Not just Tata Tech, IPO of SME selling second-hand products also doubles on listing
Tata Technologies hogged all the limelight on Thursday, the SME IPO of Rockingdeals Circular Economy, which sells refurbished and other products, also doubled on listing. The stock debuted today at a premium of 114% at Rs 300 on NSE SME as against an issue price of Rs 140.
After the listing, the stock further rallied and hit an upper circuit of 5% at Rs 315 apiece.
Rockingdeals Circular IPO, which was opened for public subscription between November 22 and November 24, received a whopping 312.64 times subscription.
The retail portion of the issue was subscribed 201.42 times, and the non-institutional category's subscription rate stood at 459 times. The allocation for QIPs was booked 47.4 times.
The Rs 21-crore IPO was an entire fresh issue of 15 lakh shares. The company plans to use the net proceeds for working capital needs and brand positioning, marketing, and advertising.
Faridabad-based Rockingdeals is a B2B sourcing platform for unboxed, certain refurbished and excess inventory products across the consumer retail space.
The company has over 18 categories of stock keeping units (SKU), which include electrical appliances (Syska, Havells, LG, Panasonic, Usha, Crompton, Luminous, Phillips, etc.), apparels & footwear (Zara, Nike, Campus, etc.), speakers (Boat, JBL, Gizmore), mobiles and mobile accessories (Lenovo, Boat, Gizmore, etc.), and various other products.
These products are obtained from e-commerce vendors of platforms like Snapdeal, affiliates of Flipkart and Amazon, companies like GO Auto, Salora International, Zazz Technology Connect, and dealers and distributors like Matrix Housewares, Raj Agency, Sudhi Enterprises, etc.
For FY23, the firm reported a net profit of Rs 1.54 crore against Rs 14.37 lakh a
