Adani Wilmar created a tepid market on February 8, with shares listed at 3.91% discounted on the release rate. The company offered its shares at Rs 218-Rs 230. Most analysts expected the stock to be rated at a premium of 15% to 20% of the IPO value.
Sensex, which opened 178 points above 57,799, dropped by 324 to 57,296 at 10:54 am yesterday. Nifty also dropped by 140 points to 17,073 after opening 66 issues to 17,279.
The Indian equity market was trading for the fourth consecutive day, which affected the listing of the Adani Group firm. Adani Wilmar created a silent market for the first time, stock list at a 4% discount
Adani Wilmar’s IPO was 17.7 times registered on January 31. The retail segment received bids 3.92 times more than the share. Those who were not allocated shares during the IPO can buy them in the secondary market on February 8.
Earlier, the stock of Adani Wilmar was listed on BSE and NSE discount at a 3.91% discount rate. Shares of Adani Group made its first market share on BSE at Rs 221. The IPO release price is Rs 230.
The company offered its shares at Rs 218-230. The market value of the firm is Rs 28,722 crore. A total of 3.19 lakh shares of the company have turned into a profit of Rs 7.03 crore on the BSE.
On the NSE, shares in the Rs 227 range lost 1.30 percent to offset prices. The market capitalization of the company increased to Rs 29,502 crore. A total of 2.20 billion shares of the firm have changed hands on NSE in a profit of Rs 500.19 crore.
Adani Wilmar’s shares rose more than 16 percent when they started trading on Tuesday. The stock ended at Rs 267.4 and rose by Rs 37.4 above the target price of Rs 230. It dropped below the issuance level to affect the minimum value of Rs 227. Stocks traded at Rs 3,397 crore on the NSE and another Rs 191 crore on BSE.
The company has increased Rs 3,600 crore into new investments, planted new crops, eliminated debt, and made strategic purchases through the IPO. Market players say the first day’s performance is encouraging, given the volatile market situation. The company had to lower its IPO to suit market conditions. It was previously intended to raise Rs 4,500 crore.
Adani sells her products under the Wilmer Fortune brand, which provides cooking oil, wheat flour, rice, pulses, sugar, and other food products.
Swastika Investmart’s head of research, Santosh Meena, said Adani Wilmar started against expectations due to a market downturn.
“Those who apply for the list could end up losing Rs 200, and long-term investors should keep it. New investors can see buying opportunities even in the first weakness. “
The day before it was listed, the Gautam Adani-led company was trading at a high price of Rs 22-25 in the informal market, only 10 percent more than its release price. Previously there was a premium of Rs 100 on this issue.
“It is available at a fair value compared to its peers. With the current market value, long-term investors can add to the portfolio,” said Akhil Rathi, Vice President, Advisory, Marwari Shares & Finance.
He added that Adani Wilmar Limited is in an excellent position to achieve the expected growth in the industry due to its superb product mix, established brand name, strong distribution network, diverse customer base, and guaranteed financial performance.
In FY21, Adani Wilmar reported a surplus profit of Rs 728 crore of revenue of Rs 37,090 crore.
Currently, the company’s value is estimated at Rs 34,500 crore. After the IPO, promotional shares in the company dropped from 100 percent to 87.92 percent
Edited By- Subbuthai padma
Published By- Bharat Anand
