Lalithaa Jewellery Mart’s IPO of Rs 1,700 crore saw strong investor participation on its last day of bidding, as the offer achieved an overall subscription of 62.97x. The company received bids worth Rs 79,447.84 crore, receiving more than 45 lakh applications.
The Chennai-based firm had fixed its share price band at Rs 190 to Rs 201, with a discount of Rs 19, reserved for eligible employees, to the issue price. Ahead of its opening, the jewellery retailer had raised Rs 508 crore via anchor bidding.
The company’s Qualified Institutional Buyers (QIBs) segment received a steadfast response, being oversubscribed 145.38 times. The IPO’s non-institutional investor (NII) category was oversubscribed 73.90 times.
Healthy interest was seen in the retail portion too, which was oversubscribed 11.81 times, while the employee quota also saw active participation with an oversubscription of 8.55 times.
Overall, the Lalithaa Jewellery Mart IPO received over 395 crore bids against its offer of 6.27 crore shares, equating to an oversubscription of 62.97 times.
In the grey markets, the shares are trading at a premium of 25% to the issue price, suggesting an estimated listing price of Rs 252. This equates to a profit of Rs 51 per share and gains of Rs 3,774 per lot.
However, readers must know that GMP does not guarantee gains, and prices may fluctuate based on market conditions.
The Laithaa Jewellery Mart IPO opened for public subscription on August 17, nd closed its bidding process on August 19. Its share allotment process is likely to be finalised the very next day on August 20, and investors are expected to receive their shares and refunds on August 21.
Lalithaa Jewellery Mart is likely to debut on NSE and BSE on August 24.
The book running lead manager for the issue is Anand Rathi Advisors, and MUFG Intime India is the registrar to the offer.