
The Retail Individual Investors (RII) category received 22% subscription, while the Qualified Institutional Buyers (QIBs) quota was subscribed 6%. BSE data shows that non-institutional investors also got 6% subscription.
Initial share sale is purely an offer for sale of 3,63,64,838 equity shares by the promoters and existing shareholders. Meanwhile, the company has achieved 945 crore from anchor investors ahead of its offering. At the upper end of the price band, the public issue is expected 3,149 crore.
According to market observers, Vedanta Fashion shares are up at a premium (GMP) 16 in the gray market today. The company’s shares are expected to be listed on the stock exchanges NSE and BSE on February 16, 2022.
The ‘Manyavar’ brand of Vedanta Fashions is a category leader in the branded Indian Wedding and Celebration Wear market with a pan India presence. The company’s other brands include Tvmev, Manthan, Mohe and Mebaaz.
“VFL has a strong balance sheet with no debt and an asset light model. Keeping these positives in mind, we recommend “Subscribe for Long Term Benefits”, KR Choksi said in an IPO note.
As of September 2021, the company has an extensive retail network with 546 exclusive brand outlets (EBOs), including 58 shop-in-shops globally, including 11 overseas EBOs in the United States, Canada and the United Arab Emirates. Huh.
Brokerage firm Religare Broking said in a note, “Given its leadership position in the Indian celebration wear market, Vedanta is well positioned to benefit from rising industry trends. Though the valuations appear elevated, the company’s long-term growth is The prospects remain promising.”
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