Its share opened at Rs 90 on NSE, while at Rs 89.40 on BSE.
It was subscribed 19.71 times in the quota earmarked for retail investors.
This IPO has been successful because of the company’s good hold in South India.
New Delhi. Electronics Mart India IPO has warmed the pockets of investors on listing today. On Monday, 17 October 2022, its stock opened at Rs 90 on NSE, while at Rs 89.40 on BSE. It has opened up 52 per cent above its issue price. Most market experts were anticipating similar listings.
The Rs 500 crore IPO of Electronics Mart India was in the news since its opening and market experts were bullish on it. There was also a good response from the investors. Alam was that it became 71.93 percent subscribed. The quota of non-institutional investors was subscribed 63.59 percent, about 170 percent more than the quota prescribed for qualified institutional investors. 19.71 per cent was subscribed against the share held for retail investors.
The price band for this offer was Rs 56-59 per share.
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Where will the money raised from IPO be used?
The company had told while bringing the IPO that this money would be used for the expansion of the business. This expansion mainly includes work like opening new stores and warehouses, meeting working capital requirements, reducing debt.
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Electronics Mart India has a good hold in South India
According to a news in Moneycontrol, experts are finding the valuation of the company very good and there is a lot of hope for the business to grow in the consumer goods market. Apart from this, this IPO has been successful due to the company’s good hold in South India. Angel Broking, Elara Capital, ICICI Direct, Hem Securities, Choice Broking, IndSec and Nirmal Bang had given subscribe ratings for the issue.
Jehan Bhadha of Nirmal Bang said, “As the 4th largest consumer durables and electronics retailer in India, and a major player in South India, EMI (Electronics Mart India) sets its own pricing and margins. This is great for any company.”
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FIRST PUBLISHED : October 17, 2022, 11:49 IST