Leading brokerages recommended “SUBSCRIBE” to the Cello World IPO highlighting its well-established brand
MUMBAI, Oct 31 (The CONNECT) – With a day to go for The Rs 1900-crore Initial Public Offering of Cello World Limited, the issue was fully subscribed today.
The issue received bids of 3,16,97,427 shares against the offered 2,20,61,947 equity shares, at a price band of ₹617-648, according to the data available on the stock exchanges. Overall, the issue was subscribed 1.44 times.
Non-Institutional Investors Portion was the most subscribed with 4.36 times, the retail segment 1.04 times and Qualified Institutional Buyers just began chipping in. The Employee Portion was subscribed 1.26 times.
Cello World Limited, a leading company in the consumer ware market in India with presence in the consumer houseware, writing instruments and stationery, and moulded furniture and allied products categories, and are amongst the largest brands in the Indian consumer ware market.
On Friday, Cello World Ltd had raised Rs 567 crores from anchor investors. Foreign and Domestic Institutions who participated in the anchor were ICICI Prudential, Motilal Oswal, Goldman Sachs, Nomura, SBI Life Insurance, HDFC life insurance, BNP Paribas, All Spring Global, Morgan Stanley, TATA India Consumer Fund, Quant, CLSA Global, Aditya Birla Sun Life, Edelweiss, Reliance General Insurance, Invesco, Kotak Optimus, Bajaj Alliance and others.
Leading brokerages like Nirmal Bang, SBICAP Securities, Geojit Financial Services, Reliance Securities, Choice Broking, BP Wealth, Hensex Securities, Sushil Finance, Marwadi Shares and Finance, Indsec Securities, AUM Capital, Dalal & Broacha, and Ventura Securities have given a “SUBSCRIBE” rating to the issue, highlighting Cello World's well-established brand, diversified product portfolio, strong financial performance, and growth prospects. The company's ability to cater to a wide range of consumer requirements, maintain a dominant position in the domestic consumer ware market, and leverage a large distribution network to serve diverse customer demands. Additionally, the Company's revenue and profit have shown significant growth in recent years, with a high Return on Capital Employed (ROCE).
Kotak Mahindra Capital Company Limited, ICICI Securities Limited, IIFL Securities Limited, JM Financial Limited and Motilal Oswal Investment Advisors Limited are the book running lead managers and Link Intime India Private Limited is the registrar to the offer. The equity shares are proposed to be listed on BSE and NSE.