Vishal Mega Mart IPO to Launch on December 11: Key Details to Know
Vishal Mega Mart Ltd, a prominent supermarket chain, is set to open its Initial Public Offering (IPO) on Wednesday, aiming to raise ₹8,000 crore from the primary market. Here’s a breakdown of everything you need to know about this public issue:
1. IPO Timeline
The Vishal Mega Mart IPO will be open for subscription from December 11 to December 13, 2024, with shares expected to list on the BSE and NSE.
2. Price Band
The IPO price band is set between ₹74 and ₹78 per share, offering potential investors an attractive entry point into the retail sector.
3. Lot Size and Investment
The minimum investment requires buying a lot of 190 shares, amounting to ₹14,820 at the upper price band.
4. Offer Structure
This IPO is a complete offer-for-sale (OFS) involving 102.56 crore equity shares. Proceeds will go to the promoter, Samayat Services LLP, with no direct financial benefit to the company.
5. Allotment and Listing Dates
Allotment of shares is expected to be finalized by December 16, with trading debut slated for December 18 on both major exchanges.
6. Reservation Quota
The IPO reserves 50% for Qualified Institutional Buyers (QIB), 35% for retail investors, and 15% for Non-Institutional Investors (NII).
7. Purpose of IPO
As this is an OFS, the objective is to enable the promoter to monetize their stake. Vishal Mega Mart will not receive any proceeds from this offering.
8. Lead Managers and Registrar
The IPO is managed by Kotak Mahindra Capital, ICICI Securities, Jefferies India, JP Morgan India, and Morgan Stanley. Kfin Technologies serves as the registrar.
9. Grey Market Premium (GMP)
The IPO has garnered strong interest, with the current grey market premium at ₹26 per share. This implies a trading price of ₹104 per share in the grey market, reflecting a 33% premium to the upper price band.
Vishal Mega Mart, a leader in the hypermarket space, offers a mix of private-label and third-party brands catering to diverse consumer needs. Analysts from Swastika Investmart view the IPO as fairly priced and suggest a “Subscribe” rating for high-risk investors looking to tap into the retail sector’s growth potential.
With its strong offline presence and financial stability, the Vishal Mega Mart IPO is poised to attract significant attention from investors.
