Vedant Fashions lists at 8% premium to issue price, m-cap at Rs 22,688 cr

Kolkata-based Vedant Fashions, which owns the Manyavar brand, made its debut on bourses on Wednesday. The stock got listed at Rs 936, an 8 per cent premium to its issue price. The stock ended the session at Rs 935 with a gain of 7.9 per cent over its issue price. Post-listing the company commands a market capitalisation of Rs 22,688 crore.

The positive listing-day performance comes even as the ethnic wear maker's Rs 3,150-crore IPO saw subdued response.

The share was subscribed just 2.6 times, with the retail portion garnering just 40 per cent subscription.

Besides flagship brand Manyavar, Vedant Fashions owns brands such as Mohey and Mebaz. The company was India's largest in the men's wedding and celebration wear segment in FY20.

As of September 30, 2021, Vedant Fashions had a 1.2 million square feet retail footprint covering 535 exclusive brand outlets spanning 212 cities and towns in India. And 11 exclusive brand outlets overseas in countries like the United States, Canada, and the UAE have a sizeable Indian diaspora.

In the six months ended September 30, 2021, 44.76 per cent of the company's sales was generated by its franchisee-owned exclusive brand outlets from Tier I cities, 38.64 per cent from Tier-II cities and 13 per cent from Tier III cities. The remaining 3.5 per cent of its revenues came from international markets.