Adani Wilmar Listing: Adani Group's seventh company knocked in the stock market, listing at a 4 percent discount from the issue price

Posted on 8th Feb 2022 by rohit kumar

Adani Wilmar, a company headed by Adani Group Chairman Gautam Adani, was listed on the stock exchange on Tuesday. This is his seventh company to be listed in the market. However, contrary to expectations, its shares got listed at a discount of 4 percent. Its share was listed at Rs 221, its price was fixed at Rs 230 in the IPO. But after listing it declined by 4 percent.

 

 

More than 17 times the bids were received

One of the country's largest FMCG (fast-moving consumer goods) companies, Adani Wilmar's IPO took place between January 27 and 31 and received 17.37 times more bids. The IPO received a good response from all types of investors, although the volatility in the market during that period affected it a bit. The highest bids for the IPO were received from the category of non-institutional investors, who bid 56.30 times more than their allotted quota. The second number was the shareholder quota, which got 33.33 times more subscriptions. However, after listing at a discount, its shares saw a rise and by 10.30 pm, a jump of Rs 20 was recorded in the shares. At present, this stock is trading around Rs.250.

 

 

The money raised here will be used

It is worth noting that out of the IPO proceeds by the company, Rs 1,900 crore will be used for capital expenditure, while about Rs 1,058.9 crore will be used by the company to reduce debt. The remaining Rs 450 crore will be spent on strategic acquisitions and other investments. Adani Wilmar is a joint venture between foreign company Wilmar and Adani Group. Both had a 50-50 percent stake. However, after the issue, this stake has come down to 87.92 percent. This means Adani's stake will be around 44 percent.

 

7 companies of the Adani group listed

Adani Group's 7 companies are listed on the Indian stock exchange. In January this year itself, all these companies have given returns ranging from 5 percent to 45 percent. In particular, the group's energy companies have been the biggest gainers. On Tuesday also the shares of Adani Enterprises, Adani Power, Adani Green Energy are rising while the stocks of Adani Port, Total Gas, and Transmission are down. Adani Green Energy's market cap has crossed Rs 3 lakh crore.

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