Shares of Shanthala FMCG Products, a small company, made a strong market entry. The IPO price was Rs 91, but it opened at Rs 108 on Friday.
Investors who backed the IPO saw a 19% gain on the first day. The company’s IPO size was Rs 16.07 crore.
IPO Subscription Success
Shanthala FMCG Products’ IPO was nearly 4 times oversubscribed. The retail segment was subscribed 3.05 times,
and other categories saw a 4.76 times subscription rate. The IPO was open for subscription from October 27 to October 31.
Retail Investor Opportunity
Retail investors could invest in 1 lot of the IPO, which consisted of 1200 shares, requiring an investment of Rs 109,200.
Before the IPO, the promoters held 77.44% of the company’s stake, which has now reduced to 57.09%.
About Shanthala FMCG Products
Founded in 1996, Shanthala FMCG Products is a distributor of FMCG goods, including branded packaged foods, personal care products, stationery items, and tobacco products.
The small company plans to use the IPO funds for working capital and general corporate purposes. Shares of Shanthala FMCG Products are listed on NSE SME Exchange.
