Metro Brands IPO Subscribed 27% On Day 1
Billionaire investor Rakesh Jhunjhunwala-backed Metro Brands Ltd.'s initial public offer saw lukewarm investor interest on its first day.
The maiden offer of the footwear retailer comprises a fresh issue of Rs 295 crore and an offer for sale of 2.14 crore equity shares by promoters and other shareholders, according to its red herring prospectus.
The company is estimated to fetch Rs 1,368 crore at the upper end of the price band. The issue will close on Dec. 14.
Promoters—Rafique A Malik, Farah Malik Bhanji, Alisha Rafique Malik, Rafique Malik Family Trust and Aziza Malik Family Trust—hold 68.43% stake in the company, while the promoter group holds 15.57%. After listing, their shareholding will fall to 62.15% and 12.12%, respectively.
Jhunjhunwala, the third-largest shareholder owning 14.73% in the company, isn't diluting any stake.
Subscription Details: Day 1
The IPO was subscribed 0.27 times as of 5 p.m. on Dec. 10.
Institutional investors: 0 times.
Non-institutional investors: 0.02 times.
Retail investors: 0.52 times.