Varyaa Creations IPO: Stock makes blockbuster debut, list at 90% premium on BSE SME platform
Upstox
2 min read • Updated: April 30, 2024, 11:13 AM
Summary
Varyaa Creations IPO: Varyaa Creation Limited made an impressive debut on the stock exchanges, with its shares listing at a premium of 90% to the issue price. The jewellery retailer's shares opened at ₹285 apiece on the BSE SME platform, soaring past the issue price of ₹150. Trading activity saw significant volume, with over 1.97 lakh shares traded within the first 15 minutes.
Varyaa Creations IPO: Jewellery retailer Varyaa Creation Limited made a stellar debut on stock exchanges on Tuesday with its shares listing at a premium of 90% to the issue price.
Varyaa Creations shares listed at ₹285 apiece on the BSE SME platform against its issue price of ₹150 per share. More than 1.97 lakh shares of the company traded in the first 15 minutes of open trade.
The turnover was ₹5.63 crore while the market valuation of the company stood at ₹129.69 crore.
After listing, the stock rallied 5% to hit a high of ₹299.25 apiece on the BSE SME platform before paring some of the gains.
At 11.00 AM, Varyaa Creations shares were trading down by 5% from the listing price at ₹270.75. However the stock was up 80% from the issue price.
Varyaa Creations is engaged in the wholesale trading of gold, silver, precious and semi-precious stones. Its portfolio comprises a wide range of jewellery products such as necklaces, earrings tops and rings lab-grown diamonds, and pearls.
Varyaa Creations launched its IPO on April 22 to raise around ₹20 crore from public investors. Varyaa Creations IPO, a fixed price issue, was entirely a fresh issue of 13.4 lakh shares.
The IPO received decent demand from investors as the issue was subscribed 3.64 times at the close of bidding on April 25.
According to exchange data, bids for 46,24,000 equity shares were received against 12.70 lakh shares on offer.
Retail investors placed bids for 38,64,000 equity shares against 635,000 shares set aside for them. Retail portion was booked over 6 times.
Non Institutional Investors placed bids for 7,58,000 shares against 6,35,000 shares on offer. The NII portion was fully booked.
The company has proposed to utilise the IPO proceeds for setting a new showroom, and purchase of inventory for its exclusive brand outlet. The rest of the funds will be earmarked for general corporate purposes.