Barbeque Nation Bounces After Making Tepid Stock Market Debut

0
5

Barbeque Nation Bounces After Making Tepid Stock Market Debut

Barbeque Nation Hospitality bounced back after making a tepid stock market debut.

Shares of casual dining chain operator Barbeque Nation Hospitality bounced back after making a tepid stock market debut. Barbeque Nation Hospitality shares opened for trading at Rs 492 on the BSE and at Rs 489 on the National Stock Exchange against its issue price of Rs 500 per share. However, the shares rebounded soon after opening and rose as much as 18 per cent to hit an intraday high of Rs 590 on the BSE and climbed as much as 17.56 per cent to Rs 587.80 on the National Stock Exchange.

Barbeque Nation Hospitality’s Rs 453-crore IPO was subscribed 5.98 times, according to data available on the stock exchanges. The public issue received bids for 2,99,01,510 shares against 49,99,609 shares on offer. The qualified institutional buyers (QIBs) category was subscribed 5.11 times, non-institutional investors 3.10 times and retail individual investors, 13.13 times.

The initial public offer consisted of a fresh issue of Rs 180 crore and an offer for sale of 54,57,470 equity shares. Ahead of the public issue, the company had raised Rs 203 crore from anchor investors. Barbeque Nation will utilise the IPO proceeds to open new restaurants, repay outstanding borrowings and for general corporate purposes.

IIFL Securities, Axis Capital, Ambit Capital and SBI Capital Markets are the book running lead managers to the public issue of Barbeque Nation Hospitality.

Barbeque Nation Hospitality was incorporated in the year 2006 and is one of the leading casual dining restaurant chains in the country today. It is backed by private equity investor CX Partners and Rakesh Jhunjhunwala’s investment firm Alchemy Capital.

As of 11:48 am, Barbeque Nation shares traded 20 per cent higher at Rs 590, outperforming the Sensex which was up 1.2 per cent.

Source link