Vishal Mega Mart IPO Day 2: Issue subscribed 1.14 times
Vishal Mega Mart saw strong demand on the second day of the issue as the subscription rate of its initial public offer (IPO) climbed to 1.14 times. The issue was subscribed 51% on the first day with interest from non-institutional investors coming in strong.
Vishal Mega Mart IPO: Issue Details
The company’s IPO is a book-built issue of ₹8,000 crore and comprises only an offer-for-sale of 102.56 crore equity shares. The issue opened for subscription on December 11, 2024 and will conclude on December 13, 2024. Following the conclusion of the subscription period, the basis of allotment for the Vishal Mega Mart IPO is expected to be finalised on December 16, 2024. Shares of the company will tentatively list on the stock exchanges on December 18, 2024.
Vishal Mega Mart: Subscription Details
(December 12, 2024, 3:00 p.m.)
Vishal Mega Mart’s IPO was off to a positive start as the issue reeled in strong demand with the issue’s subscription rate coming in at 0.51 times on the first day. On the second day, the issue saw a rise in demand from retail investors while the demand from non-institutional investors remained solid.
On the second day, the portion for qualified institutional buyers (QIBs) was subscribed 0.27 times with bids for 5.88 crore shares against 21.62 crore shares on offer. The company has set aside 16.21 crore shares for the non-institutional investors (NIIs) segment. The portion was booked 2.69 times with bids for 43.66 crore shares.
The retail investor segment witnessed an uptick in demand on the second day as the portion was booked a total of 0.97 times. The company has set aside 37.83 crore shares for retail investors and has received bids for 36.69 crore shares.
The issue was booked 1.14 times with bids for 86.24 crore shares against 75.67 crore shares on offer.
Vishal Mega Mart IPO: Price Band and Lot Size
The lot size for the Vishal Mega Mart IPO is set at 190 shares. The issue’s price band is set at ₹74-₹78 per share. To apply to the Vishal Mega Mart IPO, one will have to make a minimum investment of ₹14,820. The minimum lot size for small non-institutional investors and big non-institutional investors has been set at 14 lots and 68 lots, respectively.
About Vishal Mega Mart
Vishal Mega Mart is a hypermarket chain that offers various products such as home essentials, groceries, electronics, and clothing. As of September 30, 2024, the company had a pan-India presence with a network of 645 stores.
Since the issue is an offer-for-sale, the proceeds from the IPO will go to the promoter entity. Samayat Services and Kedaara Capital Fund II are the promoters of the company. After the issue, their shareholding will come down from 96.46% to 76.02%.
For the quarter ended September 30, 2024, Vishal Mega Mart reported a revenue of ₹5,053 crore. The company’s net profit for the quarter came in at ₹254.14 crore.