DOMS IPO subscribed 7 times so far, GMP at 63%
DOMS Industries's initial public offering (IPO) saw an overwhelming response, with subscriptions reaching 6.95 times the issue size. Bids have been placed for 6.13 crore shares, compared to 88.37 lakh shares available. The grey market premium (GMP) skyrocketed to 63% above the IPO price, suggesting a listing price of Rs. 1,290 per share, far above the IPO price of Rs. 790 per share. The issue was fully subscribed within hours on the first day of bidding on Wednesday.
Retail investors and non-institutional investors show high interest
Retail investors showed great enthusiasm, purchasing 23.02 times their allotted share quota. Non-institutional investors also demonstrated strong interest, with their portion being subscribed 9.88 times. However, qualified institutional buyers had a slower start, acquiring only 0.06 times their quota. The price band for the issue is set at Rs. 750-790 per share. Multiple brokerages, such as Choice, Anand Rathi, Mehta Equities, KR Choksey, and StoxBox, have given the issue a 'subscribe' rating.
IPO closes tomorrow
The IPO, which closes on December 15, consists of a fresh issue of 44.3 lakh shares valued at Rs. 350 crore and an offer for sale (OFS) of 1.07 crore shares aggregating to Rs 850 crore. Corporate promoter FILA (Fabbrica Italiana Lapised Affini SpA) will sell Rs. 800 crore worth of shares in the OFS. Promoters Sanjay Mansukhlal Rajani and Ketan Mansukhlal Rajani will each sell Rs. 25 crore worth of shares.
DOMS Industries's business overview
DOMS Industries, established in 2006, is known for designing, developing, manufacturing, and selling a diverse range of stationery and art products in India and over 45 countries. The company sells a wide range of these products under the flagship brand, DOMS, along with other brands and sub-brands including C3, Amariz, and Fixyfix. The company is the second-largest player in India's branded stationery and art products market. DOMS operates 13 manufacturing facilities across Umbergaon, Gujarat, spread over 34 acres.
