Bazaar Style Retail IPO subscribed 40.63 times on last day; QIBs steal the show; check subscription, GMP, other details

Bazaar Style Retail initial public offerings (IPO) was subscribed over 40.63 times on the final day of bidding. The Rekha Jhunjhunwala-backed company's IPO had opened for subscription on August 30 and closed on September 3.

According to data available on NSE, the offer received bids for 61.07 crore shares, significantly exceeding the 1.50 crore shares available.

The Qualified Institutional Buyers (QIBs) segment was oversubscribed by 81.83 times, while the non-institutional investor category received 59.41 times more subscriptions. The Retail Individual Investors (RIIs) portion was subscribed 9.07 times.

On the second day of bidding, the IPO was subscribed only 4.64 times. Investors placed bids for 6.97 crore shares, far exceeding the 1.5 crore shares available.

Non-institutional investors (NIIs) showed the most significant interest, oversubscribing their allocated portion of the IPO by 11.62 times. Retail investors subscribed at 3.75 times their designated quota, while the Qualified Institutional Buyers (QIB) category had a subscription rate of 0.84 times. The employee segment was especially remarkable, with a subscription rate of 20.48 times, on September 2.

Bazaar Style Retail IPO details

The IPO consists of a fresh equity share issue amounting to ₹148 crore, along with an offer for sale (OFS) of up to 1.76 crore shares valued at ₹687 crore (based on the upper price band) by the promoter group entities and other selling shareholders.

The price range for the offer is set between ₹370 and ₹389 per share.

Proceeds from the fresh issue, with ₹146 crore allocated for debt repayment, while the remaining funds will be utilized for general corporate purposes.

The book running lead managers for the Baazar Style Retail IPO are Axis Capital Ltd, Intensive Fiscal Services Private Ltd, and JM Financial Ltd. The registrar for the issue is Link Intime India Private Ltd.

Founded in June 2013, Bazaar Style Retail Ltd is a fashion retailer based in West Bengal and Odisha. The company provides a diverse selection of clothing for all genders and age groups, as well as essential household items and non-apparel products.

Bazaar Style Retail GMP

The shares of Bazaar Style Retail is trading at a premium of ₹53 in the grey market premium (GMP). The GMP of Bazaar Style Retail saw a decline from ₹65 on Monday to ₹53 on Tuesday.

Based on the upper end of the IPO price range and the current grey market premium, the estimated listing price for Baazar Style Retail shares is anticipated to be ₹442 each, representing a 13.62% increase from the IPO price of ₹389.

'Grey market premium' indicates investors' readiness to pay more than the issue price.