Sheela Foam Lists At 18% Premium, Gains Further

Sheela Foam Ltd., makers of Sleepwell brand of mattresses, made its stock market debut at Rs 860 per share on the Bombay Stock Exchange, a 17.8 percent premium over its issue price of Rs 730. It was the 25th company to list on the Indian indices this year.

The initial public offering, aimed at raising Rs 510 crore, was subscribed 5.09 times when subscription closed on December 1. The company had raised Rs 153 crore by allotting shares to anchor investors including HDFC Mutual Fund and SBI Mutual Fund.

The portion set aside for qualified institutional buyers was subscribed 14.51 times, while the non-institutional investors’ quota received a 3.35 times subscription. The quota for retail investors was subscribed only 44 percent, according to data available on the National Stock Exchange.

The stock surged to the 20 percent upper circuit of Rs 1,032 per share at 10:30 a.m.