Metro is sponsored by Rakesh Jhunjhunwala.
Metro Brands, backed by billionaire investor Rakesh Jhunjhunwala, will launch on the stock exchanges tomorrow, December 22.
Billionaire investor Rakesh Jhunjhunwala-backed footwear retailer Metro Brands’ shares will debut on the bourses tomorrow on December 22.
They will be listed on both the national stock exchange as well as on the Bombay stock exchange.
The amount reserved for qualified institutional buyers was oversubscribed by 8.49 times. Non-institutional investors bid for 3.02 times the authorised quota, while individual investors offered for 1.13 times the allotted quota.
Rakesh Jhunjhunwala-backed Metro Brands will finalise the share allotment for its IPO today.#MetroBrands #MetroBrandsIPO
Here’s how to check the share allotment status:https://t.co/go64GeclG9
— Moneycontrol (@moneycontrolcom) December 17, 2021
Metro Brands raised 1,367.5 crores from a public offering of 2.73 crore equity shares for 500 rupees each. The offer included a fresh issue of 295 crores and a promoters’ offer for sale of 1,072.5 crores.
Metro Brands shares were trading for 490 on the black market. The grey market is an unofficial platform where trading begins with the publication of price bands and continues until the shares are listed on the stock exchange.
Metro Brands shares were likely to list at a discount of 10-50 per cent to the issue price, according to Aayush Agrawal, the Senior Analyst at Swastika Investment.
“There has been a change in the IPO sentiment amid a slight market decline, and the last two debutants have seen profits booked post-listing. He had stated before the listing that GMP was declining for upcoming IPOs”.
The overall subscription for Metro Brands’ IPO, which was backed by Jhunjhunwala, was 3.6 times the offered size. The component earmarked for qualified institutional buyers (QIBs) was 8.5 times oversubscribed, while the amount reserved for non-institutional investors was three times oversubscribed. The retail investor quota was filled 1.1 times.