Vedant Fashions IPO Lists Premium, Closes Holds Gains

Vedant Fashions had a fairly strong listing on 16th February 2022 and listed on the NSE at Rs.935 against the issue price of Rs.866. After opening strong on Wednesday on the bourses, the stock did manage to hold on in positive territory after the listing in the morning with gains.

During the day, the stock surged almost to the 4-figure mark, but could not hold on to the gains. At the end of Day-1, the stock of Vedant Fashions closed at a smart premium to the issue price, despite giving up value from higher levels.

With 2.57 times subscription and with positive action but waning GMP in the grey market, Vedant Fashions was expected to list at par or at a marginal premium at best. However, actual listing was surprisingly much better than originally expected. Here is the Vedant Fashions listing story on both the stock exchanges; the NSE and the BSE on 16th February.

The Vedant Fashions IPO price was fixed at the upper end of the band at Rs.866 which is a tad surprising considering that the issue was subscribed just 2.57 times overall with bulk of the buying interest in the IPO only coming from the QIB investors. The NII portion just about made it through and the retail portion was actually undersubscribed to the extent of 39% only.

The price band for the IPO was Rs.824 to Rs.866. On 16th Feb, the stock of Vedant Fashions listed on the NSE at a price of Rs.935; a robust premium of 7.91%. On the BSE, the stock listed at Rs.936, a listing premium of 8.08% over the issue price. On both the exchanges, the stock did close above the listing price, albeit only marginally.

Check - Vedant Fashions IPO - Subscription Day 3

On the NSE, Vedant Fashions closed on 16th Feb at a price level of Rs.943.05, a first day closing premium of 8.90% on the issue price of Rs.866. However, the closing price of the day represented a mere gain of 0.86% on the listing price. Post listing, the stock of Vedant Fashions rallied much higher but failed to hold on to the sharp gains towards close.

On the BSE, the stock closed at Rs.934.85, a first day closing premium of 7.95% on the issue price, but the stock closed -0.12% below the listing price. On both the exchanges, the stock listed with decent gains, rallied sharply after that but ended the day with marginal gains or just about the listing price. The stock showed a lot of strength on both the exchanges on Wednesday, but could not hold on to gains towards the end of the day.

On Day-1 of listing, Vedant Fashions touched a high of Rs.992.70 on the NSE and a low of Rs.920, losing quite a bit of value from the high point of the day. On Day-1 of listing, the Vedant Fashions stock traded a total of 197.55 lakh shares on NSE amounting to value of Rs.1,874.32 crore. On 16-Feb, Vedant Fashions was the second most active stock in terms of traded value on the National Stock Exchange.

On the BSE, Vedant Fashions touched a high of Rs.993.00 and a low of Rs.921.00. On the BSE, the stock traded a total of 8.21 lakh shares amounting to value of Rs.77.91 crore. On 16-Feb, Vedant Fashions was the fourth most active stock on the BSE in terms of the traded value on the stock exchange.

At the close of Day-1 of listing, Vedant Fashions had a market capitalization of Rs.27,688.32 crore with free-float market cap of Rs.2,495.72 crore. Despite weak market conditions, the stock managed to have a fair listing.

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