Patel Retail lists at 20% premium on BSE, 18% on NSE; book profit or hold?

Patel Retail IPO shares started trading on the BSE at ₹305 per share, reflecting a premium of ₹50 or 19.61 per cent over the issue price of ₹255

Patel Retail IPO listing, Patel Retail share price: Shares of retail supermarket chain operator Patel Retail posted solid debut on the bourses on August 26, 2025. The company's shares started trading on the BSE at ₹305 per share, reflecting a premium of ₹50 or 19.61 per cent over the issue price of ₹255.  On the National Stock Exchange, Patel Retail shares listed at ₹300, reflecting a slightly lower premium of ₹45 or 17.65 per cent.

 

Patel Retail IPO listing almost came in line with the street estimates. Prior to their debut on the exchanges, the company’s unlisted shares were trading at around ₹307 in the grey market, indicating a grey market premium (GMP) of ₹52 or approximately 20.39 per cent over the issue price, revealed sources tracking unofficial market activity.

Should you book profit or hold?

Analysts at Master Capital Services have advised short-term investors to consider booking some profits after Patel Retail's strong market debut. "Taking some profits to secure initial gains is the best strategy in the short term," they noted.

 

However, they added that some investors may choose to retain a portion of their holdings, given Patel Retail’s promising growth potential.

 

“This is driven by its private-label offerings, value-focused retail model, and expansion opportunities in semi-urban areas. The company currently operates 43 outlets across Thane and Raigad. The proceeds from the listing will be used for corporate purposes, working capital needs, and debt repayment—steps that will help strengthen its foundation,” the analysts said in a note.

 

They also advised medium- to long-term investors to monitor store expansion, profit margins, and execution before increasing their exposure.

Patel Retail IPO details

The Patel Retail IPO comprised a fresh issue of 8.5 million equity shares aggregating to ₹217.21 crore and an Offer for Sale (OFS), with promoters Dhanji Raghavji Patel and Bechar Raghavji Patel divesting up to 1 million equity shares worth ₹25.55 crore.

 

Patel Retail IPO was offered at a price band of ₹237–255 per share, with a lot size of 58 shares. It was available for subscription from August 19 to August 21, 2025. The issue received strong demand from investors, getting oversubscribed by 95.70 times.

The basis of allotment for Patel Retail IPO shares was finalised on August 22. The company set the issue price at ₹255 per share.

 

Patel Retail will not receive any proceeds from the OFS, and it will be given to selling promoters after deducting their portion of the offer-related expenses and applicable taxes, according to the Red Herring Prospectus (RHP).

 

However, the company proposes to utilise the proceeds from the fresh issue for repayment/prepayment, in full or part, of certain borrowings, as well as for the funding of working capital requirements of the company. Patel Retail will also use the proceeds for general corporate purposes.  Fedex Securities served as the sole book-running lead manager, while Bigshare Services acted as the registrar for the public issue. 

About Patel Retail

Patel Retail is a value-focused retail supermarket chain operating in Tier-III cities and suburban areas of Maharashtra, primarily in Thane and Raigad districts. Since its inception in 2008 with the first store in Ambernath, the company has grown to 43 stores with a retail area of ~1.79 lakh sq. ft. as of May 31, 2025. It offers over 10,000 SKUs across 38 product categories, including food, FMCG, apparel, and general merchandise.

 

 

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