Burger King India Ltd. attracted strong investor interest on the first day of its initial public offering.
The issue was subscribed 1.84 times as of 2:00 p.m. on Dec. 2, led by retail investors, according data from Edelweiss Partners. Institutional investors and high net worth individuals, however, have hardly shown any interest in the share sale so far.
Subscription details:
- Institutional investors: 1%
- High net worth individuals: 19%
- Retail investors: 9.83x
Research reports on Burger King India IPO:
- ICICI Direct: Burger King IPO - Investment Rationale
- Nirmal Bang: Burger King IPO - Analyst Meet Takeaway
- Anand Rathi: Burger King IPO - Investment Rationale
- KRChoksey: Burger King IPO Review
- Prabhudas Lilladher: Burger King IPO - A Play For The Long Haul
- Geojit: Burger King IPO - A Fast-Growing Brand In QSR Category
The burger chain operator plans to raise Rs 810 crore through the maiden offer, the price band for which has been fixed at Rs 59-60 apiece, according to its red herring prospectus. The IPO comprises a fresh equity issue worth Rs 450 crore and an offer-for-sale of 6 crore shares by promoter QSR Asia Pte Ltd. worth Rs 360 crore.
According to a statement, the company has raised Rs 364.5 crore by allocating 6.07 crore shares to 55 anchor investors including Fidelity Funds, Government of Singapore, Amansa Holdings Pvt., HDFC Trustee Co. and ICICI Prudential.
The proceeds from the share sale, Burger King said, will be used to repay borrowings and open new stores.
Essential Business Intelligence, Continuous LIVE TV, Sharp Market Insights, Practical Personal Finance Advice and Latest Stories — On NDTV Profit.
