Saraswati Saree Depot IPO booked nearly 47x so far on Day 3. Check subscription, GMP and other details
Saraswati Saree Depot is getting robust response from investors as the issue was subscribed nearly 47 times so far on the third day of the bidding process. The issue will close on Wednesday.
The category reserved for non-institutional investors was subscribed the most at 201 times, followed by retail investors at 41 times and qualified institutional buyers (QIB) at 4.21 times.
The IPO includes a fresh issue of up to 65 lakh shares and an offer for sale (OFS) of up to 35 lakh equity shares by the promoter group.
Saraswati Saree Depot IPO price band
The company has fixed a price band of Rs 152-160, where investors can bid for 90 shares in one lot and in multiples thereafter.
Saraswati Saree Depot IPO GMP
In the unlisted market, the company's shares were trading with a GMP of Rs 100, which translates to a premium of 62% to the issue price.
Saraswati Saree Depot IPO review
Analysts advised only high risk investors to subscribe to the issue, considering the industry dynamics, competitive landscape, and cash flow concerns.
«The saree wholesale industry is highly competitive and fragmented, with low margins and significant seasonality. Despite these challenges, Saraswati Saree Depot's P/E valuation of 17.93x appears reasonable,» said Swastika Investmart.
Other details
Saraswati Saree Depot Limited is a key player in the sarees wholesale (B2B) segment and its origin into the sarees business dates back to 1966. It is also engaged in the wholesale business of other women’s apparels such as kurtis, dress materials,
