The Initial Public Offering of Cello World Limited was subscribed 38% on the first day of bidding. The issue received bids of 82,98,446 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.
Non-Institutional Investors Portion was the most subscribed with 0.94 times, followed by Retail Portion was subscribed 0.35 times and Qualified Institutional Buyer Portion subscribed 0.02 times. whereas Employee Portion with 0.42 times. The issue kicked off for subscription on Monday, October 30, 2023 and will close on Wednesday, November 1, 2023.
A day prior to the opening of the issue, 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, Reliance Securities, Choice Broking, BP Wealth, Hensex Securities, Sushil Finance, Swastika Investmart 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.