SME IPO Logs Steller Buying On NSE: Rockingdeals Circular's Public Offer Oversubscribed 14.83x On Day 1

SME IPO: Rockingdeals Circular Economy witnessed robust buying on the first day of its initial public offering (IPO). On Wednesday, the IPO oversubscribed by a huge 14.83% against its offered size. The company is planning to raise Rs 21 crore through the issue. It will be listed on NSE Emerge post the offer.

As per NSE's data, Rockingdeals received hefty bids of 1,60,12,000 equity shares, against its offered size of 10,80,000 equity shares -- registering an oversubscription of 14.83x.

On Day 1, Qualified Institutional Buyers(QIBs) bid for 6,000 shares, while Non-Institutional Investors (NIIs) bid for 30,50,000 equity shares. It would retail individual investors who showed strong demand with the bidding of a whopping 1,29,56,000 equity shares.

Its grey market premium (GMP) has also logged huge buying. As per InvestorGrain data, Rocking Deals Circular Economy SME IPO last GMP is Rs 55, last updated Nov 22nd 2023 05:26 PM. With a price band of 140.00, Rocking Deals Circular Economy SME IPO's estimated listing price is Rs 195 (cap price + today's GMP). The expected percentage gain/loss per share is 39.29%.

The dedicated B2B sourcing platform plans to raise about Rs 21 crore (on the upper price band) from the issue and aims to be listed with NSE Emerge. The price range for the issue has been fixed at Rs 136 - Rs. 140 per share. Corporate Capital Ventures Private Limited is the Book Running Lead Manager for the Issue.

The IPO comprised a fresh issue of 15 lakh Equity Shares with a face value of Rs 10/- through the book-building route.

The IPO will close on November 24th for bidding.

RDCEL plans to utilise proceeds from the issue towards working capital requirements, brand positioning, marketing and advertising, and general corporate purposes.

RDCEL is a part of Rockingdeals Group, founded by Yuvraj Aman Singh, who pioneered the concept of "Seconds" in India. RDCEL certifies and sells products across 18+ categories to its B2B customers, including Rockingdeals' retail arm (as its exclusive procurement partner). RDCEL has an exclusive supply to serve around 70,000 sq. ft. of retail space through Rockingdeals and its franchise network.

The company also procures unboxed and excess inventory from well-known brands such as affiliates of Flipkart, Snapdeal, Amazon, Whirlpool, Puma, Hindware, Godrej etc. RDCEL has sold over 10+ million units through a reputed network of B2B clientele, including its group company (Rocking Deals), Jindal Mega Mart, Shopclues, Brand Wala, VLE Bazaar, HIC International, PSUAVI, KRAT India and Zazz Technology. RDCEL operates a 30,000 sq. Ft. warehousing facility in Faridabad and an L4 service centre with an installed capacity to QC & Grading one million units each month.

The Faridabad-headquartered company has 20+ employees with comprehensive experience in sourcing, grading and pricing products across categories. RDCEL's total revenues stood at Rs. 15.01 crore in FY23, while its EBITDA and PAT were Rs. 2.73 crore and Rs. 1.54 crore respectively. For Q1FY24, the company registered a total revenue of Rs. 9.58 crore, EBITDA of Rs. 1.87 crore and PAT of Rs. 1.25 crore.