Apex Frozen Foods shares close 20% higher on stock market debut
Mumbai: After making a strong debut on stock exchanges, shares of Shrimp exporter Apex Frozen Foods closed at 20% upper circuit, at Rs209.85 a piece, on Monday on BSE.
The firm which deals in aquaculture products was listed on the BSE at Rs199.90, up 14.2% from its issue price of Rs175 per share.
In contrast, the markets are wobbly with both Sensex and Nifty losing 1% following weakness in global markets as North Korea tested hydrogen bomb.
The IPO in the price band of Rs171-175 was subscribed more than six times. The company aims to raise up to Rs152 crore.
The offer which was open for public subscription from 22-25 August had already raised over Rs43 crore from anchor investors.
The issue comprised of fresh issue of 72.5 lakh shares and an offer for sale of 14.5 lakh shares by promoters Karuturi Satyanarayana Murthy (7.25 lakh shares) and Karuturi Padmavathi (7.25 lakh shares).Karuturi Satyanarayana Murthy, chairman of the company, will sell 1.45 million shares in an offer for sale.
Proceeds from the issue will be utilised towards setting up a new shrimp processing unit with a capacity of 20,000 tonnes per annum in Andhra Pradesh and for general corporate purposes.
Established in 1997, Apex Frozen, is an integrated producer and exporter of shelf stable and ready-to-cook products to a diversified customer base consisting of food companies, retail chains, restaurants, club stores and distributors across the US, UK and European countries.
The company sells aquaculture products under three brands, namely, Bay Fresh, Bay Harvest and Bay Premium.