New Delhi, 26 August (Kiran News). Patel Retail, a retail supermarket chain operating in tier-3 cities and sub-urban areas, made a strong entry into the stock market today, bringing cheer to its IPO investors. The company issued shares at ₹225 per share through its IPO. On the first day of trading, Patel Retail shares were listed at ₹305 on the BSE and ₹300 on the NSE, giving IPO investors an immediate gain of nearly 19 percent. However, after the strong listing, profit-booking led to a decline in the stock price. By 10:30 am, the shares were trading at ₹290, reducing the listing gain to 13.73 percent so far.
Patel Retail’s IPO, worth ₹242.76 crore, was open for subscription from 19 to 21 August and received an overwhelming response from investors, being oversubscribed 95.69 times overall. The portion reserved for Qualified Institutional Buyers (QIBs) was subscribed 272.14 times, while the Non-Institutional Investors (NII) segment saw 108.11 times subscription. The retail investors’ portion was subscribed 42.55 times, and the employees’ portion 25.29 times. Under this IPO, new shares worth ₹217.21 crore were issued, and 10.02 lakh shares with a face value of ₹10 each were sold through the offer-for-sale window. The funds raised from the fresh issue will be used to reduce the company’s existing debt, meet working capital requirements, and for general corporate purposes.
According to the company’s prospectus, Patel Retail’s financial health has been improving steadily. The company posted a net profit of ₹16.38 crore in the financial year 2022-23, which increased to ₹22.53 crore in 2023-24, and further to ₹25.28 crore in 2024-25. During this period, revenue fluctuated, with ₹1,019.80 crore in FY 2022-23, ₹817.71 crore in 2023-24, and ₹825.99 crore in 2024-25. The company’s debt also varied, standing at ₹182.81 crore at the end of FY 2022-23, increasing to ₹185.75 crore by the end of FY 2023-24, and dropping to ₹180.54 crore by the end of FY 2024-25.
My name is Bhupendra Singh Chundawat. I am an experienced content writer with several years of expertise in the field. Currently, I contribute to Daily Kiran, creating engaging and informative content across a variety of categories including technology, health, travel, education, and automobiles. My goal is to deliver accurate, insightful, and captivating information through my words to help readers stay informed and empowered.
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