Campus Activewear Limited, a sports and athletic wear firm, made an outstanding debut on the stock exchanges on May 9, listing at a premium of 23.28 percent to its issue price of Rs 292 per share.
Even as equity benchmarks traded in the negative, the stock started at Rs 360 on the National Stock Exchange (NSE) and Rs 355 on the Bombay Stock Exchange (BSE).
Given the robust reaction to the initial public offering and the company's strong position in the economy and mid-segment of sports apparel with good management, the stock was predicted to gain roughly 25% upon its initial public offering.
Campus Activewear Limited is India's leading sports and athleisure footwear brand, with integrated production facilities, high brand awareness, and a well-established distribution network.
Brokers advise clients to subscribe to the issue for both listing profits and long-term investment.
The IPO brought around Rs 1,400 crore for the firm. The firm did not receive any money from the offering because it was an offer for sale, with the monies going to the selling shareholders. During the April 26-28 period, the issue was subscribed 51.75 times, with investors of all types participating.
Non-institutional investors submitted bids for 22.25 times their allocated amount, while qualified institutional investors lapped up 152 times their permitted quota.
Retail investors were enrolled 7.68 times, while workers were subscribed 2.11 times. Experts advised investors to exercise caution due to market mood and volatility.
On the BSE, the stock was listed for Rs 355, a premium of 21.57 percent over the issue price. It then increased by 26% to Rs 368. It began trading on the NSE for Rs 360, up 23.28 percent from its issue price.
Last month, Campus Activewear's initial public offer was subscribed 51.75 times. The IPO price range was Rs 278-292 per share. Campus Activewear launched the 'Campus' brand in 2005 and now provides a wide range of products for the entire family.
The Sensex was down 649.77 points, or 1.18 percent, at 54,185.81, while the Nifty was down 185.25 points, or 1.13 percent, at 16,226.00.