Avenue Supermarts IPO
Avenue Supermarts is an emerging national supermarket chain, with a focus on value-retailing. According to Technopak, in Fiscal 2016 the company was one of the largest and the most profitable F&G retailer in India. Avenue Supermarts offers a wide range of products with a focus on the Foods, Non-Foods (FMCG) and General Merchandise & Apparel product categories.
As of 15 September 2016, Avenue Supermarts operated 112 stores with Retail Business Area of 3.40 million sq.ft, located across 41 cities in Maharashtra (58), Gujarat (26), Telangana (13), Karnataka (7), Andhra Pradesh (3), Madhya Pradesh (3), Chhattisgarh (1) and NCR (1). The company plans to deepen its store network in southern and western India and gradually expand the network in other parts of India pursuant to its cluster-focused expansion strategy.
Avenue Supermarts operates and manage all its stores which operate under the D-Mart brand. The company operates predominantly on an ownership model (including long-term lease arrangements, where lease period is more than 30 years and the building is owned by Avenue Supermarts rather than on a rental model. The company opens new stores using a cluster approach on the basis of adjacencies and focusing on an efficient supply chain, targeting densely-populated residential areas with a majority of lower-middle, middle and aspiring upper-middle class consumers.
Promoters of Avenue Supermarts: Radhakishan S. Damani, Gopikishan S. Damani, Shrikantadevi R. Damani, Kirandevi G. Damani, Bright Star, Royal Palm Trust, Bottle Palm Trust, Mountain Glory Trust, Gulmohar Trust and Karnikar Trust.
|Avenue Supermarts IPO details|
|Subscription Dates||8 - 10 March 2017|
|Price Band||INR295 - 299 per share|
|Fresh issue||INR1,870 crore|
|Offer For Sale||Nil|
|Total IPO size||INR1,870 crore|
|Minimum bid (lot size)||50 shares|
|Face Value||INR10 per share|
|Listing On||NSE, BSE|
Avenue Supermarts’ consolidated financial performance (in INR crore)
|Profit after tax||60.4||93.9||161.4||211.7||321.2|
Avenue Supermarts IPO Subscription Details
|Category||Shares offered||Subscription (No. of times, at 7:30 PM)|
|Day 1||Day 2||Day 3|
IPO Opening Date: 8 March 2017
IPO Closing Date: 10 March 2017
Finalisation of Basis of Allotment: 16 March 2017
Initiation of refunds: 17 March 2017
Transfer of shares to demat accounts: 20 March 2017
Listing Date: 21 March 2017
Listing Price on NSE: INR600 per share (return of 100% on IPO price)
Closing Price on NSE: INR641.6 per share (return of 114.5% on IPO price)