Vishal Mega Mart IPO Listing Live: Stock Surges, Debuts with a 33% Premium to Issue Price
Vishal Mega Mart Stock Market Debut: A Milestone IPO Event
Vishal Mega Mart, a leading supermarket chain with a nationwide presence, is set to make its highly anticipated stock market debut this Wednesday. The ₹8,000 crore Initial Public Offering (IPO) witnessed overwhelming investor interest, with an impressive subscription rate of over 27 times. During the three-day subscription period, bids totaling more than ₹1.6 lakh crore were placed, showcasing the strong market confidence in the brand.
Vishal Mega Mart IPO Debut: Stock Surges Over 37% Amid Strong Demand
Vishal Mega Mart, a leading supermarket chain, made an impressive stock market debut on Wednesday, opening at a 33% premium to its IPO price of ₹79. The stock has since continued its upward trajectory, currently trading over 37% higher.
The ₹8,000 crore IPO witnessed overwhelming interest, with a subscription rate exceeding 27 times and investors bidding for over ₹1.6 lakh crore during the three-day offering. Demand was primarily driven by Qualified Institutional Buyers (QIBs), who subscribed to 80.75 times the shares allocated to them. Non-Institutional Investors (NIIs) subscribed 14.24 times their quota, while retail investors accounted for 2.31 times subscription.
Market reports suggest a Grey Market Premium (GMP) of ₹19, indicating a potential listing price of ₹97 per share, compared to the issue price of ₹79. However, it’s important to note that GMP is speculative and may not reflect the actual listing price.
Stay updated for more insights on Vishal Mega Mart’s market performance and investor trends.
Time: Dec 18, 2024 10:25 AM IST
Vishal Mega Mart IPO Listing Updates: Stock Soars 37% Above Issue Price
Shares of Vishal Mega Mart continue to rally after their market debut, reflecting strong investor interest.
Currently trading at ₹107, the stock has surged 37% from its IPO price of ₹79. With this impressive performance, Vishal Mega Mart’s market capitalization is nearing ₹50,000 crore. The company is now trading at a price-to-earnings (P/E) ratio exceeding 70x based on projected financial year 2026 earnings.
Stay tuned for more updates on Vishal Mega Mart’s IPO success story!
Vishal Mega Mart IPO Listing Live: Shares Expected to Debut with Strong Gains
The much-anticipated IPO of Vishal Mega Mart is set to make a strong debut in the market. The pre-market price discovery suggests an opening price of ₹110 per share, reflecting a significant 39% premium over its IPO price of ₹79 per share.
Ahead of the listing, the Grey Market Premium (GMP) stood at ₹19, hinting at an estimated listing price of ₹98 per share, further signaling robust investor demand.
Vishal Mega Mart IPO Listing: Quick Commerce Expansion Gains Momentum
Vishal Mega Mart is actively expanding its quick commerce operations, delivering within a 7-10 km radius of its stores. With services now available in 375 cities, the company is encouraged by the strong early response to this innovative approach.
Vishal Mega Mart IPO Listing Live: Key Insights from the Management’s CNBC-TV18 Interview
- Expansion Plans: The company aims to open 80-100 new stores every year, signaling robust growth potential.
- Gross Margins: Management remains confident in maintaining healthy gross margins around 28%, ensuring sustainable profitability.
- Profitability Outlook: With operating leverage in play, Vishal Mega Mart anticipates stronger growth in EBITDA and PAT, boosting investor confidence.
Vishal Mega Mart IPO Listing Live: Key Business Goals Unveiled
- Nationwide Expansion: Aiming to increase the store count across India.
- Operational Excellence: Focused on enhancing cost efficiency across all operations.
Vishal Mega Mart IPO Listing Live: Key Financial Highlights and Projections
- Growth of Own Brands: Vishal Mega Mart reported a significant contribution from its private-label brands, reaching 72.86% as of September 2024, up from 70.2% in FY22. Revenue from these brands has demonstrated impressive growth, with a compound annual growth rate (CAGR) of 27.72% between FY22 and FY24.
Potential Listing Prices and Valuation Scenarios
- Listing at ₹120: Market capitalization at ₹54,105 crore; valued at 85x FY26 price-to-earnings (P/E).
- Listing at ₹140: Market capitalization at ₹63,122 crore; valued at 99x FY26 P/E.
- Listing at ₹150: Market capitalization at ₹67,631 crore; valued at 106x FY26 P/E.
- Listing at ₹160: Market capitalization at ₹72,140 crore; valued at 113x FY26 P/E.
For lower listing prices:
- Listing at ₹78: Market capitalization at ₹35,168 crore; valued at 55x FY26 P/E.
- Listing at ₹90: Market capitalization at ₹40,578 crore; valued at 63x FY26 P/E.
- Listing at ₹100: Market capitalization at ₹45,087 crore; valued at 70x FY26 P/E.
These projections, provided by CNBC-TV18’s Mangalam Maloo, offer insights into potential market responses.
Reasons Behind the OFS
The company opted for an offer for sale (OFS) as there is no immediate requirement for external funding. With ₹700 crore in cash reserves and zero external debt, the management stated that private equity investors, owning 98% of the company, will dilute their stake through this IPO.
Vishal Mega Mart IPO Listing Live: Key Highlights and Category-Wise Subscription Details
The Vishal Mega Mart IPO received robust demand, particularly from institutional investors, who spearheaded the bidding process. The reserved portion for this category was oversubscribed by a staggering 80.75 times, with 50% of the total issue allocated to them.
The non-institutional investor category also saw significant interest, with their reserved portion subscribed 14.24 times. Meanwhile, retail investors contributed to a full subscription of their segment, achieving a 2.31 times subscription rate.
Latest Updates
December 18, 2024, 5:50 AM IST – Strong Bidding Activity
Vishal Mega Mart’s IPO attracted bids for a massive 2,064 crore shares, surpassing the 75.67 crore shares on offer, achieving an overall subscription rate of 27.28 times. Investors collectively placed bids worth ₹1.6 lakh crore, significantly exceeding the ₹8,000 crore issue size.
December 18, 2024, 5:19 AM IST – IPO Details
The ₹8,000 crore IPO was structured as a pure Offer For Sale (OFS), enabling existing shareholders to offload their shares. The company itself did not receive any proceeds from the IPO. The price band for the IPO was set between ₹74 and ₹78 per share.
December 18, 2024, 5:03 AM IST – Premium Listing Expected
The IPO has seen overwhelming demand, indicating the likelihood of a strong premium listing. Stay tuned to this space for live updates on Vishal Mega Mart’s market debut.
Why This IPO is Trending
The Vishal Mega Mart IPO has gained attention due to its strong investor demand and healthy subscription rates across all categories. The oversubscription and potential premium listing highlight investor confidence in the company’s growth prospects.
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