Vegorama Punjabi Angithi IPO Sees 33 Times Subscription, Listing Details Inside

Vegorama Punjabi Angithi's IPO Sees 32.75-Times Subscription, Raises Rs 38.38 Crore

Restaurant chain operator Vegorama Punjabi Angithi's initial public offering (IPO) witnessed a massive 32.75-times subscription on May 22, the final day of bidding, as demand remained strong across all categories of investors.

The company tapped the capital markets to raise Rs 38.38 crore through a public issue of 49.84 lakh shares at the upper end of the price band of Rs 73-77 per share. Investors bid for 11.68 crore equity shares against the offer size of 35.68 lakh shares through 18,700 applications, with non-institutional investors leading the charge with a 47.49-times subscription.

Read also: SMR Jewels IPO Successfully Lists with Institutional Support

The portions reserved for retail investors and qualified institutional buyers were subscribed 27.79 times and 26.46 times, respectively. The cloud kitchen and takeaway service provider will finalise the IPO share allotment by May 25, while its equity shares are scheduled to be listed on the BSE SME platform on May 27.

Vegorama Punjabi Angithi's IPO shares were trading at a grey market premium (GMP) of around 4-6 percent, according to market observers. Out of the total offer size, the company raised Rs 10.9 crore by issuing 14.16 lakh shares to five anchor investors, including Bharat Venture Opportunities Fund, Tattvam AIF Trust, and Hem Growth Opportunities Fund.

The company plans to utilise the proceeds from the fresh issue for the construction of a banquet hall, a fine-dine restaurant, and a centralised kitchen, as well as for rolling out new cloud kitchens, upgrading existing cloud kitchen equipment, and meeting general corporate purposes. Vegorama Punjabi Angithi, which operates 27 cloud kitchens and two fine-dine restaurants in the Delhi-NCR region, will also utilise the funds to meet the expenses of expanding its business.

The IPO comprised a fresh issue of 39.87 lakh shares and an offer-for-sale (OFS) of 9.96 lakh shares by promoter Deepak Chadha. Corporate Makers Capital acted as the merchant banker for the Vegorama Punjabi Angithi IPO.

Read also: Zepto Nears $1 Billion Quarterly Net Order Value Milestone Before IPO