Active Stocks
Wed May 29 2024 15:50:35
  1. State Bank Of India share price
  2. 822.95 -0.96%
  1. Tata Steel share price
  2. 174.20 -0.37%
  1. HDFC Bank share price
  2. 1,507.85 -1.48%
  1. Power Grid Corporation Of India share price
  2. 317.55 1.52%
  1. ITC share price
  2. 430.80 0.44%
Business News/ Markets / Ipo/  Honasa Consumer IPO: GMP, subscription status, other details. Should you apply for Mamaearth parent’s public offer?
BackBack

Honasa Consumer IPO: GMP, subscription status, other details. Should you apply for Mamaearth parent’s public offer?

Mamaearth IPO GMP today: Shares of the company are available at a premium of ₹10 in grey market today

Mamaearth IPO subscription date: Honasa Consumer IPO has opened today and it will remain open till 2nd November 2023. (REUTERS)Premium
Mamaearth IPO subscription date: Honasa Consumer IPO has opened today and it will remain open till 2nd November 2023. (REUTERS)

Mamaearth IPO: The Initial Public Offering (IPO) of Honasa Consumer Limited popularly known as Mamaearth has hit primary market today. Mamaearth IPO will remain open for bidding till 2nd November 2023. Honasa Consumer Limited has fixed Mamaearth IPO price at 308 to 324 per equity share. The book build issue is proposed for listing on BSE and NSE. According to market observers, shares of Honasa Consumer Limited are available for trade in unlisted market. They said that shares of the Honasa Consumer Limited are available at a premium of 10 in grey market today.

Honasa Consumer IPO subscription status

On day one of bidding, Mamaearth IPO has been subscribed 0.13 times whereas its retail portion has been subscribed 0.34 times. The issue has been subscribed 0.03 times in NII segment.

Important Mamaearth IPO details

Here we list out important Honasa Consumer IPO details:

1] Mamaearth IPO GMP: Shares of the Honasa Consumer Limited are available at a premium of 10 in grey market today.

2] Mamaearth IPO price: Honasa Consumer Limited has fixed price band of the public issue at 308 to 324 per equity share.

3] Mamaearth IPO subscription date: Honasa Consumer IPO has opened today and it will remain open till 2nd November 2023.

4] Mamaearth IPO size: Promoters of the company aims to raise 1,701 crore from their public offer.

5] Mamaearth IPO lot size: A bidder will be able to apply in lots and one lot of the the public issue will comprise 46 company shares.

6] Mamaearth IPO investment limit: As one lot comprises 46 company shares, minimum amount required to apply for the IPO is 14,904 ( 324 x 46).

7] Mamaearth IPO allotment date: In the wake of T+3 listing, Mamaearth IPO allotment can be finalised either on 3rd November 2023 or on 6th November 2023 i.e. either on Friday this week or on Monday next week.

8] Mamaearth IPO listing: The public issue has been proposed for listing on both BSE and NSE.

9] Mamaearth IPO listing date: In the wake of T+3 listing schedule, the public offer may list on BSE and NSE on third day post-closure of the issue. This means, Mamaearth IPO listing date is most likely on Tuesday next week i.e. 7th November 2023.

Should You Subscribe?

Mamaearth IPO review: Giving 'subscribe' tag to the IPO, Emkay Global said, “We assess the stock’s valuation for three scenarios (considering the upper-end of the band): i) Attractive (EV/sales of 3.5x and EV/EBITDA of 29x for FY26E), if Company doubles revenue in three years and improves OPM to ~12%; ii) Fair (EV/sales of 4.2x and EV/EBITDA of 41.7x for FY26E), if Company sees revenue CAGR of 20% with OPM of 10%; and iii) Expensive (EV/sales of 5.2x and EV/EBITDA of 87x for FY26E), if Company registers revenue CAGR of ~10% and maintains margin at ~6%)."

Sushil Finance also gave 'subscribe' tag to the IPO citing, "The revenue CAGR for the period FY21-23 stood at about 80.14%. The company operated on an EBITDA margin of 1.52% and a negative PAT margin of for year ended FY23 and EBITDA margins of 6.31% and PAT Margin of 5.32% for quarter ended 30 June,2023. The company is asking for a PE multiple of 97.59x annualizing diluted EPS for Q1FY24 ( 0.83). Looking at all the factors, risks and opportunities we are neutral on the company. The investors may observe a few upcoming quarters for consistent profitability and may apply for the issue with a medium to long-term view."

Without giving any rating, Axis Capital says, "Honasa has grown their revenue from operations at a CAGR of 80.14% between Financial Years 2021 and 2023 (from 459.99 crore in FY2021 to 1,492.75 crore in FY2023), while the median revenue CAGR of all other BPC companies for which data was available for the relevant period was 28%."

Disclaimer: The views and recommendations made above are those of individual analysts or broking companies, and not of Mint. We advise investors to check with certified experts before taking any investment decision.

You are on Mint! India's #1 news destination (Source: Press Gazette). To learn more about our business coverage and market insights Click Here!

ABOUT THE AUTHOR
Asit Manohar
Chief Content Producer at Live Mint Digital Team
Catch all the Business News, Market News, Breaking News Events and Latest News Updates on Live Mint. Download The Mint News App to get Daily Market Updates.
More Less
Published: 31 Oct 2023, 08:23 AM IST
Next Story footLogo
Recommended For You
GENIE RECOMMENDS

Get the best recommendations on Stocks, Mutual Funds and more based on your Risk profile!

Let’s get started