Shares of CE Info Systems IPO that owns MapmyIndia will be listed at the bourses today. Most analysts expect the stock to list with a hefty premium of over 70 per cent, given its strong IPO subscription. The IPO was subscribed 154.71.
The company, which powers Apple maps, has fixed the IPO price at ₹1,033, at the upper end of the ₹1,000-1,033 price band.
The ₹1,040-crore initial public offering of MapmyIndia witnessed a strong response from all category investors. The portion allocated for retail investors was subscribed by 15.20 times, while HNIs (non-institutional investors) and QIBs window saw a subscription of 424.69 times and 196.36 times, respectively.
Ahead of the issue, the company, had raised ₹311.88 crore from anchor investors.
Aayush Agrawal, Senior Analyst, Swastika Investmart Ltd, said, “MapmyIndia is one of a kind company in SaaS, PaaS, and MaaS businesses, which has tremendous potential to perform well in the future because it has a moat in B2B business despite the presence of big-name Google Map and some recent developments like the change in regulations and new tie-ups with government organizations may boost the sentiments further.
“It was expected that this can give more than 100 per cent return on a listing day however expectations have tapered down amid sharp correction in the market where the grey market premium is indicating a listing gain of around 70-75 per cent,” he added.
Brokerage firm Marwadi Shares and Finance said: Considering the TTM adjusted EPS of ₹16.30 on the post-issue basis, the company is going to list at a P/E of 63.37 with a market cap of ₹5,500 crore.
Comments
Comments have to be in English, and in full sentences. They cannot be abusive or personal. Please abide by our community guidelines for posting your comments.
We have migrated to a new commenting platform. If you are already a registered user of TheHindu Businessline and logged in, you may continue to engage with our articles. If you do not have an account please register and login to post comments. Users can access their older comments by logging into their accounts on Vuukle.