FirstCry IPO Listed Today with 40% Premium on BSE and NSE: Key Details

FirstCry IPO Listed Today: FirstCry which is the parent company of Brainbees Solutions has listed its shares at a 40% premium on BSE and NSE.

On Tuesday, shares of Brainbees Solutions listed at Rs 625 on BSE with a premium of Rs 160 from the issue price of Rs 465.

On the NSE, shares of Brainbees Solutions are listed for Rs 651 giving investors a return of Rs 186 per share compared to the allotment price.

The grey market price (GMP) for the FirstCry IPO was around Rs 87 before it was listed on BSE and NSE.

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Speaking about the listing gains, Shivani Nyati, Head of Wealth at Swastika Investmart said that FirstCry made a positive and strong start on the stock market by listing at a premium of 40% against its issue price.

He also noted that this was even better than what the grey market premium predicted.

FirstCry IPO was subscribed 12.22 times which shows a decent investor interest. Nyati says that the strong listing performance, despite the profitability challenges reveals that investors are sure about the possibilities of the growth of the company.

Shivani Nyati said that it is true that  FirstCry has a strong brand position and leads the market but investors should still be careful about the company’s financial status.

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Shivani Nyati further added that dependency on third-party producers and negative cash flows are important factors to worry about and watch carefully.

The FirstCry IPO was opened at a set price band of Rs  440 to Rs 465 per share with a minimum lot size of 32 shares. It got decent investors’ interest at the time of the closure of the subscription on August 8.

The retail investors portion was subscribed 2.31 times while the quota for non-institutional investors (NIIs) was subscribed 4.68 times and the portion for qualified institutional buyers (QIB) was booked 19.30 times.

FirstCry issued fresh shares of 35,827,957 shares which were worth around Rs 1,666 crore and issued an offer for sale(OFS) of 54,359,733 shares which were worth nearly Rs 2,527.73 crore.

On August 5, the company raised Rs 1,885.83 crore from its anchor investors.

The company plans the funds raised from its public subscription to funds for growth and expansion projects such as building new stores and warehouses and make the company a multinational entity.

The funds will also be used for the expenses of marketing and sales, technology, and data science, as well as for planned purchases and day-to-day expenses.

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