Barbeque Nation Surges Over 18% After Weak Listing

Shares of Barbeque Nation Hospitality after a subdued listing at a discount of 2 percent, in a surprise move and amid strong market, surged over 18% to day's high of Rs. 590.4 per share on the BSE. The stock listed at a price of Rs. 492 as against the stock's issue price of Rs. 500.

Barbeque Nation Surges Over 18% After Weak Listing

Ace investor Rakesh Jhunjhunwala backed firm raised Rs. 453 crore from its share sale that ran between March 24 and March 26.

The IPO of Barbeque Nation was subscribed up to 6 times on its last day of subscription. Retail investors made bids 13.13 times as against the reserved quota, while the portion of non-institutional investors was subscribed 3.10 times.

The IPO comprised fresh issue of shares worth Rs 180 crore and an offer-for-sale of up to 54,57,470 equity shares aggregating up to Rs 272.87 crore. Equity shares aggregating up to Rs 2 crore were reserved for eligible employees.

Through the pre-IPO placement the company netted Rs. 150 crore from Xponentia Capital and Jubilant Foodworks.

The IPO proceeds will be put towards capital expenditure requirement for expanding as well as opening new restaurants. Also, repayment or repayment of some debt and expenses related to corporate purposes will be met through the funds mopped.

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